NEW
YORK, Aug. 6, 2024 /PRNewswire/ -- The
global automotive ethernet market size is estimated
to grow by USD 9.57 billion from
2024-2028, according to Technavio. The market is estimated to grow
at a CAGR of 30.08% during the forecast period.
Increasing demand for high bandwidth and lightweight
materials is driving market growth, with a trend
towards use of ethernet to lay the backbone network of
vehicles. However, oems skeptical about adopting ethernet in
vehicles poses a challenge. Key market players include ACTIA
PCS, Amphenol Communications Solutions, Broadcom Inc., Cadence
Design Systems Inc., Dasan Network Solutions, Infineon Technologies
AG, Intrepid Control Systems Inc., Keysight Technologies Inc.,
Marvell Technology Inc., Microchip Technology Inc., Mouser
Electronics Inc., NEXCOM International Co. Ltd., NXP Semiconductors
NV, Realtek Semiconductor Corp., Rohde and Schwarz GmbH and Co. KG,
Spirent Communications plc, System on Chip Engineering S.L., TE
Connectivity Ltd., Tektronix Inc., and Texas Instruments Inc..
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Forecast
period
|
2024-2028
|
Base Year
|
2023
|
Historic
Data
|
2018 - 2022
|
Segment
Covered
|
Vehicle Type (Passenger
cars and Commercial vehicles), Application (Cameras and ADAS,
Infotainment, Diagnostics, and Network backbone), and Geography
(APAC, North America, Europe, South America, and Middle East and
Africa)
|
Region
Covered
|
APAC, North America,
Europe, South America, and Middle East and Africa
|
Key companies
profiled
|
ACTIA PCS, Amphenol
Communications Solutions, Broadcom Inc., Cadence Design Systems
Inc., Dasan Network Solutions, Infineon Technologies AG, Intrepid
Control Systems Inc., Keysight Technologies Inc., Marvell
Technology Inc., Microchip Technology Inc., Mouser Electronics
Inc., NEXCOM International Co. Ltd., NXP Semiconductors NV, Realtek
Semiconductor Corp., Rohde and Schwarz GmbH and Co. KG, Spirent
Communications plc, System on Chip Engineering S.L., TE
Connectivity Ltd., Tektronix Inc., and Texas Instruments
Inc.
|
Key Market Trends Fueling Growth
Ethernet's address-based messaging feature makes it an
attractive option for automotive backbone networks. Unlike CAN
networks that use gateways for messaging, Ethernet switches can
execute the same process without requiring software upgrades when
network topologies change. Additionally, Ethernet networks can
accommodate an unlimited number of devices, and multiple switches
can be interconnected to expand network capacity. While the current
1TPCE standard may not be suitable for vehicle backbone networks,
the enhanced RTPGE version can be used for future car designs. This
capability to adapt and expand without software upgrades, combined
with the increasing use of ethernet in automotive applications, is
expected to fuel the growth of the Automotive Ethernet market
during the forecast period.
The Automotive Ethernet market is experiencing significant
growth due to the increasing adoption of Ethernet networks in
vehicles. Phy transceivers are key components of this technology,
enabling high-speed data transfer for infotainment, autonomous
vehicles, powertrain, chassis, body and comfort, and high bandwidth
applications. Vehicle electromagnetic compatibility and immunity
standards are crucial considerations to ensure reliable
connectivity. Cost of cable and cabling weight are important
factors in the automotive industry, making Ethernet an attractive
alternative to traditional harnesses. Navigation systems,
telematics, in-vehicle data communications, and IoT solutions are
driving the demand for connectivity in vehicles. Automotive
manufacturing plants are integrating Ethernet networks into
passenger vehicles for safer and more efficient production
processes. Autonomous driving requires HD maps, lane sizes,
crosswalks, and road signs to be transmitted in real-time, making
Ethernet an essential technology. Broadcom Incorporated, NXP
Semiconductors NV, Microchip Technology Inc, and Texas Instruments
Inc are major players in the Automotive Ethernet market. Safety and
security are top priorities, with Euro NCAP and US NHTSA setting
standards for connected vehicles. Software-defined vehicles (SDV)
and Ethernet ports up to 10 Gbps are future trends. MEMS sensors,
vehicle-to-everything (V2X) communications, and electronic control
units are also driving the growth of the Automotive Ethernet
market. HMI features, GDP growth, and the Indian market are also
potential opportunities.
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Market Challenges
- The automotive industry has seen a significant increase in the
use of electronics in vehicles, with modern luxury cars containing
over 100 microprocessors and executing over 100 million lines of
instructions. Electronics now account for 45% of the cost of a
premium vehicle, and this figure is projected to reach 50% by 2030.
However, the high initial cost of adopting new technologies, such
as Automotive Ethernet, is a major concern for Original Equipment
Manufacturers (OEMs). OEMs are hesitant to adopt new technologies
due to shrinking margins, uncertainty, and the higher cost of
ethernet compared to popular technologies like CAN and LIN. Few
OEMs, such as Mercedes-Benz, are still using MOST instead of
BroadR-Reach ethernet due to the uncertainty associated with a new
technology used for critical vehicle functions. These factors may
restrict the growth of the Automotive Ethernet market during the
forecast period.
- The Automotive Ethernet market is experiencing significant
growth due to the increasing demand for in-vehicle connectivity.
