The global automotive NFC market is estimated to grow at a CAGR of over 20% during the forecast period. The NFC (Near Field Technology) is a bidirectional short-range communication technology that works on the electromagnetic field induction for the safe and secured data transfer. It enables users to exchange information, configure and connect devices and easily access services such as contactless payment and e-ticketing. 

The automotive NFC market is primarily driven by the features offered by the NFC-enabled devices and newest automotive trends that allow car sharing, corporate fleet management wi-fi pairing, and personalization inside cars. The automotive NFC helps in connecting vehicles and keys to portable devices and infrastructure. This opens lucrative opportunities for the market in various applications such as car access, engine start, create personalized settings, set up Wi-Fi and WLAN connections, acquire vehicle information, make in-car payment for videos, tolls and others, and vehicle management.

Segmental Outlook

The global automotive NFC market is segmented on the basis of type and applications. Based on the type, the market is segmented into 106 Kbit/S, 212 Kbit/S, and 424 Kbit/S. Based on the application, the market is segmented into on-board units, car keys, and others. The car keys segment is estimated to hold a significant share in the market during the forecast period.

Global Automotive NFC Market, by Application 2018 (%)

Car Keys Segment to Hold Significant Share in the Market During the Forecast Period

Based on the applications of the automotive NFC market, the car keys segment is estimated to hold a significant share in the global market. The NFC in car keys is utilized for the locking and unlocking of the doors of the vehicle. The NFC interface is located inside the car keys so that the NFC interface can be carried outside the car. For instance, when a user turns off the car, the car transmits status information to the key through the internal radio interface and when the user is outside the car, through an NFC mobile phone, the user can read the information via the key, such as the status of the locks, the position of the car, the tank level, among others.

Regional Outlook

The global automotive NFC market is geographically segmented into North America, Europe, Asia-Pacific and the Rest of the World. Europe is expected to hold a prominent share in the global automotive NFC market. This is attributed to the presence of the key manufacturers in the region such as BMW AG, Volkswagen AG, Infineon Technologies AG, and many others. These key manufacturers are frequently incorporating enhanced smart driving features into the vehicles that create various lucrative opportunities in the automotive NFC market during the forecast period. 

Global Automotive NFC Market, by Region 2018 (%)

Further, the rise in the count of innovation and advancement of the product has contributed to the growth of the market. For instance, in 2018, BMW AG has installed NFC systems in its newest BMW 8 Series Coupé and other models in the BMW fleet for the locking and unlocking of doors using a smartphone. Thus, such advancements by the key players create a market for automotive NFC during the forecast period.

Market Players Outlook

Some of the prominent players operating in the global automotive NFC market include NXP Semiconductors N.V., STMicroelectronics N.V., Sony Corp., Panasonic Corp., Broadcom Inc., Qualcomm Technologies Inc., BMW AG, Infineon Technologies AG, Renesas Electronics Corp., and others. STMicroelectronics offers NFC transceivers and SPC58 microcontrollers with embedded Hardware Security Modules (HSM) for the access of various control applications such as security.

Broadcom offers BCM5810X Family microcontroller that supports NFC, HID iCLASS/SeOS, 14443 A/B and FIPS 201-compliant PIV contactless smart cards, and others for applications such as Point-of-sale (POS) terminals, mPOS, embedded payment/vending, PC Client Security/multi-factor user authentication, authentication dongles, and fobs, keyboards, among others.

These players are frequently adopting various strategies such as new product launches and approvals, mergers and acquisitions, partnerships and collaborations, in order to bloom in a competitive environment. For instance, in October 2019, Infineon Technologies AG developed the newest NFC-PWM series NLM0011 and NLM0010 for fast and cost-effective of NFC programming for LED drivers. It aids in improving the efficiency and creates significant flexibility along with reduced LED driver variants, simplified selection of LED modules, and permits end-of-line configuration.

The Report Covers

• Market value data analysis of 2018 and forecast to 2025.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global automotive NFC market. Based on the availability of data, information related to pipeline products, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.