IC Insights predicts that the sales of automotive electronic systems will grow by 7% in 2018 and 6.3% next year. The growth rate in the six major semiconductor terminal applications...
According to market research company IC Insights, as technology advances continue to increase the amount of electronic components in the car, it is expected that by 2021, automotive electronic systems will continue to be a growing application in the six major semiconductor terminal markets.
IC Insights market analysts pointed out that the sales of automotive electronic systems this year are expected to grow by 7% to reach US$152 billion, and in 2019 it will grow by 6.3% to reach US$162 billion. The company predicts that from 2017 to 2021, automotive electronic system sales will grow at a compound annual growth rate (CAGR) of 6.4%, which is faster than other major electronic system categories.
On the whole, the market value of global electronic systems in 2018 is expected to reach US$1.62 trillion. The company also expects automotive electronic systems to account for 9.4%, slightly higher than last year's 9.1%.
Although IC Insights expects the automotive electronics market to grow rapidly, its market share is still relatively small compared with other major electronic system markets (including communications, computers, industrial/medical and consumer).
In recent years, as new technologies such as ADAS, communications, and infotainment have taken over the cockpit of automobiles, the electronic components in vehicles have continued to grow rapidly. IC Insights said that focusing on other technologies such as autonomous vehicles, vehicle-to-vehicle (V2V) communications, vehicle safety, convenience, and environmental characteristics will continue to promote the development of the automotive autonomous driving system market.
The company said that as after-sales service products bring more and more new developments to mid-level and entry-level cars, it has further improved the growth of automotive systems in recent years.
IC Insights said that the growth of automotive electronic systems is undoubtedly good news for MCU, analog IC, and sensor manufacturers in particular. The company said that the automotive-specific logic chip market is expected to grow by 29% this year, and the sales of automotive analog ICs added to more vehicles as backup cameras, blind spot detectors and other systems are expected to grow by 14%. At the same time, the company added that DRAM and flash memory play an increasingly important role when developing new automotive system solutions.