India is about to enter a new era connected car By 2025, with the introduction of vehicles with 5G M2M connectivityArtificial intelligence and cloud-based technologies, according to Techarc’s India Connected Consumer Report 2025. The report points out that the automotive industry will bypass 4G connectivity and move directly to 5G to enhance the in-car experience across all price segments.
The report shows that consumers are more focused on improving the quality and functionality of vehicles rather than expanding the product portfolio of smart devices. The report noted that 55% of respondents had recently encountered news about smart or connected cars, reflecting growing interest in these technologies.
From 2025, cars in India will be equipped with 5G M2M connectivity, GenAI and cloud services, making these technologies standard in cars priced above Rs 20 lakh. These innovations will enable instant data processing to provide drivers with features such as messaging apps, OTT entertainment, music streaming and vehicle maintenance.
The shift towards connected cars is expected to change the automotive landscape, with advanced in-car technologies that were once seen as luxury features now becoming commonplace in Indian cars. Techarc analyst Sadat Ahanger emphasized that these technologies will impact key areas such as safety, comfort and entertainment.
The Indian automotive industry produces nearly 5 million passenger vehicles annually and is expected to lead the global 5G M2M market in the next few years. The report also found Grand Car, Kia Motorsand Tata Motors Considered leaders in the connected car space, 21%, 18% and 15% of respondents respectively recognized their position in this category.
The insights in the report are based on a survey of 4,500 connected consumers in urban and non-urban cities, where a “connected consumer” is defined as someone who owns at least three smart devices in addition to a smartphone.
