Automotive Electronic IC Market Research Report By ApplICation Type (Body Electrons, Powertrain Electronics, Safety and Security ElectronICs, Connectivity ElectronICs, Infotainment Electronics), By Vehicle Type (Passenger Cars, Commercial VehICles, Two-Wheelers), By Technology (Analog ICs, Digital ICs, Mixed-Signal ICs) and By Regional (North Amera, Europe, South Amera, Asia Pacifa, Middle East and Afra) - Forecast to 2032

Global Automotive Electronic IC Market Overview:

As per MRFR analysis, the Automotive Electronic IC Market Size was estimated at 37.02 (USD Billion) in 2022. The Automotive Electronic IC Market Industry is expected to grow from 40.31 (USD Billion) in 2023 to 86.7 (USD Billion) by 2032. The Automotive Electronic IC Market CAGR (growth rate) is expected to be around 8.89% during the forecast period (2024 - 2032).

Key Automotive Electronic IC Market Trends Highlighted

Key market drivers for Automotive electronic ICs include the rising demand for advanced driver assistance systems (ADAS), autonomous driving technologies, and connected vehicles. The integration of electron systems in vehles to enhance safety, comfort, and fuel efficiency is also driving market growth.

Opportunities to be explored in the Automotive Electronic IC market lie in the development of energy-efficient and cost-effective solutions for autonomous driving, as well as the integration of artificial intelligence (AI) and machine learning algorithms to improve vehicle performance and safety. The increasing adoption of electric and hybrid vehicles presents further opportunities for the market to expand.

Recent trends in the Automotive electronic IC market indicate a shift towards smaller, more integrated, and energy-efficient designs. The demand for automotive-grade ICs with higher performance and reliability is also rising. The integration of sensors, actuators, and microcontrollers into a single chip is driving the market toward more comprehensive and intelligent systems.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automotive Electronic IC Market Drivers

Growing Demand for Advanced Driver Assistance Systems (ADAS)

ADAS technologies, such as lane departure warnings, adaptive cruise control, and automated emergency braking, are becoming increasingly prevalent in new vehicles. These systems rely on electronic ICs to process sensor data and make real-time decisions, which is driving demand for automotive electronic ICs across the globe. The integration of ADAS features is expected to continue at a rapid pace in the coming years, further fueling the growth of the automotive electronics IC market.

ADAS systems are crucial for enhancing vehicle safety and reducing the risk of accidents. Moreover, they provide a more convenient and comfortable driving experience, which attracts consumers to vehles equipped with these features. As a result, the demand for automotive electronic ICs used in ADAS systems is antipated to remain strong in the Global Automotive electronics market Industry.

Increasing Electrification of Vehicles

The automotive industry is entering into a major shift toward the electrification process. People prefer electric vehicles and hybrid vehicles. Compared with traditional internal combustion engine vehicles, EVs and HEVs require more electronic components. Power modules, battery management systems, and electric motors all rely on electronic devices for their operation. In addition, the growing inclination toward electrification is expected to offer significant opportunities for automotive IC manufacturers in the global automotive IC market industry.

Rising Adoption of In-Vehicle Infotainment Systems

In-Vehicle Infotainment systems are getting widely used in today’s cars and other vehicles. These systems help the user to navigate, connect with the outside world, and provide other entertainment facilities. Hence IVI systems are getting widely and increasingly used. Nowadays, IVI systems come with displays, audio systems, and connectivity modules, and all of these require electron ICs to function properly. The automotive electronic IC market is driven by the increasing demand for in-vehicle infotainment and navigation systems, mainly in developing countries where the automotive industry is at a growing stage.

