Blockchain Market In Automotive Industry Overview:
The global blockchain market holds immense potential for supply chain management in the world. According to IndustryARC’s analysis on the blockchain market, the opportunities will grow at superlative compound annual growth rate of 79.6% during the forecast period of 2018-2023. Such is the prospect of blockchain technology as it steadily penetrates into all sectors of industrial production. This technology has become extremely useful in the burgeoning automotive sector that is witnessing a wave of innovation. Blockchain is essential in automotive discoveries such as self-driving cars as they generate a large amount of data, almost 1 gigabyte per second. This magnitude of data requires an efficient storage space and fruitful utilization. Blockchain helps in securing this data and making sure that it is not applied in fraudulent activities.
The global blockchain in automotive market is believed to grow with an outstanding compound annual growth rate (CAGR) of 32.56% during the forecast period of 2019-2025 and held a market size of $132.29 million in the year 2018.
Blockchain Market In Automotive Industry Outlook:
Blockchain has transformed from being just another ‘buzzword’ to an actual solution to supply chain management issues. Blockchain essentially is a quantum leap in the world of technology as it is expected to affect several important industrial sectors in the upcoming years. It will affect the automotive sector in several areas including finance, supply chain, and mobility. Extremely essential in supply chain management, blockchain technology will help massively with keeping track of any automobile parts stolen, damaged, or lost. This will help in companies being able to preserve their assets and not suffer from any major financial losses. North America has embraced blockchain technology in most of their enterprises. This has made them the geographical leader of this market with a regional market share of 39.64% in the year 2018.
Blockchain Market In Automotive Industry Growth Drivers:
Ø Need For Efficient Planning And Risk Management
Due to expanding globalization, supply chain management is experiencing tremendous issues. Since products are being exported and imported throughout the world, products are experiencing losses, misplacement, theft, and similar issues. Keeping track of a product’s journey is essential and can only be achieved with incorporation of blockchain technology. In a similar manner, blockchain has impacted the automotive industry and helped it in acquiring an enhanced supply chain management system.
Another factor that blockchain has helped the automotive industry with is data security. With the advent of smart cars and their incorporation of Internet of Things technology, data generated from the car is required to be stored at a safe online space with cryptographic security. Cloud technology compromises on security, thus paving way for the blockchain in automotive market and enabling its growth organically.
Blockchain Market In Automotive Industry Challenges:
Blockchain in automotive market is facing several challenges including initial costs, high energy consumption due to computers requiring more power for performing complex mathematical operations, etc. In order to address the latter, key market players have begun investing in proof-of-stake mechanism which requires less amount of energy to function. Managing initial costs can only be handled with angel investments that can be obtained only with a strengthened public perception of blockchain.
Blockchain Market In Automotive Industry: Key Players Perspective
Several key market players have capitalized in the blockchain in automotive market including IBM, Accenture, Microsoft, Carvertical, Helbiz, Tech Mahindra, HCL Technologies, Xain, NXM Labs, Carblock, Cube, Context Labs, Shiftmobility, Bigchaindb, Dashride, Consensys, Foam, RSK Labs, and GEM.
CarBlock is a global data protocol focusing on transportation and has invested in blockchain technology over the past few years. This company has built a data protocol using blockchain that protects a user’s privacy and is the first of its type in total accordance with the General Data Protection Regulation (GDPR.)
Blockchain Market In Automotive Industry: Disruptive Trends
Even though blockchain technology in automotive industry is in its budding stage, several companies have started to test it and use it in their prototypes. These new features will disrupt the market and provide growth to it in the upcoming years.
Ø Renault’s Digitized Car Maintenance Program-
Renault partnered with Microsoft and VISEO to create a digitized car maintenance book that logs all the information related to a car’s specifics, insurance, repair shops, and other important details. This helps in buying and selling of a car since a customer can make the car maintenance book available to a potential buyer who can skim through the entire history in order to evaluate the car’s condition. This has been made possible with the use of Microsoft’s Azure Blockchain technology and has therefore, provided growth to the blockchain in automotive market.
Ø Oaken Innovations Tolling Program
Oaken Innovations has partnered with Brisa, a toll road operator, A to Be, and Via Verde to produce a commerce platform that enables smart tolling on booths. This has been achieved by the incorporation of blockchain technology as it provides the consumers and the parent company with a smart wallet that calculates the toll automatically and makes payment services easier. With the success of this innovation in blockchain in automotive market, several companies are deemed to follow suit and lead to market growth.
Blockchain Market In Automotive Industry Research Scope
The base year of the study is 2018, with forecast done up to 2025. The study presents a thorough analysis of the competitive landscape, taking into account the market shares of the leading companies. It also provides information on unit shipments. These provide the key market participants with the necessary business intelligence and help them understand the future of the Blockchain In Automotive Market. The assessment includes the forecast, an overview of the competitive structure, the market shares of the competitors, as well as the market trends, market demands, market drivers, market challenges, and product analysis. The market drivers and restraints have been assessed to fathom their impact over the forecast period. This report further identifies the key opportunities for growth while also detailing the key challenges and possible threats. The key areas of focus include the types of cheese in the Blockchain In Automotive Market, and their specific applications in different areas.
Blockchain Market In Automotive Industry Report: Industry Coverage
Blockchain market can be segmented on the basis of type and application. Based on type, the market can be segmented into public blockchain, private blockchain, and others. And by application, the market can be fragmented into vehicle safety and data security, supply chain transparency, manufacturing, and others.
The Blockchain In Automotive Market report also analyzes the major geographic regions for the market as well as the major countries for the market in these regions. The regions and countries covered in the study include:
• North America: The U.S., Canada, Mexico
• South America: Brazil, Venezuela, Argentina, Ecuador, Peru, Colombia, Costa Rica
• Europe: The U.K., Germany, Italy, France, The Netherlands, Belgium, Spain, Denmark
• APAC: China, Japan, Australia, South Korea, India, Taiwan, Malaysia, Hong Kong
• Middle East and Africa: Israel, South Africa, Saudi Arabia