India Vehicle to Vehicle Communication Market Analysis by Connectivity type (Direct V2V Communication, Network-Assisted V2V Communication), Vehicle Type, Application and Component: Technology, Trends, Regulation, Analysis and Forecast Till 2033

Market Overview

India Vehicle to Vehicle Communication Market was valued at USD 90 million in 2024 and is estimated to reach a value of USD 313 million by 2033 with a CAGR of 15.9% during the forecast period 2027-2033.

 
The India Vehicle-to-Vehicle (V2V) communication market is set for substantial growth, driven by a mix of regulatory mandates, government initiatives, and developing policy frameworks aimed at enhancing road safety, traffic management, and intelligent mobility. A key factor in this momentum is the Bharat New Car Assessment Program (Bharat NCAP), which has implemented stricter vehicle safety standards and encouraged the adoption of advanced safety technologies. By requiring features like electronic stability control, autonomous emergency braking, and lane departure warnings, Bharat NCAP is indirectly promoting the integration of V2V technologies. Automakers striving for higher safety ratings and positive consumer perception are increasingly looking into V2V as a differentiating factor, allowing vehicles to share real-time data on speed, position, and road hazards. This exchange of information can significantly reduce the chances of collisions and enhance overall road safety. The alignment of safety mandates with growing consumer awareness about vehicle protection presents a strong case for the adoption of V2V in India's rapidly expanding automotive sector.

Another critical driver of this growth is the Smart Cities Mission, which aims to develop intelligent transport systems (ITS) in more than 100 cities throughout India. These initiatives necessitate seamless communication between vehicles and infrastructure (V2I) as well as among vehicles (V2V) to facilitate traffic optimization, congestion management, and real-time hazard alerts. The rise of smart traffic lights, connected toll systems, and urban mobility management platforms creates an ideal environment for V2V deployment, as the success of ITS hinges on high levels of data exchange and vehicle connectivity. In particular, high-traffic metropolitan areas stand to gain from V2V-enabled cooperative driving, early warning systems, and accident mitigation technologies, making V2V a pivotal component of India's urban mobility strategy.

Furthermore, the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme, now transitioning into FAME-III, is anticipated to incorporate incentives for V2V communication, linking the uptake of electric vehicles with intelligent connectivity features. By advocating for V2V-enabled EVs, the government not only accelerates the growth of clean mobility but also ensures that next-generation vehicles are equipped with connectivity-driven safety and efficiency. Incentives such as subsidies or tax benefits for vehicles incorporating V2V modules could lower the cost barriers for automakers and fleet operators, further propelling market expansion. Collectively, these policy drivers Bharat NCAP, the Smart Cities Mission, and FAME-III create a favorable regulatory and technological landscape, positioning India as a promising market for V2V communication adoption in the forthcoming decade, with safety, efficiency, and urban mobility as key catalysts.

Segmental Analysis

The India Vehicle-to-Vehicle (V2V) communication market is primarily fueled by its role in enhancing road safety and traffic efficiency. Collision avoidance and safety alerts have emerged as the leading segment, accounting for 45.62% of the market in 2023. This reflects the high priority placed on accident prevention in India's congested and hazardous roadways. 

V2V systems allow vehicles to share real-time information regarding speed, position, and potential hazards, equipping drivers with early warnings and automated responses to minimize collisions. The focus on safety is further bolstered by regulatory frameworks, such as Bharat NCAP, which promote the inclusion of advanced driver-assistance technologies and indirectly encourage V2V adoption.

 
The second-largest segment, which includes blind-spot and lane-change warnings, represents 24.09% of the market. This highlights the significance of preventing side collisions and lane-departure incidents in both urban and highway environments. 
By enabling vehicles to detect surrounding traffic and alert drivers, these systems not only enhance individual vehicle safety but also facilitate smoother traffic flow and reduce congestion linked to accidents. Traffic and congestion management applications comprise 15.09% of the market, utilizing V2V data to optimize vehicle movement and alleviate bottlenecks, particularly within Smart Cities initiatives emphasizing connected mobility.

Emerging applications, such as advanced driver-assistance systems (ADAS) and autonomous support functions (8.11%), emergency vehicle warning systems (5.09%), and cooperative driving/platooning (2.00%), are gaining momentum as India steers toward more advanced connected and semi-autonomous vehicles. 
ADAS and autonomous functions improve driver assistance with features like adaptive cruise control and predictive braking, while emergency vehicle warning systems enhance public safety by facilitating faster responses from ambulances and fire trucks. 
Although cooperative driving and platooning are currently niche, they illustrate the long-term potential for fuel efficiency and traffic optimization within commercial fleets. Overall, the current market application mix underscores the dominance of safety-driven use cases, while traffic efficiency, autonomous support, and emerging cooperative technologies are set to grow, positioning V2V communication as a fundamental component of India’s connected vehicle landscape.

Key Company Analysis

Major companies analyzed within the India Vehicle to Vehicle Communication Market are: Qualcomm Technologies, Inc., Continental AG, Denso Corporation, Sair.tech, EraNext Auto, Nav Wireless Technologies Pvt. Ltd., Others.