X-by-wire System Market - Growth, Trends, COVID-19 Impact, and Forecast (2022 - 2027)

X-by-wire System Market - Growth, Trends, COVID-19 Impact, and Forecast (2022 - 2027)

The X-by-wire system market was valued at USD 358.40 million in 2021 and is expected to reach USD 1,869.14 million by 2027, registering a CAGR of about 32.25% during the forecast period, 2022 – 2027.

The emergence of advanced driver assistance systems and the increasing levels of automation in vehicles is expected to increase the demand for automotive X-by-wire systems. However, currently, these systems have low penetration rates in the automotive market. Moreover, the focus of the automobile manufacturers towards increasing fuel efficiency and reducing the emission level of the vehicle is going to show significant demand for the X-by-wire System in the near future.

Moreover, Increased integration of vehicular systems in vehicles is also expected to boost the market globally, coupled with an increase in vehicle electrification in the automotive sector. Increased use of advanced features in vehicles, such as self-driving, cruise control, automatic transmission, lane departure warning systems, and other monitoring systems, is also anticipated to boost the X-by-wire system in terms of throttle, suspension, braking, gear shift for the automotive market.

X-by-wire systems are well-established and widely used in Europe and North America. The usage of these systems is also increasing rapidly in the Asia-Pacific regions, owing to an increase in consumer spending power, a demand for improved safety measures, and a requirement for increased vehicle fuel economy.

The major markets for these by-Wire systems are likely to be China, Germany, the United States, and Japan. Developing nations such as Mexico and others are projected to witness a rapid increase in demand for these technologies from automotive manufacturers, as seen by the increased manufacturing of X-by-wire systems.

Key Market TrendsThrottle -by-wire System Expected to Dominate the Market During the Forecast Period

The adoption rate of electric vehicles is increasing across the globe and with growing awareness about the benefits offered by the ADAS features, key manufacturers which offered only in the high-end luxury cars are now offering even in entry level models to attract customers. such instances expected to elevate the necessity of throttle by wire systems in the vehicle.

Indeed, throttle-by-wire is gaining popularity owing to numerous benefits over traditional mechanical systems such as eliminating binding problems in mechanical linkages, improved fuel economy, and allowing the deployment as a modular system, allowing the ECU to integrate torque management with cruise control, traction control, and stability control.

Many automakers, including Audi, Continental, Ford, and Bosch, have begun to focus on commercializing the autonomous car idea where throttle-by-wire systems play a crucial role by controlling the electric motors by sensing the accelerator pedal input and sending commands to the power inverter modules. For instance,

• In November 2021, China’s Great Wall Motors unveiled its intelligent chassis-by-wire based on Smart Coffee System 2.0 based on GEEP 4.0, a completely new electronic and electrical architecture where 5 core chassis systems in relation to steer-by-wire, brake-by-wire, shift-by-wire, throttle-by-wire and suspension-by-wire are integrated and controls automotive motions in the principle of six degrees of freedom.

In line with the growth in autonomous cars and technological developments, governments are also taking necessary steps to keep demand alive in the market. For instance,

• From 2020, all the newly manufactured cars in the US mandated to be installed with Automatic braking system, Lane Departure Warning System and Parking assistance system. This factor is expected to fuel the market for Throttle-by-wire systems.

Based on such developments, the throttle-by-wire segment of the market expected to witness decent growth over the forecast period.

North America Likely to Play Significant Role in the Development of Market

North America region anticipated to hold the largest market share during the forecast period. The rising demand for electric vehicles, especially demand for advanced self-driving cars to push growth of market over the forecast period. Moreover, in North America the market for X-by-Wire systems is already well-established and have a high penetration rate.

Several companies are also entering into partnership, collaborations, etc. to stabilize their position in the market. For instance,

• In March 2021, Motional announced that it would be using the all-electric Hyundai IONIQ 5 as the vehicle platform for its next generation robo taxi. Through its partnership, consumers in select markets will be able to book a Motional robo taxi through the Lyft app starting in 2023. Motional’s IONIQ 5 will be equipped with Level 4 autonomous driving capabilities, which means that it is also going to create opportunities for steer-by-wire system.
• In June 2021, Toyota Mobility Foundation (TMF), Energy Systems Network (ESN), and the Indiana Economic Development Corporation (IEDC), joined in hand with May Mobility, to launch a free autonomous shuttle service in Central Indiana. Autonomous vehicles are expected to create a demand for the X-by-wire system in the near future.

All the above-mentioned factors are going to boost the demand for X-by-wire system market in the North America. The use of these X-by-Wire systems is also growing significantly in the Asia-Pacific regions, due to the increase in the consumer purchasing power and their preference for better safety measures and the need for higher fuel efficiency of the vehicle.

Competitive Landscape

The market studied is fairly consolidated with the presence of key major players like Robert Bosch GmbH, Continental AG, etc. holding majority share in the market. While some key players are focusing on expanding their presence by acquiring other market participants, forming strategic alliances with other players in the market, and launching new and advanced x-by-wire systems, others are developing various growth strategies to gain a competitive edge over other players. For instance,

• In October 2020, ZF launches a new next-generation AKC active rear-axle steering system for mass production. This system offers a rear steering angle up to 10 degrees, and the Steer-by-wire technology offers agility for longer electric vehicles.
• In April 2020, Infineon Technologies AG announced the acquisition of Cypress Semiconductor Corporation. With this acquisition, the company aims to offer comprehensive portfolio for linking real mechanical parts with digital world, making way for X-by-wire systems.

Some of the Key Players in the market are Robert Bosch GmbH, ZF, JTEKT Corp., Infineon Technologies, Continental AG, and Others.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Companies Mentioned
 
Nissan Motor Corp.
Groupe PSA
Nexteer Automotive
Infineon Technologies AG
JTEKT Corporation
ZF Friedrichshafen AG
Orscheln Products LLC
Tesla Inc.
Audi AG
Torc Robotics
Lokar Performance Products
Robert Bosch GmBH
Continental AG