Diagnostics-as-a-Service (DaaS) is a new, growing business model seeing widespread acceptance in auto diagnostics. After years of improvement and innovation in R&D, DaaS players have created unique solutions to help all segments of automotive repair workshops on vehicle diagnostics. Though many key players have been around for more than 10 years, the current market phase will be the starting point for huge future potential growth. Earlier, handheld diagnostics were market leaders in the segment. However, finding the right tool for a vehicle, investing in new handheld tools, and the reliability of scanned DTC codes were all challenges. DaaS offers solutions to all these issues through an OEM scan tool, warranty for scanned DTC codes, OE repair procedures and troubleshooting guidelines, technician support through remote diagnostics, and much more. This study highlights the DaaS business model for the Class 1 to 3 passenger vehicle segment. The base year is 2022 and the forecast period is 2030. Revenue is expressed in US dollars. Growth drivers and restraints, key associations, legislation, international standards, and road map are discussed. Revenue, current and future business models, key competitors, and growth factors are highlighted for each segment. DaaS revenue is further classified into two primary categories: diagnostics and ADAS calibration. The study also highlights regional outlook, growth opportunities, company profiles, and case studies of different business models in DaaS. Innovative business models will generate $3.28 billion by 2030 and collision centers, the highest DaaS-related revenue. EV battery diagnostics boasts a CAGR of 27.8%.
Revenue Forecast
The revenue estimate for the base year 2023 is $1.42 billion with a CAGR of 12.7% for the study period from 2023 to 2030.

The Impact of the Top 3 Strategic Imperatives on the DaaS Industry
Innovative Business Model
WHY:
- Large-scale body workshops and automotive service providers look forward to capitalizing on the subscription-cost investment of OEM tools, remote diagnostic access, and calibration equipment. The private label business model will be the innovative business model that enables large organizations to cater to small workshops.
FROST PERSPECTIVE:
- The trend of getting vehicles to OEM dealerships for diagnostics and ADAS calibration will tend to decrease as OEM-level diagnostic scans become available in the aftermarket at a cheaper cost.
Disruptive Technologies
WHY:
- As part of new legislative changes globally, from emissions standards to the right-to-repair law, aftermarket vehicle repair will mandatorily involve accessing the manufacturer’s vehicle data efficiently, ensuring safe repairs.
FROST PERSPECTIVE:
- In aftermarket diagnostic and calibration scans, the DaaS Rule Engine helps in identifying the correct OEM tools concerning vehicle manufacturer and year of model, and through AI and ML, it provides a faster and more efficient way of troubleshooting the error codes.
Transformative Mega Trends
WHY:
- Increasing CASE vehicles, which is shifting the automobile industry landscape, is also a transformative megatrend for the DaaS business model.
FROST PERSPECTIVE:
- Penetration of ADAS vehicles in VIO provides an opportunity for the DaaS provider to tap into the ADAS calibration opportunity.
- There is huge potential in battery diagnostics, monitoring, and evaluating EV batteries from the state of health (SOH) to range.
Scope of Analysis
| Geographic Scope | North America: the United States and Canada EU5 (EU4+UK): Germany, France, Italy, Spain and the United Kingdom |
| Vehicle Category | Passenger Vehicle Class 1 to 3 |
| Year | Study Period: 2022–2030; Base Year: 2023; Forecast: 2024–2030 |
| Units | Revenue in US dollars; cost of subscription and average cost of diagnostic and calibration scan per repairable estimate |
| Study Target | Remote diagnostics, mobile diagnostics, static and dynamic calibration, EV battery diagnostics, on-board diagnostics (OBD) vehicle inspection, in-house diagnostics. |
| Focus |
|
Segmentation
DaaS
- Vehicle Maintenance/ Repair
- Diagnostic and calibration scan jobs in vehicle service workshops; pre- and post-repair scans, programming and calibration scan jobs during major repairs and parts replacements, including engine sensor, engine control unit (ECU), tire pressure monitoring sensor (TPMS), and tire and windshield replacement.
