Global Automotive End-Point Authentication Market Growth, Share, Size, Trends and Forecast (2025 - 2031)
By Authentication Type;
Biometric Vehicle Access, Smartphone Applications, and Automotive Wearables.By Vehicle Type;
Passenger Car and Electric Vehicle.By Connectivity Type;
Wi-Fi, Bluetooth, and Cellular Network.By Component Type;
Advanced Driver Assistance System, Battery Status, Door Lock Status, Real Time Diagnostics Monitoring, Service & Maintenance Updates, Navigation, and Others.By Geography;
North America, Europe, Asia Pacific, Middle East & Africa, and Latin America - Report Timeline (2021 - 2031).Introduction
Global Automotive End-Point Authentication Market (USD Million), 2021 - 2031
In the year 2024, the Global Automotive End-Point Authentication Market was valued at USD 1,343.33 million. The size of this market is expected to increase to USD 3,502.13 million by the year 2031, while growing at a Compounded Annual Growth Rate (CAGR) of 14.7%.
The Automotive End-point Authentication Market is anticipated to witness notable growth in the coming years, driven by the increasing sales of connected vehicles and the consequent rise in cyberattacks targeting automobiles. Additionally, the adoption of Advanced Driver Assistance Systems (ADAS) technology and the implementation of regulations pertaining to automobile safety are expected to contribute to industry growth.
The growing sales of both passenger and commercial vehicles across various developing and developed nations, fueled by rising disposable incomes and increased vehicle ownerships, will drive the demand for automotive end-point authentication. Moreover, the added benefits offered by insurance companies for vehicles equipped with end-point security are expected to further boost market demand.
Strategic initiatives by cybersecurity firms to develop solutions tailored to the automotive sector will enhance the performance of the automotive end-point authentication market. This will enable car manufacturers to incorporate better security resources into their vehicles. However, factors such as ongoing inflation and geopolitical conflicts, such as the Ruso-Ukraine war, have impacted the automotive industry by disrupting supply chains and leading to trade restrictions. Furthermore, increasing commodity prices have resulted in higher automobile prices, thereby affecting purchasing behavior and hindering market growth.
In terms of authentication methods, the biometric vehicle access segment is projected to experience significant growth. Biometric systems offer advantages such as identifying and authenticating individuals based on their intrinsic physical or behavioral attributes. Premium car manufacturers are increasingly adopting biometric technology to enhance vehicle security, with examples such as General Motors (GM) filing for a trademark for its biometric vehicle access control system in Mexico and selling facial recognition systems for the Cadillac XT4 in China. In addition, the passenger vehicle segment is expected to witness remarkable revenue growth. The increasing demand for cars and utility vehicles, coupled with the emergence of connected technologies like the Internet of Things (IoT) in high-end luxury passenger vehicles, will drive the adoption of end-point authentication systems to address potential data security risks, thereby fostering industry development.
Global Automotive End-Point Authentication Market Recent Developments
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In October 2022, Harman International introduced a multi-factor authentication system leveraging IoT and AI technologies.
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In May 2023, Bosch acquired a cybersecurity firm specializing in automotive endpoint authentication solutions.
Segment Analysis
The global automotive end-point authentication market is segmented by authentication type into biometric vehicle access, smartphone applications, and automotive wearables. Biometric vehicle access has become increasingly popular due to its advanced security features, allowing users to unlock and start their vehicles using unique identifiers like fingerprints, facial recognition, or iris scanning. This method enhances both security and convenience. Smartphone applications also play a significant role, allowing users to unlock their vehicles, start engines, and access other functionalities using mobile devices via Bluetooth or NFC technology. Automotive wearables, such as smartwatches and other connected devices, offer a seamless and secure experience by enabling users to interact with their vehicles directly through wearable technology. As the demand for safer, more convenient, and tech-integrated vehicle experiences grows, the market for these authentication methods is expected to expand significantly.
By vehicle type, the global automotive end-point authentication market is segmented into passenger cars and electric vehicles (EVs). Passenger cars are the largest segment, as they are the most widely used vehicles globally. The growing adoption of advanced security features, including biometric and smartphone-based authentication, in passenger cars is driving the market. The demand for electric vehicles is also gaining momentum, particularly as EVs gain popularity due to environmental concerns and government incentives. Electric vehicles, often equipped with advanced connected technologies, require robust authentication solutions to ensure secure access and data transmission. As the EV market continues to grow, there will be an increasing need for end-point authentication systems to secure access to charging stations, vehicle data, and user information.
