The global automotive semiconductor industry is forecast to grow at 10% a year to reach $153bn by 2032 says Adroit Market Research
The automotive semiconductor market was estimated at $59.9bn in 2022 with a compound annual growth rate (CAGR) of 10.3% from 2023 to 2032 to reach $153.11bn.
This is being driven by the growing popularity of in-car infotainment and connectivity features, the growing demand for electric vehicles (EVs), the increasing integration of electronic systems in vehicles, and the advancements in autonomous driving technologies says the report.
The market proved resilient and kept growing despite the early supply chain difficulties brought on by the COVID-19 pandemic. This was mainly because of the automobile industry’s rebound and the quick uptake of cutting-edge semiconductor technology.
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Power management semiconductors, such as those used in battery management systems and power electronics for electric drivetrains, are in high demand as a result of the shift towards electric and hybrid cars.
Another driver for the automotive semiconductor market is the requirement for complex semiconductors for tasks like sensing, processing, and actuation brought on by the creation and implementation of advanced driver-assistance systems (ADAS). Additionally, the development of intelligent and driverless cars along with the integration of connectivity solutions have increased demand for automotive semiconductors, especially for applications pertaining to advanced processing, in-vehicle networking, and vehicle-to-everything (V2X) communication.
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There is a growing need for semiconductor solutions designed specifically for electric powertrains, battery management systems, and charging infrastructure as a result of the shift to electric transportation. This change offers semiconductor businesses the chance to create cutting-edge control and power management systems that are tailored for use in electric and hybrid cars.
The Asia-Pacific region is a significant player in the automotive semiconductor industry. The market is anticipated to be driven by IoT and AI’s increasing ubiquity in the region’s automotive semiconductor industry.