By 2030, McKinsey & Co forecasts that 95% of vehicles sold on the global market will have connected features. Connectivity means data, and with data comes opportunities to know more about customers and the services they might want. As such, vehicle data monetisation, which is valued at US$390m in 2024, could reach US$2.23bn by 2029 (+472%), according to Mordor Intelligence.
For Lance Owide, General Manager of B2B at open software-as-a-service e-commerce provider BigCommerce, this growth will be underpinned by two factors: revenue and automaker valuations. “Fundamentally, selling software has a much higher margin than cars—sometimes 90-95%. The more digital services an OEM sells, the higher its stock will climb.”
