In countries such as India, China, Indonesia, Thailand, and Malaysia, for instance, expanding middle-class population and improved disposable income have driven demand for passenger cars
The global automotive semiconductor market is expected to grow from $46.18 billion in 2020 to $241.7 billion by 2030, at a CAGR of 18 per cent during the forecast period 2021-2030. Semiconductors, as per The Brainy Insights, will increasingly be used in onboard systems for a wide range of automobiles. Much of the advancement in the auto industry is due to the use of semiconductor technology into vehicle designs.
“Modern automobiles are more intelligent and connected than ever before; the average new vehicle contains computer systems with over 100 million lines of software code. Automobiles today come equipped with a variety of telematics (long-distance data transmission) and infotainment features, transforming them into mobile hotspots that provide drivers with information on everything from collision avoidance to accessible parking spots,” read the report.
The safety segment led the market with a market share of 32.1 per cent and a market value of around USD 14.82 billion in 2020. The discrete power device segment is anticipated to grow at the fastest CAGR of around 19 per cent over the forecast period. The Brainy Insights data reveals that the actual demand for semiconductors in the auto industry in 2022 trailed a post-pandemic estimate by around 18 per cent over the forecast period.
The reason for this sharp increase in discrete power device market is the increasing electrification of major automotive applications such as powertrain, which is driving the demand for power components such as MOSFET and IGBT. The demand for enhanced safety and advanced features in automobiles is driving the growth rate of memory devices in the automobile sector.
The vehicle type segment is divided into Passenger Car, Heavy Commercial Vehicle (HCV), Light Commercial Vehicle (LCV). During the forecast period, passenger cars are anticipated to hold the largest market share. The high demand for passenger cars around the world, particularly in Asia-Oceania, is to account for this growth. In countries such as India, China, Indonesia, Thailand, and Malaysia, for instance, expanding middle-class population and improved disposable income have driven demand for passenger cars.