- Vehicle Collision Repair
- Diagnostics and calibration scan jobs for repairable accident vehicles in collision repair body shops.
- EV Battery Diagnostics
- EV battery diagnostics to evaluate and monitor the SOH and range of the battery; use of EV battery diagnostics by service workshops and user car dealers for battery troubleshooting and evaluating the market price of the EV.
- Vehicle Appraisal through Diagnostics
- Certified vehicle appraisal through OBD dongle; evaluating repair estimates and the current market value of the vehicle through AI and ML, open for integration with both the independent auto dealer's platform and the vehicle data platform.
Vehicle Maintenance/ Repair
- Diagnostic Scans
- In-house
- Mobile
- Remote
- Calibration Scans
- In-house
- Mobile
- Remote
Vehicle Collision Repair
- Diagnostic Scans
- In-house
- Mobile
- Remote
- Calibration Scans
- In-house
- Mobile
- Remote
EV Battery Diagnostics
Service Workshops
- EV battery diagnostics scan jobs in service workshop
- Independent Auto Dealers
- EV battery diagnostics for determining market value of used EV vehicles
Vehicle Appraisal through Diagnostics
- Independent Auto Dealers
- Vehicle inspection, evaluating current market value of used vehicle through OBD
Competitive Environment
| Number of Competitors | 15 to 20 |
| Competitive Factors | Technical knowledge and capability, availability |
| Key End-user Industry Verticals | Garages, Workshops, dealership network |
| Leading Competitors | Repairify, Opus IVS, AirPro Diagnostics, LKQ Elitek |
| Revenue Share of Top 4 Competitors (2023) | 78%–80% |
| Other Notable Competitors | Autel, Jifeline Networks, Launch, Maverick diagnostics, Bosch, and Hella Gutman |
| Distribution Structure | Aftermarket dealership network |
| Notable Acquisitions and Mergers | LKQ Elitek’s acquisition of Greenlight Automotive, a mobile diagnostics service business |
Key Competitors
Vehicle Maintenance/ Repair
- asTech by Repairify Inc
- AirPro Diagnostics
- Elitek Vehicle Services by LKQ Corp
- Opus IVS
- Maverick Diagnostics
- Precision Diagnostics
- Core Diagnostics
- Jifeline Networks BV
- A1 Remote Diagnostics
Vehicle Collision Repair
- asTech by Repairify Inc
- AirPro Diagnostics
- Elitek Vehicle Services by LKQ Corp
- Opus IVS
- Maverick Diagnostics
- Precision Diagnostics
- Core Diagnostics
- Jifeline Networks BV
- A1 Remote Diagnostics
EV Battery Diagnostics
- AVILO Gmbh
- Alteium Inc and Alteium Insights Ltd.
- Recurrent Motors, Inc
- Moba
- Cox Automotive
- BAMOMAS
- Dekra
- Mahle
- My Battery Health
- ACCURE Battery Intelligence Inc.
Vehicle Appraisal through Diagnostics
- CarDr.com
- Accu-Trade, LLC by Cars.com
- VINTEL by VinLogx
- Dealerslink
- Autovision
Why Is It Increasingly Difficult to Grow?
The Strategic Imperative 8™
The Impact of the Top 3 Strategic Imperatives on the DaaS Industry
Scope of Analysis
Segmentation
Segmentation (continued)
Service Types in Each DaaS Segmentation by Service Type
Key Questions this Research Analytics will Answer
Competitive Environment
Key Competitors
Key Competitor Business Model
Growth Drivers
Growth Restraints
Key Findings
Regional Highlights of DaaS Business Model
Regional Highlights of DaaS Business Model (continued)
Regional Highlights of DaaS Business Model (continued)
Legislations Influencing DaaS Business Model
DaaS Roadmap
Associations
DaaS Current and Future Business Models
DaaS Competitors: OEs, Tools Suppliers and Manufacturers, and Traditional Players
DaaS Segments and Revenue Growth Factor
Emerging Trends in Application of DaaS & Regional Comparison
DaaS Business Model: Scan Job Penetration
Forecast Considerations
Growth Metrics
Revenue Forecast
Revenue Forecast by Segment
Revenue Forecast by Region
Revenue Forecast Analysis
Pricing* Trends and Forecast Analysis
Revenue Share Analysis of Top Participants
Growth Metrics
The DaaS Advantage for Service Workshops
Vehicle Maintenance/Repair Revenue Forecast
Vehicle Maintenance/Repair Revenue Forecast by Region
Vehicle Maintenance/Repair Revenue Forecast by Repair Type, NA
Diagnostic Scan Revenue Forecast, NA
Diagnostic Scan Revenue Forecast by Service Type, NA
Calibration Scan Revenue Forecast, NA
Calibration Scan Revenue Forecast by Service Type, NA
Vehicle Maintenance/Repair Revenue Forecast by Repair Type, EU5
Diagnostic Scan Revenue Forecast, EU5
Diagnostic Scan Revenue Forecast by Service Type, EU5
Calibration Scan Revenue Forecast, EU5
Calibration Scan Revenue Forecast by Service Type, EU5
Pricing Trend and Forecast Analysis
Revenue Forecast Analysis
Competitors’ Current and Future Outlook
Case Study: Jifeline Network BV’s Private Label Business Model
Growth Metrics
Daas Equips Collision Centers with Access to OEM Tools
Vehicle Collision Repair Revenue Forecast
Vehicle Collision Repair Revenue Forecast by Region
Collision Repair Revenue Forecast by Repair Type, NA
Diagnostic Scan Revenue Forecast, NA
Diagnostic Scan Revenue Forecast by Service Type, NA
Calibration Scan Revenue Forecast, NA
Calibration Scan Revenue Forecast by Service Type, NA
Collision Repair Revenue Forecast by Repair Type, EU5
Diagnostic Scan Revenue Forecast, EU5
Diagnostic Scan Revenue Forecast by Service Type, EU5
Calibration Scan Revenue Forecast, EU5
Calibration Scan Revenue Forecast by Service Type, EU5
Pricing* Trends and Forecast Analysis
Revenue Forecast Analysis
Competitors Current and Future Outlook
asTech’s Rule Engine
Airpro Diagnostic’s Auggie: Unique ADAS Calibration Solution
Training Program
Growth Metrics
DaaS Equips Independent Auto Dealers/Workshop for EV Battery Diagnostics
EV Battery Diagnostics Revenue Forecast
EV Battery Diagnostics Revenue Forecast by Region
EV Battery Diagnostic Revenue Forecast by Service Type, NA
EV Battery Diagnostic Revenue from Independent Service Workshop, NA
EV Battery Diagnostic Revenue from Independent Auto Dealers, NA
EV Battery Diagnostic Revenue Forecast by Service Type, EU5
EV Battery Diagnostic Revenue from Independent Service Workshops, EU5
EV Battery Diagnostic Revenue from Independent Auto Dealers, EU5
Pricing* Trends and Forecast Analysis
Revenue Forecast Analysis
Revenue Forecast Analysis (continued)