The connectivity type segment of the global automotive end-point authentication market is categorized into Wi-Fi, Bluetooth, and cellular networks. Bluetooth is widely used for short-range communication between the vehicle and user devices, enabling functions such as keyless entry and remote start. Bluetooth-based authentication is expected to continue growing as more vehicles adopt wireless connectivity features. Wi-Fi connectivity, while typically used for in-car entertainment and navigation systems, also offers the potential for seamless authentication experiences in connected vehicles, particularly for updates and remote diagnostics. Cellular networks are playing an increasingly critical role in the market by providing the infrastructure for secure, long-range communication. This connectivity type is essential for advanced features such as real-time diagnostics, service updates, and remote vehicle monitoring. As connectivity continues to evolve, a combination of these technologies will drive the integration and adoption of secure automotive end-point authentication systems.
The component type segment covers a range of vehicle functionalities, including advanced driver assistance systems (ADAS), battery status monitoring, door lock status, real-time diagnostics monitoring, service and maintenance updates, and navigation. ADAS, which includes features like adaptive cruise control, lane-keeping assistance, and automatic emergency braking, is one of the key areas where secure end-point authentication is required. Real-time diagnostics monitoring and service updates are also critical, as they enable remote access to a vehicle’s health data for both owners and service technicians. Battery status and door lock status are particularly important in electric vehicles, as owners rely on real-time data for monitoring the vehicle’s performance and security. Navigation systems also benefit from secure end-point authentication, allowing users to access location-based services with confidence. As the automotive industry continues to integrate more connected features and services, the demand for comprehensive and secure authentication solutions that span these various components will drive market growth.
Global Automotive End-Point Authentication Segment Analysis
In this report, the Global Automotive End-Point Authentication Market has been segmented by Authentication Type, Vehicle Type, Connectivity Type, Component Type, and Geography.
Global Automotive End-Point Authentication Market, Segmentation by Authentication Type
The Global Automotive End-Point Authentication Market has been segmented by Authentication Type into Biometric Vehicle Access, Smartphone Applications, and Automotive Wearables.
Biometric Vehicle Access, Smartphone Applications, and Automotive Wearables. Biometric Vehicle Access involves the use of biometric authentication technologies such as fingerprint recognition, facial recognition, and voice recognition to verify the identity of individuals accessing vehicle systems. This form of authentication offers a high level of security and convenience by leveraging unique physiological or behavioral characteristics of users. Smartphone Applications serve as another authentication method, allowing users to authenticate themselves and access vehicle functionalities remotely through dedicated mobile applications.
These applications enable features such as remote vehicle locking and unlocking, engine start, and vehicle tracking, enhancing user convenience and control. Automotive Wearables represent a newer authentication method, involving the use of wearable devices such as smartwatches or biometric bracelets to authenticate users and interact with vehicle systems. These wearables can provide seamless authentication experiences, allowing users to access vehicle features without the need for traditional keys or mobile applications. Each authentication type caters to different user preferences and use cases, offering diverse options for securing and accessing vehicle systems in a connected and digitalized automotive landscape.
Global Automotive End-Point Authentication Market, Segmentation by Vehicle Type
The Global Automotive End-Point Authentication Market has been segmented by Vehicle Type into Passenger car and Electric vehicle.
Passenger cars, encompassing a wide range of sedan, hatchback, SUV, and crossover models, have been the backbone of the automotive market for decades. As consumer preferences evolve and environmental concerns mount, electric vehicles are gaining traction as a cleaner alternative to traditional gasoline-powered vehicles. The growing popularity of electric vehicles is driven by advancements in battery technology, government incentives, and increasing environmental awareness among consumers. Each vehicle type presents unique challenges and opportunities for end-point authentication solutions.
Passenger cars require robust security measures to protect against unauthorized access and cyber threats, while electric vehicles introduce additional complexities related to battery management systems and vehicle-to-grid communication. By segmenting the market based on vehicle type, stakeholders in the automotive end-point authentication market can tailor their offerings to meet the specific needs and requirements of passenger car and electric vehicle manufacturers, thereby driving innovation and market growth in both segments.
Global Automotive End-Point Authentication Market, Segmentation by Connectivity Type
The Global Automotive End-Point Authentication Market has been segmented by Connectivity Type into Wi-Fi, Bluetooth, and Cellular Network.
