Automotive Electronic Device Market Overview
As per MRFR analysis, the Automotive Electronic Device Market Size was estimated at 349.33 (USD Billion) in 2022.The Automotive Electronic Device Market Industry is expected to grow from 373.12(USD Billion) in 2023 to 674.7 (USD Billion) by 2032. The Automotive Electronic Device Market CAGR (growth rate) is expected to be around 6.81% during the forecast period (2024 - 2032).
Key Automotive Electronic Device Market Trends Highlighted
Connected vehicle technology, advanced driver assistance technology, and in-car electronics are the key growth areas for the automotive electronic device market. The development of connected and self-driving vehicles further increases the demand for elongated electronic structures, such as those responsible for warning of dangerous lane changes, automatic speed control, or automatic parking. In addition to this, the increasing number of electric vehicles has opened new avenues for the design and development of electronics particularly for power electronics, battery monitoring, and range extenders. Other things happening in the industry include the incorporation of projects based on artificial intelligence and machine learning technology into the automotive electronic systems for improved safety, efficiency, and experience in vehicles. Also, there is more attention directed to the design and manufacturing of miniaturized and lighter electronic parts so that they would fit in the constraints imposed by modern vehicles.
Figure1: Automotive Electronic Device Market, 2018 - 2032 (USD Billion)
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Electronic Device Market Drivers
Rising Demand for Advanced Driver Assistance Systems (ADAS)
The growth of the ADAS market is basically driven by the growing need from customers for increased safety and convenience features in their vehicles. Advanced Driver Assistance Systems (ADAS) incorporate controller and interface development utilizing sensors, cameras, and software to enhance features such as lane departure warning, adaptive cruise control, automatic braking etc. With the rising awareness amongst consumers regarding the benefits that ADAS offers, there will be a rising demand for these systems, and this, in the long run, will foster the growth of the automotive electronic device market.
In addition, there are regulatory policies emerging from important economies that are encouraging the installation of ADAS devices in new automotive models, which is enhancing the growth of this market. They are being engineered in an innovative way, and many features are being integrated into the systems. For instance, now a few may also be able to see people and cyclists from ahead and hit the brakes if there is a danger of the car crashing into them. With the increasing advancement of the ADAS systems, the consumers are going to embrace them more and this will increase the growth in the automotive electronic device market.
The Automotive Electronic Device Market Industry is estimated to grow from USD 373.12 billion in 2023 and culminate to 674.7 billion in the year 2032, with a CAGR of 6.81%.
Increasing Adoption of Electric Vehicles (EVs)
The rising adoption of EVs is another major driver of growth for the automotive electronic device market. EVs require a number of specialized electronic components, such as power inverters, battery management systems, and electric motors. As the number of EVs on the road increases, the demand for these components is also expected to grow. In addition, the development of new EV technologies, such as solid-state batteries and wireless charging, is creating new opportunities for growth in the automotive electronic device market.As EVs become more affordable and efficient, they are likely to become even more popular with consumers, which will further drive the growth of this market.
Growing Popularity of Connected Cars
The increasing popularity of connected cars is also driving the growth of the automotive electronic device market. Connected cars are equipped with a variety of electronic devices that allow them to connect to the internet and to other vehicles. This connectivity enables a wide range of features, such as remote diagnostics, over-the-air software updates, and real-time traffic information. As connected cars become more popular, the demand for electronic devices that enable these features is also expected to grow.In addition, the development of new connected car technologies, such as autonomous driving and vehicle-to-vehicle communication, is creating new opportunities for growth in the automotive electronic device market.
Automotive Electronic Device Market Segment Insights
Automotive Electronic Device Market Component Insights
The Automotive Electronic Device Market is segmented into various components, including Electronic Control Units (ECUs), sensors, actuators, wiring harnesses, and displays. Each component plays a crucial role in the functioning of automotive electronic systems. Electronic Control Units (ECUs) are the brains of automotive electronic systems, responsible for controlling and coordinating various functions within the vehicle. The market for ECUs is expected to grow significantly in the coming years due to the increasing adoption of advanced driver-assistance systems (ADAS) and autonomous driving technologies.Sensors are used to collect data from the vehicle's environment and provide information to the ECUs. Various types of sensors are used in automotive applications, including temperature sensors, pressure sensors, and position sensors. The growing demand for safety features and the electrification of vehicles is driving the growth of the sensors market. Actuators convert electrical signals from the ECUs into physical actions, such as controlling the brakes, throttle, and steering. The market for actuators is expected to grow in line with the increasing demand for electric vehicles and ADAS systems.Wiring harnesses are used to connect the various electrical components within the vehicle. The market for wiring harnesses is expected to grow steadily due to the increasing complexity of automotive electronic systems. Displays provide information to the driver and passengers, including navigation, entertainment, and vehicle status. The market for displays is expected to grow rapidly due to the increasing adoption of large and high-resolution displays in vehicles. The Automotive Electronic Device Market revenue is expected to reach $402.45 billion by 2024, growing at a CAGR of 6.3% from 2024 to 2032, according to research.The growth of this market is driven by factors such as increasing demand for electronic devices in vehicles, rising adoption of autonomous and semi-autonomous vehicles, and growing popularity of connected cars.
