North America Automotive Navigation System Market Report and Forecast 2025-2034

North America Automotive Navigation System Market Outlook

The North America automotive navigation system market size was valued at USD 11.8 billion in 2023. The market is further projected to grow at a CAGR of 5.90% between 2024 and 2032, reaching a value of USD 19.77 billion by 2032.

Key Takeaways

• TomTom Interational and Microsoft collaborated in 2023 to integrate generative AI into vehicles for enhancing mapping services.

• The increasing use of AR in navigation systems, rising demand of AI driven technologies for navigation, and the high integration of voice-activated navigation systems is propelling the market growth.

• Key players in the market are Continental AG, Alps Alpine Co., Ltd., and Denso Corp.

An automotive navigation system is a device that provides directions and information to drivers using satellite signals, maps, and sensors. It can help drivers find the best route, avoid traffic, locate points of interest, and access other services.

A primary driver changing the North America automotive navigation system market outlook is the growing consumer preference for connected and smart features in vehicles. Automotive navigation systems, with features like real-time traffic updates and voice-guided directions, are becoming essential components of modern vehicles.

Additionally, government initiatives promoting road safety and the integration of intelligent transportation systems to reduce accidents are driving the demand of automotive navigation systems. Moreover, the development of high-definition and 3D maps and the supportive government policies and regulations for vehicle safety and emissions are further propelling the automotive navigation system market in North America.

Key Trends and Developments

Rising demand for ADAS, popularity of EVs, and growing integration of augmented reality into cars are boosting the North America automotive navigation system market growth

North America Automotive Navigation System Market Trends

One of the key trends is the integration of augmented reality into automotive navigation systems. AR overlays real-time information onto the driver's view, which provides intuitive guidance and enhances situational awareness. Many automotive companies, such as BMW and Merecedes Benz offer AR navigation systems in their cars.

Increasing integration of voice-activated navigation systems is another trend stimulating the North America automotive navigation system market development. Advanced natural language processing and voice recognition technologies enable drivers to interact with navigation systems using voice commands, enhancing safety and convenience while on the road. Garmin Ltd offers a range of voice-activated car navigation systems, such as the Garmin DriveSmart 61LMT-S, which allows users to control the unit hands-free using voice commands.

As automotive navigation systems become more connected, the market is prioritising enhanced cybersecurity measures, which can further aid in North America automotive navigation system market expansion. The rising concern about potential cyber threats to connected vehicles has led to the development of robust security protocols, safeguarding navigation systems from unauthorised access and ensuring data integrity. ISO 21434 is a standard that promotes cybersecurity in road vehicle systems, encouraging automotive OEMs and suppliers to consider cybersecurity concerns and measures.

Market Segmentation

North America Automotive Navigation System Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Pre-installed navigation systems are expected to hold a significant market share due to rising production of cars with in-built navigation features

The pre-installed system segment accounts for the largest North America automotive navigation system market share, as most of the new vehicles sold in the region come with a built-in navigation system. The growth of this segment is driven by the increasing demand for advanced features and convenience in vehicles, as well as the rising adoption of electric and hybrid vehicles, which require navigation systems to optimise battery usage and range.

The aftermarket segment holds a steady share in automotive navigation system market in North America , as most of the consumers prefer to use the pre-installed systems or their smartphones for navigation purposes. However, the aftermarket segment is still expected to witness moderate growth in the forecast period, as some consumers may opt for upgrading their existing systems or installing new ones for better performance, functionality, and compatibility.

Passenger vehicles dominates the market due to increasing consumer expectations for advanced navigation systems in these vehicles

As per North America automotive navigation system market analysis, the passenger vehicle segment dominates the market due to increasing consumer expectations for advanced navigation systems. The growing demand for safety, improved comfort, and convenience in vehicles, coupled with the increasing sales and production of passenger cars in the region, has significantly contributed to this dominance. Additionally, the integration of advanced technologies, such as smartphone integration, on-demand music, voice-activated navigation units has further propelled the demand for automotive navigation systems in passenger vehicles.

Furthermore, the increasing adoption of advanced driver assistance systems (ADAS) and the rising focus on enhancing the overall driving experience have led to a higher penetration of navigation systems in passenger vehicles. These systems help reduce travel time and find alternate routes which are less congested and are shorter, which can lead to North America automotive navigation system market growth.

The commercial vehicle segment in North America automotive navigation system market is also expected to grow at a significant rate during the forecast period, as more fleet operators and logistics companies adopt navigation systems to improve efficiency, safety, and customer satisfaction. The segment is driven by the increasing demand for real-time traffic information, route optimisation, and fleet management solutions. The segment is also influenced by the regulatory mandates and standards for reducing emissions, fuel consumption, and driver fatigue. Some of the key players in the commercial vehicle segment are Continental, Denso Corp, and Mitsubishi Electric.

Competitive Landscape

Both established players and emerging startups are producing advanced navigation systems for vehicles to strengthen their market presence and stay competitive

Other key players in the North America automotive navigation system market include Garmin Ltd, Aisin Corporation, HERE Global B.V., TomTom International BV, and JVCKENWOOD USA Corporation, among others.

North America Automotive Navigation System Market Analysis by Country

United States contributes to market growth due to presence of major automotive component manufacturers

The United States holds a substantial North America automotive navigation system market share due to several factors. The presence of major automotive component manufacturers, such as Garmin Ltd, Denso Corp, Continental AG, and Mitsubishi, along with a tech-savvy consumer base, contributes to the widespread adoption of navigation technologies in the country. For example, with the introduction of new hybrid navigation systems that combine cloud-based mapping, routing, and integrated connected services, Garmin Ltd. has revolutionised in-car navigation and improved performance.

Moreover, ride-hailing services, such as Uber US, Grab, and Ola, require effective and fast GPS-based navigation systems in their vehicles for optimising routes and drop their customers within timeframes. These GPS systems are therefore highly used by the car fleeting companies for street traveling as well as smooth pick-up and drop-off, leading to increased North America automotive navigation system market value.

Key Highlights of the Report