Competitors’ Current and Future Outlook
Aviloo Battery Diagnostic Business Model
Growth Metrics
DaaS Equips Car Appraiser with Vehicle Fault codes
Vehicle Appraisal Through Diagnostics Revenue Forecast, NA and EU5
Vehicle Appraisal Through Diagnostics Revenue Forecast by Region
Vehicle Appraisal Through Diagnostics Revenue Forecast, NA
Vehicle Appraisal Through Diagnostics Revenue Forecast, EU5
Pricing* Trends and Forecast Analysis
Revenue Forecast Analysis
Competitors Current and Future Outlook
CarDr Vehicle Inspection Business Model
Price Point: Common Scan Cost in Collision and Service Centers, NA
Price Point: Common Scan Cost in Collision and Service Centers, EU5
asTech part of Repairify Group
Airpro Diagnostics
Elitek Vehicle Services, a part of LKQ
Precision Diagnostics
Jifeline Networks BV
Cardr.com
Opus IVS Drew Technologies
Maverick Diagnostics
Growth Opportunity 1: Automated Remote Diagnostics
Growth Opportunity 1: Automated Remote Diagnostics (continued)
Growth Opportunity 2: Private Label Models
Growth Opportunity 2: Private Label Models (continued)
Growth Opportunity 3: EV Battery Diagnostics
Growth Opportunity 3: EV Battery Diagnostics (continued)
The Last Word: 3 Big Predictions
International Diagnostic Standards
Best Practices Recognition
Frost Radar
Benefits and Impacts of Growth Opportunities
Next Steps
Take the Next Step
List of Exhibits
List of Exhibits (continued)
List of Exhibits (continued)
Legal Disclaimer
- DaaS: Growth Drivers, NA & EU5, 2024–2030
- DaaS: Growth Restraints, NA & EU5, 2024–2030
- DaaS: Growth Metrics, NA & EU5, 2023–2030
- DaaS: Revenue Forecast, NA & EU5, 2022–2030
- DaaS: Revenue Forecast by Segment, NA & EU5, 2022–2030
- DaaS: Revenue Forecast by Region, NA & EU5, 2022–2030
- DaaS: Pricing Trend Forecast by Segment, 2022–2030
- DaaS: Revenue Share by Top Participant, 2023
- Vehicle Maintenance/Repair: Growth Metrics, NA & EU5, 2023–2030
- Vehicle Maintenance/Repair: DaaS Revenue Forecast, NA & EU5, 2022–2030
- Vehicle Maintenance/Repair: DaaS Revenue Forecast by Region, NA & EU5, 2022–2030
- Vehicle Maintenance/Repair: DaaS Revenue Forecast by Repair Type, NA, 2022–2030
- Vehicle Maintenance/Repair: Diagnostics Revenue Forecast, NA, 2022–2030
- Vehicle Maintenance/Repair: Diagnostics Revenue Forecast by Service Type, NA, 2022–2030
- Vehicle Maintenance/Repair: Calibration Revenue Forecast, NA, 2022–2030
- Vehicle Maintenance/Repair: Calibration Revenue Forecast by Service Type, NA, 2022–2030
- Vehicle Maintenance/Repair: DaaS Revenue Forecast by Repair Type, EU5, 2022–2030
- Vehicle Maintenance/Repair: Diagnostic Revenue Forecast, EU5, 2022–2030
- Vehicle Maintenance/Repair: Diagnostic Revenue Forecast by Service Type, EU5, 2022–2030
- Vehicle Maintenance/Repair: Calibration Revenue Forecast, EU5, 2022–2030
- Vehicle Maintenance/Repair: Calibration Revenue Forecast by Service Type, EU5, 2022–2030
- Vehicle Maintenance/Repair: Yearly Diagnostics Subscription Pricing Forecast, NA & EU5, 2022–2030
- Vehicle Collision Repair: Growth Metrics, NA & EU5, 2023–2030
- Vehicle Collision Repair: DaaS Revenue Forecast, NA & EU5, 2022–2030
- Vehicle Collision Repair: DaaS Revenue Forecast by Region, NA & EU5, 2022–2030
- Vehicle Collision Repair: DaaS Revenue Forecast by Repair Type, NA, 2022–2030
- Vehicle Collision Repair: Diagnostic Revenue Forecast by Service Type, NA, 2022–2030
