Date: 18/10/2010

Latest automotive electronics market update from iSuppli

Market research firm iSuppli has reported below latest analytical info in automotive electronics domain.
iSuppli reported Automotive navigation systems increasingly are transitioning from standalone devices to connected systems capable of accessing up-to-date map data and other information from the cloud.

About 20 percent of in-vehicle navigation systems sold in 2010 will include connectivity, either through an embedded modem or a tethered mobile device, amounting to 1.8 million units. This will rise to 90 percent in 2017, amounting to 27 million units, reports iSuppli.

"Rising sales of navigation systems with two-way connectivity are being fueled by the advantages of connecting to the cloud," said Phil Magney, vice president of automotive research for iSuppli. "By connecting to the cloud, navigation systems give motorists access to the most up-to-date databases in the world. Traffic, weather, and points of interest change constantly, so access to the cloud is vital."

iSuppli estimates worldwide sales of all types of navigation systems will exceed 100 million units in 2010, with smart phones and Portable Navigation Devices (PNDs) accounting for the bulk of the units. Slightly more than 9 million in-vehicle navigation systems will be sold in 2010, dwarfed by the nearly 100 million PND and smart phone sales. Smart phones will generate the growth in the navigation segment. PND shipments during the next decade at about 40 million units. In comparison, 330 million smart phones with navigation will be sold in 2017.

On the geographical market data, iSuppli estimated China's automotive electronics revenue will rise to $20.6 billion in 2012, up from $16.0 billion in 2009. The U.S. auto electronics market will amount to $20.5 billion in 2012, giving China the top spot.

As per the report mainstream automotive electronics systems in China presently are not too complex or intelligent. These systems mainly focus on steering, driver assistance, passive restraint, brake and control systems and comfort and convenience.

However, during the next three years, customers will demand car electronics designed to improve ease of use, comfort and safety. These include energy systems, safety systems, collision avoidance, drive-by-wire, control systems, smart sensors and actuators, integrated vehicle electric and electronic systems and thermal comfort systems, says iSuppli.

iSuppli forecast that the revenue for automotive safety control electronics applications China will reach $2.5 billion in 2010, up 25.6 percent from 2009. This market will double during the next five years and become one of the most important drivers for the entire China automotive electronics industry.