Automotive Electronic IC Market Segment Insights:

Automotive Electronic IC Market Application Type Insights

The Global Automotive Electronic IC Market, with a valuation of 40.31 USD Billion in 2023, is seeing substantial growth driven by its diverse application types. Among these, Body Electronics holds a majority position with a Signiant market value of 10.1 USD Billion in 2023 and is expected to rise to 21.7 USD Billion by 2032, reflecting its critical role in modern vehicles for functionalities such as lighting, climate control, and general vehicle management. Powertrain Electronics also constitute a key segment, valued at 9.0 USD Billion in 2023 and projected to reach 19.4 USD Billion by 2032, highlighting its importance in enhancing vehicle performance and fuel efficiency through advanced control systems.

Safety and Security Electronics, also Signiant, valued at 8.5 USD Billion in 2023 and aiming for 18.2 USD Billion by 2032, emphasizes the increasing focus on vehicle safety features like advanced driver-assistance systems. The Connectivity Electronics market, with a valuation of 7.2 USD Billion in 2023 and expected to grow to 15.8 USD Billion by 2032, showcases the rising demand for in-car connectivity options, enabling better communication and navigation experiences for consumers. Finally, Infotainment Electronics, having a market value of 5.51 USD Billion in 2023 and predicted to expand to 11.6 USD Billion by 2032, underscores the growing consumer interest in enhanced entertainment systems within vehicles.

The Global Automotive Electronic IC Market segmentation reflects not just technological trends but also shifts in consumer preferences toward more integrated and intelligent automotive solutions, presenting various growth opportunities across all application types.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automotive ElectronIC IC Market VehICle Type Insights

ehicle type segmentation plays a crucial role in this market, encompassing various categories such as passenger cars, commercial vehicles, and two-wheelers. Passenger cars hold a dominant position within the market, reflecting the widespread consumer adoption of features like advanced driver assistance systems and infotainment solutions.

Commercial vehicles are also significant, driven by the demand for fleet management and telematics systems, which enhance operational efficiency. Meanwhile, the two-wheeler segment is gaining traction with the rise of electric motorcycles and scooters, appealing to environmentally conscious consumers. Collectively, these segments contribute to the overall growth, indicting a trend towards increasingly integrated and sophisticated automotive electrons systems, creating opportunities for innovation and expansion within the Global Automotive electronic IC Market.

The continued increase in vehicle automation and connectivity further fuels market momentum, underscoring the importance of understanding Global Automotive electronic IC Market data and statists in shaping future industry strategies.

Automotive Electronic IC Market Technology Insights

The landscape of this sector includes diverse categories such as Analog ICs, Digital ICs, and Mixed-Signal ICs, each playing a vital role in enhancing vehle functionality. Analog ICs are crucial for interfacing with real-world signals, while Digital ICs are important for processing information and controlling systems. Mixed-ssignal ICs offer a unique advantage by integrating both analog and digital functionalities, aligning with the evolution of smart automotive technologies.

This integration is essential for applications such as advanced driver assistance systems (ADAS) and infotainment units, which significantly influence the Global Automotive electronic IC Market revenue. Furthermore, the current trends indicate a shift towards more intelligent electron systems, creating numerous opportunities for growth. However, challenges such as supply chain disruptions and fluctuating raw material pres could impact the overall market dynamics. Overall, the Global Automotive Electronic IC Market segmentation clearly illustrates how various technologies contribute to the industry's ongoing transformation and increasing demand for electron components in vehicles.

Automotive Electronic IC Market Regional Insights

The Global Automotive Electronic IC Market is positioned for significant growth, with North AmerICa leading the way, valued at 16.13 USD Billion in 2023 and expected to reach 36.11 USD Billion by 2032, thus showcasing majority holding in the market due to its advanced automotive technologies. Europe follows closely, valued at 11.17 USD Billion in 2023 and projected to reach 25.0 USD Billion by 2032, indicating its position as a significant player owing to strong regulatory frameworks promoting electric vehicles. The Asia PacifIC region, valued at 9.73 USD Billion in 2023 and forecasted to grow to 18.89 USD Billion by 2032, demonstrates substantial potential, driven by increasing vehicle production and electronIC integration in automotive designs.

