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In-Vehicle App Forecast Shows Strong Opportunity
A promising area within the mobile app category is the in-vehicle app, as a recent survey of vehicle owners illustrates. The "Apps in the Car 2015" survey, conducted by IHS Automotive, polled people in the U.S., the U.K., China and Germany who intend to purchase a new vehicle within three years, found that 45% would use in-vehicle apps if they enhanced the driving experience. Over one-third (35 percent) said they would be willing to use in-vehicle apps if they were similar to those on their smartphones.
Furthermore, nearly three-quarters said they would be willing to pay for updates to an app, paving the way for continued growth.
In-Vehicle App Forecast
Navigation (53 percent) ranked number one among survey participants' top five choices in-vehicle app categories. Weather (40 percent), music (38 percent), news (33 percent) and social networking (29 percent) occupied the remaining four.
In addition, nearly 70 percent of survey participants reported a strong desire to continue listening to AM/FM radio and CDs in-vehicle. A similar number said they prefer listening to music stored on their mobile devices. Respondents also expressed interest in Internet/streaming radio, satellite radio options and music stored on an in-vehicle hard drive.
More than nine in 10 (93 percent) of respondents to the survey said they had downloaded apps for their smartphones. Over half (53 percent) said they have paid for apps in the past.
IHS Automotive predicts 2015 annual sales units for Android Auto will reach 643,000. That will balloon to some 31 million in 2020, researchers said. Corresponding predictions for Apple CarPlay are 861,000 and 37 million, and those for MirrorLink are 1.1 million and 17 million.
IHS researchers expect significant growth in activity on the part of auto manufacturers to integrate apps with their vehicles.