According to a recent report published by Allied Market Research, titled, "Automotive Microcontrollers Market by Application, Technology and Vehicle Type: Global Opportunity Analysis and Industry Forecast, 2019–2026," the global automotive microcontroller market was valued at $9.06 billion in 2018, and is projected to reach $15.77 billion by 2026, registering a CAGR of 7.3%.
Asia-Pacific dominates the market, in terms of growth, followed by Europe, North America and LAMEA. China dominated the global automotive microcontroller market share in 2018, whereas India is expected to grow at a significant rate in the automotive microcontroller market during the forecast period.
Microcontrollers are compact integrated circuits, which are designed for a specific operation. With the introduction of automation in automobiles, microcontrollers find wide application in them to control various operations associated with autonomous vehicles, thus supplementing the growth of automotive microcontrollers. Automotive microcontrollers include various components such as processors, memory and input & output peripherals, which are integrated on a single chip and are deigned to operate automatic systems of vehicles.
Automotive microcontrollers are widely installed in autonomous and semi-autonomous vehicles that are now equipped with numerous automatic components, such as different sensors and automatic exhaust system. This installation of various products supplements the growth of automotive microcontrollers, thereby supplementing the automotive microcontroller market growth.
Current trend for installation of advanced components in vehicles has increased due to their efficient features, which has made them popular among vehicles. This has enabled electronic component manufacturers to develop better and effective microcontroller, which works efficiently thus increasing the automotive microcontroller market share across the globe.
Factors such as rapid development in the automotive industry and high demand for safety features drive the growth of the market. However, factors such as operational failure in extreme climatic conditions and high initial cost and complex structure is supposed to hamper the growth of the automotive microcontroller market. Further, the demand for electric and hybrid vehicles are expected to increase in the future and untapped regions are expected to create numerous opportunities for the growth and expansion of the market.
Key Findings of the Study:
- By application, the powertrain & chassis automotive microcontroller generated the highest revenue in 2018.
- By technology, the adaptive cruise control automotive microcontroller generated the highest revenue in 2018.
- By vehicle type, the passenger vehicle segment was the highest revenue contributor in 2018.
- By region, Asia-Pacific contributed the highest automotive microcontroller market revenue in 2018, followed by Europe, North America and LAMEA.
- Asia-Pacific is anticipated to exhibit the highest CAGR during the forecast period.
The key players analyzed in this automotive microcontroller market report are Cypress Semiconductor Corporation, Infineon Technologies AG, Microchip Technology Inc., NXP Semiconductor N.V., On Semiconductor, Renesas Electronic Corporation, STMicroelectronic, Texas Instrument Incorporated, Toshiba Corporation and ROHM Semiconductors.