South America, the Middle East and Africa, valued at 2.07 USD Billion and 1.21 USD Billion, respectively, in 2023, represent smaller segments, which are nonetheless growing, particularly as economies develop and demand for modern vehicles rises. Understanding the Global Automotive Electronic IC Market segmentation allows stakeholders to identify trends, leverage opportunities, and address the challenges within these diverse regional markets.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automotive ElectronIC IC Market Key Players And Competitive Insights:

Major players in Automotive ElectronIC IC Market are constantly innovating and developing new products to meet the changing needs of the market. The Automotive ElectronIC IC Market industry is highly competitive, with leading players such as Infineon Technologies, NXP SemIConductors, Renesas ElectronICs, STMICroelectronICs, and Texas Instruments competing for market share. Automotive ElectronIC IC Market development is driven by the increasing demand for electron systems in automobiles, such as advanced driver assistance systems (ADAS), infotainment systems, and telemats systems. The Automotive ElectronIC IC Market Competitive Landscape is expected to witness signifant growth in the coming years as the automotive industry continues to adopt new technologies and innovations.

Infineon Technologies is a leading provider of automotive electron IC components, including power semonductors, sensors, and mrocontrollers. The company has a strong presence in the automotive market and is a major supplier to automakers around the world. Infineon Technologies is committed to innovation and is constantly developing new products to meet the changing needs of the market. The company's focus on quality and reliability has made it a trusted partner for automakers and Tier 1 suppliers alike.

NXP SemIConductors is another leading provider of automotive electron components. The company is a global supplier of automotive semonductors and has a strong presence in the market. NXP SemIConductors is committed to providing high-quality, reliable products to its customers and is a trusted partner for automakers and Tier 1 suppliers around the world. The company's focus on innovation and its strong product portfolio has made it a major player in the Automotive ElectronIC IC Market.

Key Companies in the Automotive ElectronIC IC Market Include:

• Analog DevICes, Inc.


• Infineon Technologies AG


• Wolfspeed, Inc.


• NXP SemIConductors N.V.


• STMICroelectronICs N.V.


• Mitsubishi ElectrIC Corporation


• ON SemIConductor


• MICrochip Technology Incorporated


• Toshiba Corporation


• Qualcomm Technologies, Inc.


• Renesas ElectronICs Corporation


• Texas Instruments Incorporated


• ROHM Co., Ltd.

Automotive ElectronIC IC Market Industry Developments

The global automotive electronIC IC market is projected to grow from USD 40.31 billion in 2023 to USD 86.7 billion by 2032, at a CAGR of 8.89%. This growth is attributed to the increasing demand for electronIC components in vehICles, such as advanced driver-assistance systems (ADAS), infotainment systems, and powertrain control units. Additionally, the growing adoption of electrIC vehICles is expected to drive the demand for automotive electronIC ICs, as these vehICles require more electronIC components than traditional gasoline-powered vehICles.

Recent developments in the automotive electronIC IC market include the launch of new products and technologies. For example, in 2023, NXP SemIConductors introduced a new family of automotive mICrocontrollers designed for ADAS and autonomous driving applICations. Additionally, automotive OEMs are increasingly collaborating with semIConductor companies to develop customized electronIC solutions for their vehICles. For example, in 2022, General Motors and Qualcomm announced a partnership to develop a new generation of digital cockpit systems.

Automotive ElectronIC IC Market Segmentation Insights

Automotive ElectronIC IC Market ApplICation Type Outlook

• Body ElectronICs


• Powertrain ElectronICs


• Safety and Security ElectronICs


• Connectivity ElectronICs


• Infotainment ElectronICs

Automotive ElectronIC IC Market VehICle Type Outlook

• Passenger Cars


• Commercial VehICles


• Two-Wheelers

Automotive ElectronIC IC Market Technology Outlook

• Analog ICs


• Digital ICs


• Mixed-Signal ICs

Automotive ElectronIC IC Market Regional Outlook

• North AmerICa


• Europe


• South AmerICa


• Asia PacifIC


• Middle East and AfrICa