Wi-Fi connectivity enables wireless communication between vehicles and external devices or networks, facilitating features such as over-the-air updates and remote diagnostics. Bluetooth technology allows for short-range communication between vehicles and smartphones or other Bluetooth-enabled devices, enabling hands-free calling, music streaming, and vehicle diagnostics.
Cellular network connectivity, on the other hand, provides broader coverage and continuous connectivity through cellular data networks, enabling features such as telematics services, remote vehicle monitoring, and emergency assistance. As the automotive industry continues to embrace connectivity and digitalization, the demand for end-point authentication solutions tailored to each connectivity type is expected to grow. Market players are focusing on developing robust authentication solutions that can secure vehicle systems and data across various connectivity platforms, ensuring the safety, security, and integrity of connected vehicles in an increasingly digitized automotive ecosystem.
Global Automotive End-Point Authentication Market, Segmentation by Component Type
The Global Automotive End-Point Authentication Market has been segmented by Component Type into Advanced Driver Assistance System, Battery Status, Door Lock Status, Real Time Diagnostics Monitoring, Service & Maintenance Updates, Navigation, and Others.
Advanced Driver Assistance Systems (ADAS) represent a pivotal component type, integrating sophisticated technologies such as radar, lidar, and cameras to enhance vehicle safety and assist drivers in navigating traffic, avoiding collisions, and maintaining lane discipline. Battery Status monitoring allows for real-time monitoring of the vehicle's battery health and performance, ensuring optimal operation and preventing unexpected failures. Door Lock Status authentication provides secure access control by verifying the status of vehicle doors and enabling remote locking and unlocking functionalities.
Real-Time Diagnostics Monitoring plays a vital role in detecting and diagnosing vehicle faults and malfunctions, enabling timely maintenance and repairs to ensure vehicle reliability and safety. Service & Maintenance Updates deliver essential information regarding scheduled maintenance, software updates, and recalls, facilitating proactive maintenance and enhancing vehicle longevity. Navigation systems offer intuitive and accurate guidance for drivers, optimizing route planning and enhancing driving convenience and efficiency. Other component types encompass a range of functionalities, including vehicle immobilization, anti-theft measures, and driver authentication, further enhancing vehicle security and user experience.
Global Automotive End-Point Authentication Market, Segmentation by Geography
In this report, the Global Automotive End-Point Authentication Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Global Automotive End-Point Authentication Market Share (%), by Geographical Region, 2024
The report provides a detailed overview of the industry including both qualitative and quantitative information. It provides overview and forecast of the global automotive end-point authentication market based on various segments. It also provides market size and forecast estimates from year 2020 to 2028 with respect to five major regions, namely; North America, Europe, Asia-Pacific (APAC), Middle East and Africa (MEA) and South America. The automotive end-point authentication market by each region is later sub-segmented by respective countries and segments. The report covers analysis and forecast of 18 countries globally along with current trend and opportunities prevailing in the region.
The region's well-established automotive sector, particularly in the United States and Canada, fosters the adoption of advanced security solutions to address the growing concerns related to vehicle cybersecurity and data privacy. Moreover, the increasing deployment of connected vehicles and the integration of advanced driver assistance systems (ADAS) contribute to the demand for end-point authentication solutions. With a robust ecosystem of automotive manufacturers, technology providers, and cybersecurity firms, North America is poised to remain at the forefront of innovation in automotive security solutions.
Countries within the European Union, such as Germany, France, and the United Kingdom, have implemented strict regulations to ensure the security and privacy of automotive data. The region's automotive industry is witnessing increased adoption of end-point authentication solutions to mitigate cybersecurity risks and comply with regulatory requirements. Additionally, the proliferation of electric vehicles and the development of autonomous driving technologies further drive the demand for robust security measures in vehicles. Europe's focus on innovation and sustainability positions it as a significant market for automotive end-point authentication solutions.
The Middle East and Africa region are witnessing steady growth in the Automotive End-Point Authentication Market, driven by increasing vehicle sales, infrastructure development, and regulatory efforts to improve vehicle safety and security. Countries like the United Arab Emirates, Saudi Arabia, and South Africa are investing in smart transportation initiatives and connected vehicle technologies, creating opportunities for end-point authentication solutions to address cybersecurity challenges. Additionally, the region's focus on sustainable transportation and the adoption of electric vehicles contribute to the demand for advanced security measures in vehicles. With growing investments in automotive technology and cybersecurity infrastructure, the Middle East and Africa present lucrative opportunities for market players in the automotive end-point authentication sector.
Market Trends
This report provides an in depth analysis of various factors that impact the dynamics of Global Automotive End-Point Authentication Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.
