Adoption of Electric Power Steering to Increase Behind Gains in North America and Asia, Finds ABI Research

OYSTER BAY, N.Y.--March 22, 2004--Electric power steering (EPS) systems have been utilized in several European-targeted vehicles for years, yet penetration into North American production lines has been limited. However, several new models from General Motors are bringing acceptance of the technology to Detroit, and its use should increase during the course of the decade, says ABI Research.

"Electric and electrohydraulic power steering systems (EHPS) have been popular in Europe for years because of the complexity of selling in both right-hand and left-hand drive markets," states Dan Benjamin, ABI Research analyst. "Using EPS offers advantages in ease of design and manufacturing, as well as a boost to fuel economy."

According to ABI's findings, the use of EPS around the world will expand because of an increase in global platform sharing and the need to increase fuel economy in several markets. This will result in a significant increase in production around the world, but especially in the US and China. ABI Research estimates the global electric steering system market was worth over $2 billion in 2003, and may exceed $8 billion in 2010. This includes revenue from EPS, EHPS, as well as rear-wheel by-wire steering systems.

Suppliers have theorized that using EPS could increase fuel economy by more than 5%. The most advanced current systems offer the potential to interface with other safety systems within the vehicle, though this functionality remains rare.

As part of its continued coverage on automotive by-wire technologies, ABI Research has also concluded that pure by-wire primary steering systems will not arrive until next decade.

The new ABI Research study: "X-by-Wire: A Strategic Analysis of In-Vehicle Multiplexing & Next-Generation Safety-Critical Control Systems" features coverage of new electronic automotive subsystems, including steering, braking, throttle, transmission, and multimedia, in addition to analysis of the supporting data buses. 42 V acceptance is also covered.

Founded in 1990 and headquartered in New York, ABI Research maintains global operations that support annual research programs, quarterly intelligence services and market reports in wireless, automotive, semiconductors, broadband, and energy. Their market research products can be found on the web at abiresearch.com, or by calling 516-624-3113.