Figure2: Automotive Electronic Device Market, By Component, 2023 & 2032 (USD billion)
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Electronic Device Market Function Insights
The Function segment of the Automotive Electronic Device Market is broadly classified into Safety and Security, Powertrain Management, Infotainment and Connectivity, Convenience and Comfort, and Driver Assistance. Among these, the Safety and Security segment held the largest market share in 2023, accounting for nearly 32.4% of the Automotive Electronic Device Market revenue. This dominance is attributed to rising concerns about vehicle safety and increasing government regulations mandating the adoption of advanced safety systems in automobiles.The Powertrain Management segment is expected to witness significant growth over the forecast period, driven by the growing demand for fuel-efficient and low-emission vehicles. The Infotainment and Connectivity segment is also projected to expand rapidly, fueled by the increasing popularity of connected and autonomous vehicles. The Convenience and Comfort segment is anticipated to grow steadily, driven by the rising demand for features that enhance the driving experience and passenger comfort. The Driver Assistance segment is expected to witness moderate growth, supported by the increasing adoption of ADAS (Advanced Driver Assistance Systems) technologies.
Automotive Electronic Device Market Vehicle Type Insights
The Vehicle Type segment of the Automotive Electronic Device Market is characterized by diverse vehicle categories, each with unique electronic device requirements. Passenger Cars hold a significant market share due to their widespread usage and high production volumes. Commercial Vehicles, including trucks and buses, also contribute a substantial portion of the market, driven by the increasing demand for fleet management and safety systems. Electric Vehicles (EVs) present a growing segment fueled by government initiatives and consumer preference for sustainable transportation.Autonomous Vehicles (AVs), though still in their early stages of development, are expected to drive future market growth as they require advanced electronic systems for navigation, sensing, and control. Overall, the Vehicle Type segment offers a wide range of opportunities for market players to cater to the specific electronic device needs of different vehicle types, contributing significantly to the overall Automotive Electronic Device Market revenue.
Automotive Electronic Device Market Application Insights
The Automotive Electronic Device Market segmentation by Application can be divided into Automated Driving, Vehicle-to-Everything (V2X) Communication, Advanced Driver Assistance Systems (ADAS), Hybrid and Electric Powertrains, and Connected Cars. The Automated Driving segment is projected to grow at the highest CAGR during the forecast period, owing to the increasing demand for autonomous vehicles. The V2X Communication segment is also expected to witness significant growth, driven by the growing adoption of connected car technologies. The ADAS segment is anticipated to hold a significant market share due to the rising demand for safety features in vehicles.The Hybrid and Electric Powertrains segment is projected to grow at a steady pace, driven by the increasing adoption of electric and hybrid vehicles. The Connected Cars segment is expected to witness moderate growth due to the growing demand for in-vehicle connectivity features. The Automotive Electronic Device Market is expected to reach a valuation of USD 427.47 billion by 2024, expanding at a CAGR of 7.2% during the forecast period.
Automotive Electronic Device Market Regional Insights
Regionally, the market is segmented into North America, Europe, APAC, South America, and MEA. North America held the largest market share in 2023, with Europe following closely behind. APAC is anticipated to exhibit the highest growth rate over the forecast period, driven by factors such as increasing vehicle production and rising disposable incomes. South America and MEA are expected to contribute to the overall growth of the market but at a slower pace compared to APAC.
