DUBLIN--(BUSINESS WIRE)--The "Automotive Ethernet Market by Component (Hardware, Software, and Services), Bandwidth, Application, Vehicle Type (Passenger Cars, Commercial Vehicles, and Farming and Off-highway Vehicles), and Region - Global Forecast to 2024" report has been added to ResearchAndMarkets.com's offering.
The global automotive Ethernet market is at its nascent stage, and its market size is expected to grow from USD 1,635 million in 2019 to USD 4,367 million by 2024, at a Compound Annual Growth Rate (CAGR) of 21.7% during the forecast period.
The automotive Ethernet market is segmented by component (hardware, software, and services), bandwidth, application, vehicle type, and region. A detailed analysis of the key industry players has been undertaken to provide insights into their business overviews; services; key strategies; new service launches; partnerships, agreements, and collaborations; business expansions; and competitive landscape associated with the automotive Ethernet market.
Rise in the deployment of Advanced Driver Assistance Systems (ADAS) and infotainment systems to drive the automotive Ethernet market
Major factors expected to drive the growth of the automotive Ethernet market include increasing demand for higher bandwidth, rise in deployment of ADAS and infotainment systems, rising vehicle production, and growing demand for passenger and safety and convenience. However, interoperability among components and application compatibility could pose challenges to market growth.
By component, the hardware segment to account for a higher market share during the forecast period
Automotive Ethernet provides connectivity for various automotive applications such as powertrain, chassis, body and comfort, ADAS, and infotainment systems. It supports high bandwidth applications operating at high or low speed. Moreover, it also reduces cable and labor cost by simplifying the network complexities that includes configuration, management, and optimization aligned with in-vehicle networks. Increase in demand for ADAS and infotainment systems have propelled automotive Original Equipment Manufacturers (OEMs) to adopt Ethernet hardware components. Ethernet offers a range of benefits, including higher bandwidth, scalability, speed, and low latency.
By application, the infotainment segment to grow at the highest CAGR during the forecast period
Infotainment and Human Machine Interface (HMI) sensor communicate with other domains within the vehicle. This requires higher bandwidth, secure connectivity, and low latency. Therefore, Ethernet adoption in vehicles for the infotainment systems is growing exponentially over the last few years.
Ethernet offers all the features and functionalities that help the infotainment system to function smoothly. Innovative and high-quality infotainment technologies enhance the driving experience as well as the attractiveness of a vehicle. The integration of personal mobile devices and web-based services can also enhance the vehicle's safety aspect. Automotive infotainment is one of the fastest-growing technologies in the market.
Among regions, Asia Pacific (APAC) to grow at the highest CAGR during the forecast period
The market in APAC is projected to grow at the highest CAGR during the forecast period. APAC is expected to be the fastest-growing market by volume for the automotive Ethernet technology. One of the key factors driving the growth of the market in APAC is the increased production of passenger cars. China, Japan, South Korea, and India are considered as manufacturing hubs for the automotive industry.
According to the Organisation Internationale des Constructeurs d'Automobiles (OICA) vehicle production data, China, Japan, India, and South Korea together produced more than 46 million vehicles in 2018. With an increase in the production of vehicles, the demand for in-vehicle networking component is expected to increase during the forecast period. This, in turn, is expected to drive the growth of the automotive Ethernet market in the region.
- Key Safety and Driver Assistant System Regulations
- Emergence of Autonomous and Connected Cars
- Rise in Sales of Premium Vehicles
- Adoption of Low-Cost Ethernet Technology Among Automotive Manufacturers
- Rise in Demand for Infotainment and Advanced Driver-Assistance Systems
- Significant Advancements in Ethernet Technology
- Growing Demand for Advanced Safety and Passenger Convenience
- Intricacy in Migration From Traditional In-Vehicle Connectivity Technologies to Ethernet
- Emergence of Connected Cars
- Advent of Autonomous Vehicles
- Growth in Vehicle Production
- Interoperability Among Components and Application Computability
- Proliferation of Security Attacks
- Market Evolution of Automotive Electronics
- AllGo Embedded Systems
- DASAN Networks
- System-On-Chip Engineering S.L. (SoC-E)
- Texas Instruments
- TTTech Auto
- Vector Informatik
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Related Topics: Automotive Parts, Telematics and Vehicle Electronics, Networks