Drivers, Restraints and Opportunity Analysis
Drivers
- Increasing Connected Vehicle Sales
- Rising Concerns About Cybersecurity
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Adoption of Advanced Driver Assistance System- ADAS technologies encompass a wide range of features designed to enhance vehicle safety, improve driving comfort, and automate certain aspects of the driving process. These features include adaptive cruise control, lane departure warning, automatic emergency braking, and blind-spot detection, among others. As vehicles become increasingly equipped with ADAS functionalities, the complexity of vehicle systems and connectivity to external networks also increases, leading to heightened cybersecurity risks.
Incorporating end-point authentication solutions into vehicles equipped with ADAS serves multiple purposes. Firstly, it helps ensure the integrity and security of the ADAS components themselves, preventing unauthorized access or tampering that could compromise their functionality and safety features. By implementing robust authentication mechanisms, such as biometric verification or cryptographic protocols, manufacturers can mitigate the risk of cyberattacks targeting ADAS systems. Secondly, end-point authentication plays a crucial role in safeguarding the communication between ADAS components and external networks, such as cloud-based services or vehicle-to-everything (V2X) communication systems. Ensuring secure authentication of these end-points helps prevent unauthorized access or data breaches, preserving the privacy and safety of vehicle occupants and their personal information.
Moreover, the adoption of ADAS is closely intertwined with the development of autonomous driving technologies. As vehicles move towards higher levels of automation, the reliance on ADAS functionalities becomes even more pronounced. End-point authentication becomes indispensable in autonomous vehicles, where the vehicle's control systems must interact securely with a multitude of sensors, actuators, and communication channels.
Restraints
- Compatibility Issues
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Security and Privacy Risks- As vehicles become increasingly connected and digitized, they are susceptible to various cybersecurity threats, including hacking, malware attacks, and unauthorized access to sensitive data. These security risks not only jeopardize the safety and integrity of vehicle systems but also compromise the privacy of vehicle occupants by exposing their personal information to potential breaches. One of the primary concerns regarding security and privacy risks in the automotive sector is the potential for remote exploitation of vehicle vulnerabilities by malicious actors. Cyberattacks targeting vehicles can lead to serious consequences, including remote hijacking of vehicle controls, theft of personal data, and even physical harm to occupants. Moreover, compromised vehicle systems may also pose a threat to public safety if exploited for malicious purposes, such as causing accidents or disrupting traffic flow.
Additionally, the increasing complexity of automotive systems and the integration of third-party components further exacerbate security and privacy risks in vehicles. As vehicles rely on interconnected networks and software-driven functionalities, vulnerabilities in one component can potentially compromise the entire vehicle system. Moreover, the proliferation of aftermarket modifications and connected accessories introduces additional points of entry for cyber threats, making it challenging to ensure comprehensive security and privacy protections. Furthermore, regulatory compliance requirements, such as the General Data Protection Regulation (GDPR) in Europe and the California Consumer Privacy Act (CCPA) in the United States, impose stringent standards for data protection and privacy in the automotive sector. Failure to comply with these regulations can result in severe financial penalties and reputational damage for automotive manufacturers and service providers.
Addressing security and privacy risks in the Automotive End-Point Authentication Market requires a multi-faceted approach that encompasses robust encryption protocols, secure authentication mechanisms, intrusion detection systems, and continuous monitoring of vehicle systems for suspicious activities. Moreover, collaboration between automotive manufacturers, cybersecurity firms, regulatory authorities, and industry stakeholders is essential to establish industry-wide standards and best practices for mitigating security and privacy risks in vehicles.
Opportunities
- Rising Sales of Connected Vehicles
- Expansion of Automotive Cybersecurity Regulations
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Advancements in Biometric Authentication Technologies- Biometric authentication methods, such as fingerprint recognition, facial recognition, and voice recognition, offer enhanced security and user convenience compared to traditional authentication methods like passwords or key fobs. In the automotive industry, biometric authentication technologies are increasingly being integrated into vehicles to enhance security, personalize user experiences, and mitigate the risks associated with unauthorized access. One of the key opportunities presented by advancements in biometric authentication technologies is the ability to improve vehicle security. Biometric authentication provides a robust and reliable means of verifying the identity of individuals accessing vehicle systems or features. By using unique physical or behavioral characteristics, such as fingerprints or facial features, biometric authentication systems can accurately authenticate authorized users and prevent unauthorized access to vehicles. This helps to protect sensitive data stored within the vehicle, prevent vehicle theft, and safeguard against cyberattacks targeting connected vehicle systems.
