A recent Morgan Stanley Audio Entertainment Survey reveals a mixed bag for Google in the automotive tech space.
Android Auto usage has dropped by 7% year-over-year, while Apple’s CarPlay saw a 2% increase in user adoption.
Decline in Android Auto Usage
The decline in Android Auto usage is attributed to a combination of factors, including users switching from Android to iPhone and vehicles where Android Auto is no longer in use.
YouTube Music Gains Momentum
On the flip side, Google’s YouTube Music has become a popular choice for in-car entertainment. The survey highlights that YouTube Music is widely used across all platforms, including Apple’s CarPlay, where it rivals longstanding services like SiriusXM.
Notably, YouTube Music is outperforming competitors like Spotify and Apple Music in the car entertainment space, buoyed by its music streaming, podcasts, and “Premium” subscription features.
Key Takeaways
While Android Auto’s decline reflects shifting user preferences and market dynamics, YouTube Music’s success showcases Google’s strength in audio entertainment, even beyond its own ecosystem.
