Auto Electronics Stepping on Gas PDF Print E-mail
Written by Mike Buetow   
Wednesday, 27 February 2008 06:50
RENO, NV – Continued growth is expected in automotive electronics, with forecasts calling for annual growth of 9% through 2013. Growth in driver assistance, safety systems and entertainment are expected to be particularly strong, says a new report.

The current forecast calls for the sector to grow to $173.7 billion by 2013, from estimated sales of $114.5 billion in 2008.

The report was issued by DataBeans, a Reno, NV-based research firm.

Consumer retail, the largest market, will fall from a 27.8% share in 2007 to 21% in 2013. Body electronics, currently 15% of the automotive electronics market, is expected to grow at a compound annual growth rate of 7%.

Driver assistance is expected to be the fastest-growing application, growing nearly $20 billion to reach $32.9 billion by 2013. This segment includes systems aimed at increasing safety such as electronically controlled steering and suspension. Major players in this segment include Dana Corp., Magna, and Tenneco.

The Powertrain segment, which includes hybrid and alternative fueling technology, is the lowest in terms of revenue and second lowest in terms of 2008-2013 CAGR; however, this segment is interesting as it has much room for growth. As automakers try to reduce dependence on the gasoline engine, and as the technology develops, sales of hybrid and other alternative energy vehicles are expected to increase.
 

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