Market for Automotive Adaptive Cruise Control to Soar

21 September 1999
Market for Automotive Adaptive Cruise Control to Soar
               TIER ONE Report Projects $2.4B Annually by 2010

    MOUNTAIN VIEW, Calif., Sept. 21 -- The world market for
automotive Adaptive Cruise Control (ACC) -- a "smart" device that maintains
driver-selected headway interval between vehicles -- will see exponential
growth according to a study by TIER ONE, a leading automotive electronics
market research firm in Mountain View, Calif.
    Selectable, mechanical cruise control has been around since the 1960s
wherein a set speed is held constant, without regard for ambient traffic
conditions. By contrast, first generation ACC monitors the headway interval
and provides audible warning or slows the vehicle when the gap narrows to be
considered dangerous. Next generation or "Intelligent" systems, once set, will
automatically maintain a safe distance governed by throttle and brake control
    In the 227-page report (the first published on the subject) titled
"Adaptive Cruise Control Market" TIER ONE forecasts the global market for
first generation ACC will reach $810 million in 2007. ACC combined with two
related systems -- collision warning (CW) and headway control (HC) -- will
reach $2.4 billion by 2010, a twentyfold increase from 1998.
    The report cites 1999 installations of ACC Lidar (laser-based) systems in
a small number of Japan executive cars.  Europe is leaning towards Radar based
ACC with some installations on high-end vehicles. North America lags in
passenger car applications but leads with ACC-CW in tractor-trailers and
long-distance buses.
    "ACC integrated with ABS (antilock braking system) will be the next major
vehicle safety enhancement. Its value in reducing highway accidents is well
documented within the trucking industry, where ACC is currently in use and
gaining rapid acceptance." said Morris Kindig, president of TIER ONE.
    "Heavy trucks are way ahead in this industry initiative," said Stuart
Harris, director of research at TIER ONE, "because of a proven reduction in
accident rates with CW." "By 2004," he noted, "14 percent of heavy trucks,
9 percent of passenger cars and 4 percent of light trucks will be equipped
with ACC-CW systems. By 2010, 20 percent of all light trucks and passenger
cars -- will be equipped with either ACC-CW or HC. Also, the more technically
advanced headway control (HC) will have come to market.
    "Our research data indicates installations of the three sister systems
-- ACC, CW and HC -- will grow to 17, 14 and 13 percent respectively in
Europe, Asia-Pacific and North America, by year 2006." Harris added.
    TIER ONE predicts the average selling price of an ACC system to the
automaker will be $99 in 2006, declining 13 percent for every doubling of
cumulative sales volume from 1999.
    The report forecasts installation rates by vehicle class, automaker and
system type with coverage of all major ACC programs, systems and major
components.  Relative technologies are examined with citations, regulations,
and patents.  Forty suppliers are profiled.
    For more information contact TIER ONE directly. Telephone 650-424-1234,
e-mail info@tierone.com or visit the website at tierone.com.