India to Launch 5G-Connected Cars by 2025

India is entering a 'smartphone era' for cars in 2025, marked by the introduction of vehicles equipped with 5G M2M connectivity and advanced AI technologies, as highlighted in Techarc's India Connected Consumer Report 2025. The automotive sector will skip 4G, enhancing vehicle connectivity and consumer experience, with a significant 55% of respondents showing interest in smart/connected cars. Starting in 2025, passenger cars priced above Rs 20 lakh will feature on-device GenAI and cloud applications, enabling real-time data processing for improved driving support. The market for automotive chipsets is booming, with revenues surpassing USD 1.5 billion, led by companies like Qualcomm and MediaTek. Additionally, India saw a surge in electric vehicle (EV) adoption, with 1.39 million units sold in May 2024, driven by the integration of IoT for monitoring and performance enhancement. Overcoming challenges like affordability and support networks will be essential for the sustained growth of both EVs and connected cars in India.