Motorola Leads the Pack in the Automotive Market Race
28 July 1999
Motorola Leads the Pack in the Automotive Market RaceAUSTIN, Texas, July 27 -- Making tracks in the transportation industry, Motorola today cited a report from Selantek Inc. that indicates its worldwide market share lead has reached 19% of the automobile industry's total semiconductor and software systems solutions, 3 times larger than their nearest competitor. This represents another year of record growth in transportation for Motorola having increased its lead from 17% share. Motorola has been the leading supplier of semiconductors for the automotive industry since the infusion of semiconductors into the automobile. According to recently released information from Selantek Inc., a leading marketing research organization, Motorola's automotive worldwide market share increased in 1998 from 17% to 19% -- up 2%. In 1998, Motorola had the number one share in the four major equipment categories that dominate automotive applications. The market share is broken out into the following categories: powertrain (22.2%), body electronics (18.4%), safety (22.4%), and instrumentation (16.4%). This breaks down even further, according to Selantek, when looking at the Motorola semiconductor sales per automotive application area: 54.8% of all semiconductor sales in powertrains; 14.7% in body electronics; 18.9% in safety, and 11.6% in Intelligent Transportation Systems (ITS). In 1998, the automotive market segment enjoyed the fastest rate of growth, achieving an 8% growth rate to $8.2B in an overall semiconductor market that fell slightly by 0.2%, according to Dataquest. The automobile is the consumer product with the highest number of semiconductors in any market, more than the personal computer market. Global demand for automotive electronics that rely on semiconductors, like those from Motorola, will continue to grow, reaching a projected 61% growth to $13.3B by 2002, according to projections from Dataquest. "Motorola works closely with virtually every car manufacturer supplier so we are very pleased that all our efforts in the automotive market have been rewarding. We take pride in our leadership position and will continue to work hard for our customers," stated Scott Anderson, corporate vice president and general manager, Motorola's Transportation Systems Group (TSG). "We are dedicated to creating value-added relationships with automotive suppliers to understand their unique needs and anticipate the desires of their customers, in order to provide the industry's most innovative and compelling solutions. By understanding our customer's system needs, Motorola can offer system solutions based on a broad range of technologies including: microprocessors, microcontrollers, digital signal processors, SmartMOS, sensors, non-volatile memories, software, and development platforms." "Motorola has been number one in providing semiconductor solutions to the automotive market as long as we have been tracking market share numbers for this industry," said Charles Mantel, Selantek Inc. "New automobiles have an average of $165 worth of semiconductors in them, and that number has been growing with each new model year. This number will increase as new models become more intelligent to meet the drivers' demand for smarter and safer cars." "As drivers expect more in terms of performance, comfort, safety and in- car information, car manufacturers will rely increasingly on their relationships with technology suppliers," said Hans Gustavsson, senior vice president, research and development at Volvo Car Corporation. "Motorola is the car industry's number one supplier of silicon. What Volvo and Motorola have developed together is the technology that can bring the digital world to the driver and allows us to meet our customers' personal demands." "DigitalDNA(TM) is the term we use to define Motorola's leadership in embedded solutions, represented through products, partnerships and connectivity. DigitalDNA powers the SMART products that make life better. DigitalDNA is helping cars automatically adjust to the way you drive," said Hector Ruiz, president of Motorola Semiconductor Product Sector (SPS). "DigitalDNA combines the integration of our ideas and technologies with those of our OEM customers to create everyday miracles." "Closer partnerships with car manufacturers, like Volvo, and with third parties, early in the design process, are essential," said Anderson. "Using Motorola's DigitalDNA technologies, auto manufacturers are able to deliver smart cars that use fewer mechanical systems and use more electronics to provide economical, reliable, and personalized vehicles." About Motorola Motorola is the world's largest producer of embedded processors and controllers, with over 17 percent market share according to In-Stat, and one of the clear leaders in microcontrollers with embedded flash technology according to Semico Research. As the world's #1 producer of embedded processors, Motorola's Semiconductor Products Sector offers multiple DigitalDNA solutions which enable its customers to create new business opportunities in the consumer, networking and computing, transportation, and wireless communications markets. Motorola's worldwide semiconductor sales were $7.3 billion (USD) in l998. Motorola is a global leader in providing integrated communications solutions and embedded electronic solutions. Sales in 1998 were $29.4 (USD) billion. http://www.motorola.com/ Motorola is a registered trademark, and DigitalDNA is a trademark of Motorola, Inc. All other tradenames, trademarks, and registered trademarks are the property of their respective owners.