- Vehicle Collision Repair: Calibration Revenue Forecast, NA, 2022–2030
- Vehicle Collision Repair: Calibration Revenue Forecast by Service Type, NA, 2022–2030
- Vehicle Collision Repair: DaaS Revenue Forecast by Repair Type, EU5, 2022–2030
- Vehicle Collision Repair: Diagnostic Scan Revenue Forecast, EU5, 2022–2030
- Vehicle Collision Repair: Diagnostic Revenue Forecast by Service Type, EU5, 2022–2030
- Vehicle Collision Repair: Calibration Revenue Forecast, EU5, 2022–2030
- Vehicle Collision Repair: DaaS Revenue Forecast by Service Type, EU5, 2022–2030
- Vehicle Collision Repair: Yearly Diagnostics Subscription Pricing Trends and Forecast, NA & EU5, 2022–2030
- EV Battery Diagnostics: Growth Metrics, NA& EU5, 2023–2030
- EV Battery Diagnostics: DaaS Revenue Forecast, NA & EU5, 2022–2030
- EV Battery Diagnostics: DaaS Revenue Forecast by Service Type, NA, 2022–2030
- EV Battery Diagnostics: Service Workshop – DaaS Revenue Forecast, NA, 2022–2030
- EV Battery Diagnostics: Independent Auto Dealer – DaaS Revenue Forecast, NA, 2022–2030
- EV Battery Diagnostics: DaaS Revenue Forecast by Diagnostic Type, EU5, 2022–2030
- EV Battery Diagnostics: Service Workshop – DaaS Revenue Forecast, EU5, 2022–2030
- EV Battery Diagnostics: Independent Auto Dealer – DaaS Revenue Forecast, EU5, 2022–2030
- EV Battery Diagnostics: Yearly Subscription Pricing Analysis, NA & EU5, 2022–2030
- Vehicle Appraisal Through Diagnostics: Growth Metrics, NA& EU5, 2023–2030
- Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast, NA & EU5, 2022–2030
- Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast by Region, NA & EU5, 2022–2030
- Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast, NA, 2022–2030
- Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast, EU5, 2022–2030
- Vehicle Appraisal Through Diagnostics: Yearly Diagnostics Subscription Pricing Analysis, NA & EU5, 2022–2030
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Key Issues Addressed
- What are the key initiatives taken by DaaS providers to capture market share?
- What are the notable value chain enablers driving the growth of the segment?
- What are the regional trends, business models, and legislations associated with the DaaS business model?
- What is the current and future market potential of various segments of DaaS?
- What are the potential growth opportunities that are not still explored in the DaaS business model?
- Who are the key players in each segment of DaaS and their unique business model?
Author: Benson Augustine
| Deliverable Type | Market Research |
|---|---|
| Author | Benson Augustine |
| Industries | Automotive |
| No Index | No |
| Is Prebook | No |
| Keyword 1 | Automotive Industry |
| Keyword 2 | Future Of Automotive Industry |
| Keyword 3 | Ai In Automotive Industry |
| List of Charts and Figures | DaaS: Growth Drivers, NA & EU5, 2024–2030~ DaaS: Growth Restraints, NA & EU5, 2024–2030~ DaaS: Growth Metrics, NA & EU5, 2023–2030~ DaaS: Revenue Forecast, NA & EU5, 2022–2030~ DaaS: Revenue Forecast by Segment, NA & EU5, 2022–2030~ DaaS: Revenue Forecast by Region, NA & EU5, 2022–2030~ DaaS: Pricing Trend Forecast by Segment, 2022–2030~ DaaS: Revenue Share by Top Participant, 2023~ Vehicle Maintenance/Repair: Growth Metrics, NA & EU5, 2023–2030~ Vehicle Maintenance/Repair: DaaS Revenue Forecast, NA & EU5, 2022–2030~ Vehicle Maintenance/Repair: DaaS Revenue Forecast by Region, NA & EU5, 2022–2030~ Vehicle