Global Connected Vehicle Base to Surpass 1 Billion

Warning of impending LTE network shutdowns, Omdia projects rapid connected vehicle growth alongside serious legacy hardware obsolescence risks.

According to research from Omdia, the global installed base of connected vehicles is forecast to reach 1.05 billion units by 2035, representing an 8.3 percent compound annual growth rate (CAGR). Driven by software-defined vehicle (SDV) architectures and over-the-air (OTA) updates, this growth trajectory faces critical disruption as mobile network operators begin decommissioning 4G LTE infrastructure starting in 2030.

For commercial fleet directors, telematics service providers (TSPs), and dealership service departments, the impending sunset of 4G LTE necessitates proactive hardware migration to 5G and non-terrestrial satellite connectivity to prevent system outages across safety-critical applications.

According to Omdia analysts, slow adoption of 5G modems by vehicle OEMs creates operational vulnerabilities for connected fleets relying on real-time routing, remote diagnostics, and recurring software services as legacy cellular networks shut down.