Automotive Embedded System Market Forecasts to 2028 – Global Analysis By Component (Microcontrollers, Sensors, Transceivers, Integrated Circuits, Drivers), Type, Vehicle Type, Electrical Vehicle Type, Application, and By Geography

Automotive Embedded System Market Forecasts to 2028 – Global Analysis By Component (Microcontrollers, Sensors, Transceivers, Integrated Circuits, Drivers), Type, Vehicle Type, Electrical Vehicle Type, Application, and By Geography

According to Stratistics MRC, the Global Automotive Embedded System Market is accounted for $5.82 billion in 2021 and is expected to reach $10.16 billion by 2028 growing at a CAGR of 8.3% during the forecast period. Automobile embedded system refers to a computerized system that is built into a car and controls many tasks. The automobile embedded system relies heavily on software. It is designed to regulate data and service mechanisms. The majority of automotive embedded systems are used in automobiles to save energy and reduce emissions, as well as to meet high reliability and safety standards.

Market Dynamics:

Driver:

Growing demand for infotainment

The scope of infotainment systems is expanding to provide car occupants with greater safety features, additional functionality, and entertainment alternatives owing to the transforming mobility industry. Smartphone connectivity allows users to access messages and information through Wi-Fi and Bluetooth connectivity, making it easier to work on the go. These infotainment systems provide a digital experience in vehicles, with digital assistant, several screens, and various input methods. Moreover, the incorporation of digital interfaces allows automotive suppliers and OEMs to create interfaces that display real-time data in a more suitable manner.

Restraint:

Rise of cyber threats

There is a lot of recent activity in automotive cybersecurity across multiple segments. Adhering to legislative rules is one reason for recent growth in automotive cybersecurity, as is the capabilities of cybersecurity solutions especially cloud-based services. The growing combination of connected and software defined vehicles, however, will further expose new attack surfaces. Cybercriminals can now steal vast amounts of Personally Identifiable Information (PII) data such as a passenger’s residence, credit card information, email information, and the destinations that a person visits. They can then use that information to craft and send convincing phishing emails with attempts to steal more information or to dupe victims into opening malicious links, therefore, giving them access to the victim’s personal computer.

Opportunity:

Rising demand for electric vehicles globally

Rising demand for electric vehicles across the world, and elevating adoption of embedded systems in electric vehicles due to their ability to reduce pollution and improve efficiency are expected to drive growth. The electrification of transportation has been one of the primary developments of the 21st century. Governments across the world are introducing various policies and taking initiatives to encourage the use of electric cars. Programs such as India's Faster Adoption and Manufacturing of Hybrid & Electric Vehicles (FAME) scheme, California's Zero-Emission Vehicle Program, and the European Union's Green Cars Initiative encourage the adoption of electric vehicles by providing subsidies, tax breaks, and other incentives. Many governments have also started a number of projects in collaboration with private businesses to build charging infrastructure. These activities are contributing to the growth of the global electric vehicle industry, thus boosting the demand for embedded systems in the manufacturing of these cars.

Threat:

High consumption of power

As power dissipation and energy consumption are critical concerns in most embedded systems, it is important to be aware of techniques that impact and most importantly that reduce them. Unfortunately, minimizing system power consumption in an embedded system requires much more work than flipping off some switches. The right design strategy needs to be implemented long before even start drawing the circuit. It takes both hardware and firmware engineers to implement efficient power-saving features in an embedded system design. This results in the need for a higher capacity battery if the microcontroller is continuously running at full power.

The software segment is expected to be the largest during the forecast period

The software segment is estimated to have a lucrative growth. Embedded automotive software solutions help predict maintenance requirements and avoid automobile accidents. Automobile embedded software allows drivers to record scalable data to get important insights regarding vehicle performance and drivers’ behavior. Moreover, the emergence of connected automobiles is compelling automotive firms to improve their embedded automotive software development capabilities to bridge the gap between a car and a mobility ecosystem, further bringing improvements in vehicle performance based on in-vehicle and beyond-vehicle data.

The sensors segment is expected to have the highest CAGR during the forecast period

The sensor and drives segment is anticipated to witness the fastest CAGR growth during the forecast period. The automobile sensors are cognitive sensors that may be used to regulate and process coolant levels, oil pressure, temperature, pollution levels, and other variables. Moreover, several types of sensors are used in automotive, but understanding their operations is critical. Various companies are offering advanced sensors based on application requirements. These sensors collect data needed for vehicle function management, adaption, and reaction, which can be used to improve safety, comfort, and efficiency of the vehicles.

Region with highest share:

Asia Pacific is projected to hold the largest market share during the forecast period due to growing trend of digitalization and ""Internet of Cars,"" which supports greater connectivity through technology-enabled automobiles. The rising demand for integrated systems in countries such as India, China, and Japan is attributed to the increasing need for vehicle security and eco-friendly technologies. Manufacturers have begun to introduce modern infotainment systems in the small and medium vehicle manufacturers. Players in the extremely competitive shared mobility sector are installing infotainment systems in their cars to meet customers’ needs related to convenience and entertainment.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period due to the dynamic growth of automotive and manufacturing sectors in developed countries such as the U.S. and Canada and introduction of enhanced technologies & strategies by prominent players. Governments have also started a number of projects in collaboration with private businesses to build charging infrastructure. These activities are contributing to the growth of the North America electric vehicle sector, thus increasing the demand for embedded systems to build these cars.

Key players in the market

Some of the key players profiled in the Automotive Embedded System Market include Aptiv PLC, Continental AG, Denso Corporation, Garmin Ltd., Harman International, INFINEON TECHNOLOGIES AG, Intel, Corp, Johnson Electric Holdings Ltd., Mitsubishi Electric Corporation, NXP Semiconductors., Panasonic Corporation, Robert Bosch GmbH, System Controls Technology Solutions Pvt. Ltd, Texas Instruments, Inc., Toshiba Corporation, and Verizon Communications Inc.

Key Developments:

In January 2021, Denso Corporation and Qualcomm Technologies, Inc., a subsidiary of Qualcomm Incorporated, announced collaboration on next-generation cockpit technologies. DENSO will increase the usability of integrated cockpit systems and in-vehicle infotainment products, as well as develop in-vehicle solution technologies for these systems.

In April 2021, Garmin International, Inc., a subsidiary of Garmin Ltd., introduced an all-new 2021 voice-controlled dash cam series with automated video storage and Live View monitoring options to assist drivers in capturing the incidences.

Components Covered:
• Memory Devices
• Microcontrollers
• Sensors
• Transceivers
• Integrated Circuits
• Drivers

Types Covered:
• Software
• Hardware

Vehicle Types Covered:
• Commercial Vehicle
• Internal Combustion Engines
• Passenger Vehicle

Electrical Vehicle Types Covered:
• Battery Electric Vehicle (BEV)
• Hybrid Electric Vehicle (HEV)
• Plug-in Hybrid Electric Vehicle (PHEV)

Applications Covered:
• Safety and Security
• Powertrain & Chassis Control
• Multimedia and Integrated Systems/Services
• Infotainment and Telematics
• Body Electronics
• Advanced Driver Assistance Systems

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
Comprehensive profiling of additional market players (up to 3)
SWOT Analysis of key players (up to 3)
• Regional Segmentation
Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances