Advanced Driver-Assistance Systems Estimated to be the Fastest Growing Technology Segment to 2025
The global automotive communication technology market is estimated to be USD 6.78 billion in 2018 and is projected to grow at a CAGR of 16.7% during the forecast period, to reach USD 19.99 billion by 2025.
Some of the major growth drivers for the market are the growing number of electronic systems in passenger cars, government mandates, and industry norms to reduce emission and improve the safety of vehicles. The rise in sales of premium vehicles and the emergence of autonomous vehicles can create new revenue generation opportunities for automotive communication technology providers. However, increase in cybersecurity threats for connected vehicles can pose a challenge for automotive communication technology providers.
The global automotive communication technology market is segmented by bus module, application, vehicle class, and region. The report discusses five automotive communication technology bus modules, namely, local interconnect network (LIN), controller area network (CAN), FlexRay, media oriented systems transport (MOST), and ethernet. CAN segment is estimated to account for the largest share of the automotive communication technology market. This segment is driven by factors such as increasing electronic content for applications such as powertrain, body control & comfort, and infotainment & communication.
The safety & ADAS segment is estimated to be the fastest growing market for automotive communication technology, by application. It is followed by infotainment & communication, body control & comfort, and powertrain. The growth of the safety & ADAS segment can be attributed to the increasing government mandates for safety norms in the automotive industry.
The economy vehicle class segment of the automotive communication technology market is expected to grow at the highest CAGR during the forecast period. It is followed by luxury and mid-size vehicle class segments. The luxury vehicle class segment is estimated to account for the largest share of the automotive communication technology market, following its wide application in vehicle electronics.
The Asia Pacific market is projected to hold the largest market share and is estimated to grow at a significant CAGR during the forecast period. The market growth in the region can be attributed to the increase in vehicle production and government mandates regarding the active and passive safety of vehicles. In addition, the increasing investment in infrastructure, construction activities, and increasing sales of luxury vehicles are also projected to drive the market growth in this region. Some of the major restraints for the global automotive communication technology market are high complexity and less reliability of electronics architecture and higher cost per node with the increase in communication nodes in a vehicle.
Advanced Driver-Assistance Systems Estimated to be the Fastest Growing Technology Segment to 2025
Modified on Wednesday 20th February 2019
Find all articles related to:
Advanced Driver-Assistance Systems Estimated to be the Fastest Growing Technology Segment to 2025