Internet-connected vehicles will number 250 million by 2020, claims analyst firm Gartner.
Connected cars will become a major element of the Internet of Things (IoT), the analyst house predicts, saying their presence will lead to new in-car services and even self-driving automation.
Research director James Hines said: "The connected car is already a reality, and in-vehicle wireless connectivity is rapidly expanding from luxury models and premium brands, to high-volume midmarket models.
"The increased consumption and creation of digital content within the vehicle will drive the need for more sophisticated infotainment systems, creating opportunities for application processors, graphics accelerators, displays and human-machine interface technologies."
The growth in number equates to one in five vehicles on the road hosting a wireless network in five years time, and could change the concept of car ownership in urban areas, added the research firm.
The burgeoning IoT industry will see 4.9 billion devices in use by the end of the year, believes Gartner, a 30 per cent rise on 2014, before hitting 25 billion by 2020.
The IoT market still lacks a common standard, meaning that companies are still building web-connected devices to their own platform standards.
While the UK government-backed HyperCatCity initiative is trying to provide one overarching open standard for all, Gartner predicts that there won't be one dominant platform until at least 2018.
Alfonso Velosa, research director, said: "Some of the vendors and ecosystems may fail during the working lifetime of current IoT projects.
"CIOs will need to ensure their prime system integrator has a strategy to future-proof their project."
