Automotive Electronics are electrically generated systems used in vehicles such as telemetric, car entertainment systems and carputers, etc. The need to control functions of electronic engine pieces was used and was referred as engine control units. In automobiles, two types of ECU’s are used that include transmission control module and engine control modules. In modern cars up to 150 ECU’s are used and in commercial vehicles up to 40.
The automotive industry is changing rapidly with increasing demand for safety and features from consumers are expected to drive the automotive electronics market in future. Emergency call system, accident data recorder system, and alcohol ignition interlocks are some of the technologies examples which are expected to stimulate market growth.
Integrated electronics are becoming a vital part of the industry, with classy electronic circuits, actuators, motors and sensors becoming a crucial part of the system. Approximately 60% of the cost of car cost comprises of the automotive electronic system. New technology such as driver assistance system and collision avoidance system gives an advantage by installing GPS enabled system in automotives. They also allow driver support system, intelligent lighting system and lane departure system that are enabled through the front lighting system. Usage data transmission, speed alert, and collision warning are some of the safety equipment fitted in modern automobiles.
Growing complexities such as hardware and software issues, harsh operating environments are expected to hamper the growth of the sector in future. Also, coordination issues in between the equipment manufacturers are also anticipated to hinder the growth of the market.
Key application segments include body electronics, power trains, ADAS, infotainment and safety systems. In 2015, automotive safety systems market accounted for over 26% of the overall industry. This can be accredited to mounting safety proposals from regulatory agencies and government across the globe. Some of the devices used to ensure safety in vehicles includes passenger sensing system, on/off switches for air bags, auto dimming mirrors, airbags, power stearing systems, etc. ADAS are the system designed to avoid accidents and collisions by implementing certain safeguards. In-vehicle infotainment system includes playing audio and video in the car, managing text msgs, navigation for driving, in car bac seat entertainment and aid in accessing smartphones while driving in critical traffic conditions.
Traffic sign recognition systems, driver monitoring system, are some of the affordable ADAS system used in modern vehicles. For large scale adoption of the safety system, New Car Assessment Program in China and Europe is mandating Lane Departure Warning and Automatic Emergency Braking. Also, the increasing use of safety systems in vehicles is expected to drive demand for ADAS in future.
Asia Pacific being the fastest and largest growing automobile market accounts for the majority of the global market and is expected to drive market growth owing to the increasing demand for low-cost vehicles, superior quality, and customized vehicles. C-NCAP’s safety assessment promoted by Government of China encourages buyers to see five-star rating as a guide top vehicles quality.
In North America, the growth of the automotive electronics market is owing to growing demand for convenience, comfort and rising concerns for safety amongst the consumers. There has been growing demand for adoption of green technologies owing to strict government norms or regulations to decrease modular platforms.
Electronics in vehicles is continuously spreading almost into all types of automobiles and automakers are expected to adopt the use of intelligent electronics which allows an environment friendly vehicle to consumers. Key participants in the industry include Johnson Controls, Bosh, Delphi, Continental, TRW, etc. OEM’s such as Mercedes are focusing on collecting consumer and vehicle data regarding package which includes financing, purchasing, and servicing of the vehicle along with short-term rental schemes.