Emphasis On Portable Devices To Fuel Automotive Wireless Applications

LONDON, February 8 /PRNewswire/ -- The growing focus on portability and consumer electronics in the telematics and infotainment market has bolstered demand for wireless technologies in the western Europe automotive industry. Accordingly, vehicle manufacturers are deploying new wireless technologies in different applications (including safety and security as well as core entertainment applications) within the automotive sector to effectively operate such devices.

Wireless communication technologies - comprising Bluetooth, wireless fidelity (WiFi), worldwide interoperability for microwave access (Wimax), ultra wide band (UWB), Zigbee, dedicated short range communications (DSRC), radio frequency (RF) and near field communications (NFC) - are gaining momentum in automotive applications.

Among potential applications are vehicle safety (such as collision avoidance), entertainment (such as music streaming from personal devices and music downloading) and voice applications, tracking functions, remote monitoring and diagnostics as well as inter-vehicle communication.

"Significant growth opportunities exist in applications related to portable device connectivity and plug-and-play telematics", says Mr. Praveen Chandrashekhar, Senior Research Analyst at Frost & Sullivan ( http://transportation.frost.com). "Due to growing demand for portable devices such as the Apple iPod, Sony Xplod and Creative portable music players, wireless technologies such as Bluetooth, WiFi, UWB and Zigbee are gaining prominence for interfacing the devices to the vehicle architecture."

Currently, there is an increasing shift from fixed, stand-alone device-based navigation to portable devices such as personal digital assistants (PDAs), Smartphones, mobile phones and dedicated portable devices, which are being deployed in navigation and location-based services applications. This shift towards more flexible and portable plug-and-play device-dependant applications will fuel greater demand for wireless technologies, particularly Bluetooth, UWB and Zigbee.

"With legislations being implemented to enforce mandatory hands-free telephony while driving, Bluetooth has become the standardised wireless technology in most automotive applications", notes Mr. Chandrashekhar. "Using these mandatory legislations as a key marketing tool to spur awareness of wireless technologies (such as Bluetooth) and their implications on driving safety will facilitate increased market penetration."

Vehicle manufacturers are also likely to implement upcoming Bluetooth applications such as remote vehicle diagnostics and wireless control of rear seat entertainment (RSE) systems to replace infrared (IR) technology. As a result, the Bluetooth equipped vehicles market is expected to grow at a compound annual growth rate (CAGR) of 27.1 percent in the period 2005 to 2010.

The implementation of WiFi technology is expected to begin in 2008 with BMW 's introduction of the technology in its premier car models (the BMW 5 and 7-series), which will be a catalyst for enhanced market growth. The growing use of WLAN technologies such as WiFi, which enables Internet connectivity for different applications such as music downloads, video streaming and off-board services related to navigation and entertainment, will spur greater demand for wireless automotive technologies. Hence, vehicle manufacturers and suppliers should actively strive for WiFi implementations and price the WiFi service model nominally to promote the uptake of WiFi automotive applications.

With the impending adoption of UWB standard by Bluetooth SIG, UWB penetration is likely to grow, particularly in collision avoidance applications. Improved safety and security measures, which involve emergency braking and inter-vehicle communication, have created greater scope for the implementation of wireless technologies. At the same time, the implementation of Zigbee technological applications will also escalate due to its increased network capacity and sensor expertise.

Despite the positive trends that are reinforcing market growth, the implementation of viable and attractive service models is a crucial challenge that needs to be overcome to capture existing market potential. "In this context, vehicle manufacturers should include wireless carriers as important participants in the value chain and obtain their involvement in devising feasible and low-cost service models", remarks Mr. Chandrashekhar. "Vehicle manufacturers should prime their marketing efforts to provide customers with extra functionalities at an optimal cost to promote their advanced value-added products."

With the development of different wireless technologies likely to take place after 2010, Bluetooth will remain the key wireless technology in automotive applications. Presently, vehicle manufacturers should focus on offering a greater number of applications with their existing Bluetooth module, while also investigating the scope of other wireless technologies.

If you are interested in a virtual brochure, which provides manufacturers, end users and other industry participants an overview of the latest analysis of the Analysis of Wireless Technologies for Automotive Applications in Western Europe, then send an e-mail to Magdalena Oberland, Corporate Communications, at Email Contact with the following information: your full name, company name, title, telephone number, fax number, e-mail address and source of information. Upon receipt of the above information, an overview will be sent to you through e-mail.


Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community, by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics.

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List of keywords in this press release: wireless technology, automotive applications, vehicle applications, western Europe, telematics, infotainment, consumer electronics, wireless communication, Bluetooth, wireless fidelity, WiFi, worldwide interoperability for microwave access, WiMAX, ultra wide band, UWB, Zigbee, dedicated short range communications, DSRC, radio frequency, RF, near field communications, NFC, vehicle safety, collision avoidance, entertainment, voice applications, tracking, remote monitoring, remote vehicle diagnostics, inter vehicle communication, portable device connectivity, plug and play telematics, portable music players, Apple iPod, Sony Xplod, Creative portable music players, network transmission, operating range, navigation, PDA, Smartphones, mobile phones, rear seat entertainment systems, RSE, infra red technology, IR technology, Bluetooth SIG, compound annual growth rate, CAGR, personal area network, PAN, wireless local area network, WLAN, video streaming

CONTACT: Media Contacts: Europe: Magdalena Oberland, Corporate
Communications, P: +44-(0)20-7915-7876, E: Email Contact.
Americas: Tolu Babalola, Corporate Communications, P: +1-210-477-8427, E:
Email Contact. Asia Pacific: Donna Jeremiah, Corporate
Communications, P: +603-6304-5832, E: Email Contact. India: Surbhi
Dedhia, Corporate Communications, P: +91-22-2832 4705 Ext: 131, E:
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