This study focuses on the potential growth factors of automobile-IT convergence by reviewing trends of automobiles and manufacturers in relation with automobile Information Technology (IT) and IT companies as well as through economic analysis in terms of growth accounting analysis in order to find out significant growth factors, followed by an estimation of the potential growth rate.
Since "Smart Life" has expanded its territory to the world of automobiles in line with its IT development, demand for IT-convergent vehicles has increased. Significantly, broad impacts have been exerted not only on the automobile manufacturers but also on the automobile part industry, IT part manufacturers and the chipset companies.
Therefore, relevant studies have been actively conducted worldwide, including studies on vehicle communication network technology that integrates vehicle and IT technologies and vehicle safety services.
This study proposes future characteristics through an economic feasibility study on the IT-converged automobile industry. Increased investment and raw material input are expected to contribute significantly to the growth while the increase in total factor productivity growth rate in the IT industry is predicted to become a critical factor in promoting potential growth rate in the future.