By ATN
Summary: Marelli has introduced its Affordable 5G RedCap technology for automotive telematics, offering a 50% higher data rate and 2.5× lower latency than 4G, while maintaining a similar cost. Adapted from 5G RedCap technology used in connected and wearable devices, it provides faster data transmission, lower latency, reduced hardware complexity, and minimal power consumption—critical advantages for electric and connected vehicles. The solution also supports seamless switching between 4G and 5G, integrates dual-frequency GNSS, next-gen Wi-Fi, and Bluetooth, and ensures compliance with the U.S. Hardware and Software Ban and USMCA requirements for in-region content. Production samples will be available in early 2026, with the first global SOP planned for 2028.
Key engineering takeaway: Affordable 5G RedCap delivers advanced telematics connectivity with minimal hardware complexity and power requirements, enabling electric and connected vehicles to benefit from faster data rates and lower latency while remaining cost-effective.
Why it matters: The technology offers a practical and future-proof alternative to traditional 5G for vehicles, addressing challenges such as 4G phase-out, regulatory compliance, and affordability, while supporting real-time services like navigation, media streaming, and over-the-air updates.
Marelli, a global technology supplier to the automotive sector, has unveiled its breakthrough Affordable 5G RedCap (Reduced Capability) technology for vehicle telematics that provides a 50% higher data rate with 2.5 times less latency than 4G, while still achieving a comparable price point.
Affordable 5G RedCap is a streamlined version of the 5G technology, already adopted for connected and wearable devices. Marelli has adapted this technology for the automotive sector, offering faster data transmission, lower latency, reduced hardware complexity, and minimal power consumption – which are key advantages for electric and connected vehicles. The new solution also provides an affordable alternative to traditional 5G for the upcoming phase-out of 4G networks, projected to start in certain regions beginning as early as 2030. Additionally, Marelli is working in close partnership with a leading telematics module supplier to ensure this next-generation telematics solution is compliant with the U.S. Hardware and Software Ban and USMCA (United States–Mexico–Canada Agreement) requirements for in region manufactured content.
The technology seamlessly switches between 4G and 5G networks, ensuring uninterrupted connectivity even in areas with limited or no 5G coverage. It also integrates dual-frequency GNSS (Global Navigation Satellite System) along with next-generation Wi-Fi and Bluetooth to further enhance drivers’ and passengers’ connectivity experience for media streaming, real-time navigation and over-the-air updates.
“Affordable 5G RedCap is a game-changer in automotive telematics. It solves for all the pain points we hear from vehicle makers today – 4G sunset, obsolescence, affordability, U.S. Ban and USMCA compliance”, said Nate Sladek, Vice President Strategy and Product Management of Marelli’s Electronics business. “By offering advanced connectivity capabilities at a price point close to 4G, we’re setting a new benchmark for affordable connectivity, especially for vehicles that don’t require the full performance of traditional 5G.”
Marelli’s Affordable 5G RedCap solution is ready for demonstration, with production samples available in early 2026 and the first global start of production (SOP) targeted in 2028.
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