As more and more vehicles are connected to the road, the automotive IC market is expected to grow at a CAGR of around 12.5% during the forecast period. Increasing demand for connectivity, as well as higher number of services and infotainment devices, is positively impacting the automotive IC market research analysis.
The automobile industry is one of the most important and rapidly growing sectors of the global economy. The number of cars sold every year is constantly increasing and new vehicles are being introduced to the market. The market for automotive integrated circuits, which includes semiconductors, sensors and other electronic components, is also growing.
Integrated circuits are small electronic circuits that have been used for over 60 years. They are used in almost all modern electronic devices, from computers to mobile phones, and are also used in transportation equipment such as autos, airplanes, and boats. The size of the market for automotive integrated circuits is forecast to grow from $35 billion in 2016 to $56 billion in 2026.
In conclusion, In the next few years, the automotive industry is going to witness significant growth due to the advent of connected cars and increasing demand for driver-assistance systems. The Automotive Integrated Circuit (ICs) market has been segmented based on component, protocol, vehicle type, and region.
The worldwide market for Automotive integrated circuit is expected to reach USD 23,132.5 million by 2022, at a CAGR of 7.55% during the forecast period. The market is driven by growing demand for automotive electronics, which is witnessing a significant growth owing to technological advancements, increasing penetration of smartphones in mobile devices, growing demand for advanced safety features, increasing demands for automotive telematics, and increasing demand for intelligent driver assistance systems. The automotive ICs market is also subject to stringent regulations for emissions, noise, and crash safety.
The automotive industry is a large consumer of semiconductors, which are used in a variety of applications, including in the powertrain, infotainment systems and for entertainment applications. In recent years, the automotive industry has been aggressively adopting connectivity and multimedia capabilities in their vehicle infotainment systems, which have led to the demand for integrated circuits for entertainment and infotainment applications. The automotive industry is expected to continue to be the largest consumer of semiconductors through to 2021.
The automotive industry has a long history of utilizing semiconductors. In the early days, the electromechanical engine controllers were often manually powered by a car’s alternator, and were prone to mechanical and electrical faults as a result. Electrical controls for engine management and other systems also required many phases of mechanical relays.