Maintenance/Repair: DaaS Revenue Forecast by Repair Type, NA, 2022–2030~ Vehicle Maintenance/Repair: Diagnostics Revenue Forecast, NA, 2022–2030~ Vehicle Maintenance/Repair: Diagnostics Revenue Forecast by Service Type, NA, 2022–2030~ Vehicle Maintenance/Repair: Calibration Revenue Forecast, NA, 2022–2030~ Vehicle Maintenance/Repair: Calibration Revenue Forecast by Service Type, NA, 2022–2030~ Vehicle Maintenance/Repair: DaaS Revenue Forecast by Repair Type, EU5, 2022–2030~ Vehicle Maintenance/Repair: Diagnostic Revenue Forecast, EU5, 2022–2030~ Vehicle Maintenance/Repair: Diagnostic Revenue Forecast by Service Type, EU5, 2022–2030~ Vehicle Maintenance/Repair: Calibration Revenue Forecast, EU5, 2022–2030~ Vehicle Maintenance/Repair: Calibration Revenue Forecast by Service Type, EU5, 2022–2030~ Vehicle Maintenance/Repair: Yearly Diagnostics Subscription Pricing Forecast, NA & EU5, 2022–2030~ Vehicle Collision Repair: Growth Metrics, NA & EU5, 2023–2030~ Vehicle Collision Repair: DaaS Revenue Forecast, NA & EU5, 2022–2030~ Vehicle Collision Repair: DaaS Revenue Forecast by Region, NA & EU5, 2022–2030~ Vehicle Collision Repair: DaaS Revenue Forecast by Repair Type, NA, 2022–2030~ Vehicle Collision Repair: Diagnostic Revenue Forecast by Service Type, NA, 2022–2030~ Vehicle Collision Repair: Calibration Revenue Forecast, NA, 2022–2030~ Vehicle Collision Repair: Calibration Revenue Forecast by Service Type, NA, 2022–2030~ Vehicle Collision Repair: DaaS Revenue Forecast by Repair Type, EU5, 2022–2030~ Vehicle Collision Repair: Diagnostic Scan Revenue Forecast, EU5, 2022–2030~ Vehicle Collision Repair: Diagnostic Revenue Forecast by Service Type, EU5, 2022–2030~ Vehicle Collision Repair: Calibration Revenue Forecast, EU5, 2022–2030~ Vehicle Collision Repair: DaaS Revenue Forecast by Service Type, EU5, 2022–2030~ Vehicle Collision Repair: Yearly Diagnostics Subscription Pricing Trends and Forecast, NA & EU5, 2022–2030~ EV Battery Diagnostics: Growth Metrics, NA& EU5, 2023–2030~ EV Battery Diagnostics: DaaS Revenue Forecast, NA & EU5, 2022–2030~ EV Battery Diagnostics: DaaS Revenue Forecast by Service Type, NA, 2022–2030~ EV Battery Diagnostics: Service Workshop – DaaS Revenue Forecast, NA, 2022–2030~ EV Battery Diagnostics: Independent Auto Dealer – DaaS Revenue Forecast, NA, 2022–2030~ EV Battery Diagnostics: DaaS Revenue Forecast by Diagnostic Type, EU5, 2022–2030~ EV Battery Diagnostics: Service Workshop – DaaS Revenue Forecast, EU5, 2022–2030~ EV Battery Diagnostics: Independent Auto Dealer – DaaS Revenue Forecast, EU5, 2022–2030~ EV Battery Diagnostics: Yearly Subscription Pricing Analysis, NA & EU5, 2022–2030~ Vehicle Appraisal Through Diagnostics: Growth Metrics, NA& EU5, 2023–2030~ Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast, NA & EU5, 2022–2030~ Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast by Region, NA & EU5, 2022–2030~ Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast, NA, 2022–2030~ Vehicle Appraisal Through Diagnostics: DaaS Revenue Forecast, EU5, 2022–2030~ Vehicle Appraisal Through Diagnostics: Yearly Diagnostics Subscription Pricing Analysis, NA & EU5, 2022–2030~ |
| Podcast | No |
| WIP Number | K968-01-00-00-00 |
DaaS Business Models in the Automotive Sector, NA & EU5, 2023 2030
DaaS is Experiencing Transformational Growth due to Collision Centers and EV Battery Diagnostics
07-Aug-2024
North America
Market Research