Figure3: Automotive Electronic Device Market, By Regional, 2023 & 2032 (USD billion)
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Automotive Electronic Device Market Key Players And Competitive Insights
Major players in the Automotive Electronic Device Market industry are constantly competing to gain a competitive edge in the market. Leading Automotive Electronic Device Market players are investing heavily in research and development to bring innovative products and technologies to the market. The Automotive Electronic Device Market industry is also witnessing a trend toward consolidation, with larger players acquiring smaller players to expand their market share. This competitive landscape is driving Automotive Electronic Device Market development and innovation as companies strive to differentiate their products and services to attract customers. The Automotive Electronic Device Market Competitive Landscape is expected to remain highly competitive in the coming years as companies continue to invest in new technologies and strategies to gain an advantage over their rivals.Among the key Automotive Electronic Device Market players is Robert Bosch GmbH, which is a leading supplier of automotive components and systems. The company has a strong presence in the Automotive Electronic Device Market, offering a wide range of products that include electronic control units, sensors, and actuators. Robert Bosch GmbH is known for its innovative products and technologies and its commitment to quality and customer satisfaction. The company has a reach, with operations in over 60 countries.Continental AG is another major Automotive Electronic Device Market player that has a strong presence in the market. The company offers a wide range of automotive components and systems, including electronic control units, sensors, and actuators. Continental AG is known for its commitment to innovation, and its products are used by a wide range of automakers. The company has a reach, with operations in over 50 countries.
Key Companies in the Automotive Electronic Device Market Include
Automotive Electronic Device Market Industry Developments
The Automotive Electronic Device Market is poised to experience substantial growth, driven by increasing demand for advanced driver assistance systems (ADAS), autonomous driving technologies, and connected vehicles. In 2023, the market was valued at approximately USD 373.12 billion, and it is projected to reach USD 674.7 billion by 2032, exhibiting a CAGR of 6.81% over the forecast period (2024-2032). Recent developments include the launch of innovative products, such as Qualcomm's Snapdragon Ride Platform for autonomous vehicles and Aptiv's Smart Vehicle Architecture. Key market players are focusing on strategic partnerships and acquisitions to expand their product offerings and strengthen their market position. The growing adoption of electric vehicles is also expected to fuel demand for automotive electronic devices, as these vehicles require advanced electronic systems for power management, battery monitoring, and other functions.
Automotive Electronic Device Market Segmentation Insights
Automotive Electronic Device Market Component Outlook
- Electronic Control Units (ECUs)
- Sensors
- Actuators
- Wiring Harnesses
- Displays
Automotive Electronic Device Market Function Outlook
- Safety and Security
- Powertrain Management
- Infotainment and Connectivity
- Convenience and Comfort
- Driver Assistance
Automotive Electronic Device Market Vehicle Type Outlook
- Passenger Cars
- Commercial Vehicles
- Electric Vehicles
- Autonomous Vehicles
Automotive Electronic Device Market Application Outlook
- Automated Driving
- Vehicle-to-Everything (V2X) Communication
- Advanced Driver Assistance Systems (ADAS)
- Hybrid and Electric Powertrains
- Connected Cars
Automotive Electronic Device Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
349.33(USD Billion) |
| Market Size 2023 |
373.12(USD Billion) |
| Market Size 2032 |
674.7(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
6.81% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Denso Corporation, Autoliv, Inc., Lear Corporation, Valeo SA, Aptiv PLC, Magna International Inc., Aisin Seiki Co., Ltd., Visteon Corporation, ZF Friedrichshafen AG, Delphi Technologies PLC, Faurecia SA, Hyundai Mobis Co., Ltd., Continental AG, Harman International Industries, Inc., Robert Bosch GmbH |
| Segments Covered |
Component, Function, Vehicle Type, Application, Regional |
| Key Market Opportunities |
Growing demand for electric vehicles Advanced safety features In-vehicle infotainment systems Connected car technologies Autonomous driving capabilities |
| Key Market Dynamics |
electrification, autonomous driving connectivity, infotainment safety systems |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Automotive Electronic Device Market is estimated to be valued at USD 373.12 billion in 2023.
The Automotive Electronic Device Market is projected to grow at a CAGR of 6.81% from 2024 to 2032.
North America is expected to hold the largest market share in the Automotive Electronic Device Market in 2023.
The powertrain segment is expected to account for the largest share of the Automotive Electronic Device Market in 2023.
Some of the key competitors in the Automotive Electronic Device Market include Bosch, Continental, Denso, Delphi, and Hyundai Mobis.
Some of the key trends driving the growth of the Automotive Electronic Device Market include the increasing demand for autonomous vehicles, the growing adoption of electric vehicles, and the increasing use of advanced driver assistance systems (ADAS).
Some of the challenges facing the Automotive Electronic Device Market include the high cost of development, the shortage of skilled labor, and the increasing competition from emerging markets.
The Automotive Electronic Device Market is projected to reach USD 674.7 billion by 2032.
Asia Pacific is expected to have the highest growth rate in the Automotive Electronic Device Market from 2024 to 2032.
The Automotive Electronic Device Market in the Asia Pacific region is projected to grow at a CAGR of 7.2% from 2024 to 2032.