Traditional wiring harnesses in automotive parts are being replaced
by Ethernet technology for better communication between components.
Leading automotive companies are investing in this technology for
electric vehicles (EVs) and conventional vehicles alike. The
federal government's initiatives for CO2 emissions reduction and
the technological development of chipsets and modules are driving
this trend. However, challenges such as cybersecurity assaults and
the need for charging infrastructure and lithium-ion batteries add
complexity. The market can be segmented into vehicle type,
vehicle-to-vehicle (V2V) and vehicle-to-infrastructure (V2I)
communication, driver assistance, power train, body & comfort,
and hardware sub-segment. Key players include NXP Electronics, and
the market is estimated to grow despite the impact of lockdowns on
auto manufacturers. Buyers and suppliers are looking forward to the
benefits of Ethernet technology in infotainment systems,
CAN LIN, and autonomous driving
functionalities.
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challenges - Download a Sample Report
Segment Overview
This automotive ethernet market report extensively covers market
segmentation by
- Vehicle Type
- 1.1 Passenger cars
- 1.2 Commercial vehicles
- Application
- 2.1 Cameras and ADAS
- 2.2 Infotainment
- 2.3 Diagnostics
- 2.4 Network backbone
- Geography
- 3.1 APAC
- 3.2 North America
- 3.3 Europe
- 3.4 South America
- 3.5 Middle East and
Africa
1.1 Passenger cars- The passenger car segment leads
the global automotive ethernet market due to the rising demand for
advanced safety features. With the electrification of mechanical
components and the introduction of innovative safety, security,
connectivity, and environmental technologies, the number of
electronic control units (ECUs) in passenger vehicles has
significantly increased. As a result, there is a growing need for
reliable and high-speed data communication among these ECUs.
Automakers are focusing on enhancing vehicle safety and are
adopting advanced safety functions that require secure
communications. This trend is driving the demand for automotive
ethernet, which is expected to continue during the forecast
period.
For more information on market segmentation with geographical
analysis including forecast (2024-2028) and historic data (2018 -
2022) - Download a Sample Report
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The global Automotive Advanced Driver Assistance System (ADAS)
market is experiencing robust growth due to rising demand for
safety features in vehicles. Key drivers include technological
advancements and stringent government regulations. Concurrently,
the global Automotive Wiring Harness Market is also expanding,
driven by the increasing adoption of electric vehicles and
advancements in automotive electronics. Both markets are witnessing
significant investments from major players aiming to enhance
vehicle safety, efficiency, and connectivity, making them pivotal
in the evolution of the automotive industry.
Research Analysis
The Automotive Ethernet market refers to the use of Ethernet
networks in vehicles for in-car communications. Ethernet Phy
transceivers enable high-speed data transfer and real-time
responses, making them ideal for automotive applications. However,
vehicle electromagnetic compatibility and immunity standards pose
challenges. The cost of Ethernet cables is higher than conventional
wiring harnesses, but the benefits of in-vehicle connectivity,
including improved infotainment systems and autonomous vehicle
capabilities, outweigh the costs. Automotive parts manufacturers
are integrating Ethernet networks into their systems, replacing
traditional communication buses like CAN and LIN. Physical network
connections are essential for the proper functioning of electronic
components and systems within vehicles. The leading automotive
companies are investing in Automotive Ethernet to enhance vehicle
performance and safety.
Market Research Overview
The Automotive Ethernet market refers to the use of Ethernet
networks in vehicles for in-car communications. Ethernet Phy
transceivers enable high-speed data transfer, essential for
applications like infotainment, autonomous vehicles, and connected
services. Vehicle electromagnetic compatibility and immunity
standards are crucial considerations to ensure proper functioning.
The cost of cable and cabling weight are significant factors, as is
the need for high bandwidth applications in vehicle components.
In-vehicle data communications include navigation systems,
telematics, and in-vehicle HMI features. Automotive manufacturing
plants are integrating Ethernet networks into various vehicle
systems, from powertrain and chassis to body and comfort. High
bandwidth applications, such as HD maps for autonomous driving,
require advanced technologies like MEMS and IoT solutions. Safety
and security are paramount, with regulatory bodies like Euro NCAP
and US NHTSA setting standards. Passenger vehicles, commercial
vehicles, electric vehicles (EVs), and even software-defined
vehicles (SDVs) are adopting Ethernet technology. The market's
growth is influenced by factors like GDP growth, technological
development, and federal government initiatives. Key components
include Ethernet ports, chipsets and modules, and lithium-ion
batteries for EVs. Cybersecurity and carbon emissions reduction are
also important considerations.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Vehicle Type
-
- Passenger Cars
- Commercial Vehicles
- Application
-
- Cameras And ADAS
- Infotainment
- Diagnostics
- Network Backbone
- Geography
-
- APAC
- North America
- Europe
- South America
- Middle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
Technavio is a leading global technology research and advisory
company. Their research and analysis focuses on emerging market
trends and provides actionable insights to help businesses identify
market opportunities and develop effective strategies to optimize
their market positions.
With over 500 specialized analysts, Technavio's report library
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Fortune 500 companies. This growing client base relies on
Technavio's comprehensive coverage, extensive research, and
actionable market insights to identify opportunities in existing
and potential markets and assess their competitive positions within
changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
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