Automotive Ethernet Market Overview
The surging use of advanced driver-assistance systems (ADAS) and smart infotainment systems in automobiles. Plunging cost of the ethernet technology are expected to drive the automotive ethernet market at a CAGR of 19.4% during the forecast period (2021–2030). Moreover, the soaring investments in the connected car field will aid the market revenue in rising from ~$2 billion in 2020 to ~$10 billion by 2030. In recent years, the increasing adoption of autonomous vehicles. Connected features in conventional vehicles has become a prominent market trend.
The rising integration of safety and security systems is one of the key growth drivers for the market. Human errors, such as failure to pay attention, inappropriate speed. Inadequate distance from the vehicle in front, are responsible for most road accidents. To mitigate road accident cases, governments of various countries have issued numerous regulations regarding the integration of safety systems in automobiles. As a result of these regulations, automakers are installing connected safety and security solutions in their offerings, thereby creating a high requirement for internet connectivity.
Automotive Ethernet Market Drivers
Another growth driver for the automotive ethernet market is the burgeoning focus on greater passenger conveniences in automobiles. The adoption of advanced solutions, such as connected devices. Communication features, and artificial intelligence (AI) technology. Is resulting in the development of innovative solutions aimed at enhancing customer satisfaction and improving the driving experience. Moreover, the increasing complexities of the electronic systems of vehicles, owing to the rapid technological advancements, will create a demand for a higher bandwidth. Thus, the escalating need for sensors, interfaces, and controllers will drive the demand for automotive ethernet solutions in the future.
Market Key Players
At present, players operating in the automotive ethernet market are improving their existing products. Making hefty investments for the development of novel technologies, to gain a competitive edge. For instance, in January 2020, NXP Semiconductors N.V. introduced NXP SJA1110, a multi-gigabit ethernet switch. To help automakers in delivering high-speed networks for connected vehicles, with built-in safety features. This switch offers integrated 100BASE-T1 PHYs, multi-gigabit interfaces, and hardware-assisted security.