Advancements in biometric authentication technologies enable greater personalization and customization of the vehicle user experience. Biometric systems can recognize individual drivers and automatically adjust vehicle settings, such as seat position, climate control preferences, and infotainment options, to suit their preferences. This enhances user comfort and convenience while driving, creating a more personalized and enjoyable driving experience for vehicle occupants. Moreover, biometric authentication technologies offer opportunities to enhance the security of vehicle-based services and applications. For example, biometric authentication can be used to secure access to vehicle telematics systems, mobile apps, and in-car entertainment systems, ensuring that only authorized users can access sensitive features and data. This helps to protect against unauthorized use of vehicle services and prevents unauthorized access to personal information stored within the vehicle.
Competitive Landscape Analysis
Key players in Global Automotive End-Point Authentication Market include:
- Delphi Automotive PLC
- Robert Bosch
- Toshiba
- Continental
- Johnson Electric
- Mitsubishi Electric Corporation
- NXP Semiconductors
- Harman International
- Infineon Technologies
- Texas Instruments
- Denso Corporation
- Panasonic
In this report, the profile of each market player provides following information:
- Company Overview and Product Portfolio
- Key Developments
- Financial Overview
- Strategies
- Company SWOT Analysis
- Introduction
- Research Objectives and Assumptions
- Research Methodology
- Abbreviations
- Market Definition & Study Scope
- Executive Summary
- Market Snapshot, By Authentication Type
- Market Snapshot, By Vehicle Type
- Market Snapshot, By Connectivity Type
- Market Snapshot, By Component Type
- Market Snapshot, By Region
- Global Automotive End-Point Authentication Market
- Drivers, Restraints and Opportunities
- Drivers
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Increasing Connected Vehicle Sales
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Rising Concerns About Cybersecurity
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Adoption of Advanced Driver Assistance System
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- Restraints
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Compatibility Issues
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Security and Privacy Risks
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- Opportunities
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Rising Sales of Connected Vehicles
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Expansion of Automotive Cybersecurity Regulations
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Advancements in Biometric Authentication Technologies
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- Drivers
- PEST Analysis
- Political Analysis
- Economic Analysis
- Social Analysis
- Technological Analysis
- Porter's Analysis
- Bargaining Power of Suppliers
- Bargaining Power of Buyers
- Threat of Substitutes
- Threat of New Entrants
- Competitive Rivalry
- Drivers, Restraints and Opportunities
- Market Segmentation
- Global Automotive End-Point Authentication Market, By Authentication Type, 2021 - 2031 (USD Million)
- Biometric Vehicle Access
- Smartphone Applications
- Automotive Wearables
- Global Automotive End-Point Authentication Market, By Vehicle Type, 2021 - 2031 (USD Million)
- Passenger car
- Electric vehicle
- Global Automotive End-Point Authentication Market, By Connectivity Type, 2021 - 2031 (USD Million)
- Wi-Fi
- Bluetooth
- Cellular Network
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Global Automotive End-Point Authentication Market, By Component Type, 2021 - 2031 (USD Million)
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Advanced Driver Assistance System
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Battery Status
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Door Lock Status
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Real Time Diagnostics Monitoring
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Service & Maintenance Updates
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Navigation
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Others
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- Global Automotive End-Point Authentication Market, By Geography, 2021 - 2031 (USD Million)
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North America
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United States
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Canada
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Europe
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Germany
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United Kingdom
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France
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Italy
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Spain
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Nordic
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Benelux
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Rest of Europe
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Asia Pacific
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Japan
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China
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India
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Australia & New Zealand
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South Korea
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ASEAN (Association of South East Asian Countries)
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Rest of Asia Pacific
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Middle East & Africa
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GCC
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Israel
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South Africa
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Rest of Middle East & Africa
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Latin America
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Brazil
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Mexico
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Argentina
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Rest of Latin America
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- Global Automotive End-Point Authentication Market, By Authentication Type, 2021 - 2031 (USD Million)
- Competitive Landscape
- Company Profiles
- Delphi Automotive PLC
- Robert Bosch
- Toshiba
- Continental
- Johnson Electric
- Mitsubishi Electric Corporation
- NXP Semiconductors
- Harman International
- Infineon Technologies
- Texas Instruments
- Denso Corporation
- Panasonic
- Company Profiles
- Analyst Views
- Future Outlook of the Market