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ABI Research predicts growth for automotive systems and chips

John Day

John Day

Posted Oct 7, 2013

ABI Research recently predicted that the global market for Front Collision Warning Systems (FCWS) and Lane Departure Warning Systems (LDWS) will increase from 6.6 million units at the end of 2012 to 140.1 million units by the end of 2020.

ABI also predicted that revenues from the processors in OEM-installed connected car telematics systems will increase from around $360 million at the end of 2012 to $1.6 billion globally by the end of 2020.

The firm noted that FCWS and LDWS systems are both critical for meeting Euro NCAP (the European New Car Assessment Programme) specifications.

Euro NCAP specifications for advanced driver assistance (ADAS) systems are currently focused on low-speed or urban-type driving environments, and ABI believes that optical cameras will be the most popular sensor for  obstacle detection, lane departure warning, and blind spot detection. ABI adds, however, that radar sensors will be increasingly deployed over the next three years thanks to advances in technology and an expected drop in prices.

ABI principal analyst Gareth Owen expects that multiple radar sensors will be fitted around a vehicle and will be used for other applications. It’s likely, he says, that automakers will deploy integrated sensors that combine more than one technology, such as camera and radar.

Meanwhile, developments in the smartphone world are revolutionizing consumers’ in-car expectations and creating growth opportunities for silicon providers offering automotive grade products capable of meeting the rigorous demands of the automotive industry.

Owen predicts that next-generation infotainment systems will have advanced navigation systems and highly responsive Human-Machine-Interfaces that will require fast processors with excellent graphics capabilities for quickly rendering real-time directions and traffic conditions in 3D.

“Leading silicon players are developing scalable processor products that cover a range of solutions from market entry to high-end while maintaining software compatibility, and many of these will have dedicated graphics processing units (GPUs) to deal with the increasing demands of infotainment systems and automotive clusters,” Owen says, adding that connectivity is also driving demand for powerful processors.

Euro NCAP, Front Collision Warning Systems (FCWS), Advanced Driver Assistance Systems, Lane Departure Warning Systems (LDWS), telematics systems, graphics processing units, infotainment systems

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John DayJohn Day recently launched John Day’s Automotive Electronics News ( to provide news and feature coverage of the automotive electronics industry. Earlier he wrote for Auto Electronics magazine, Auto E-lectronics, EE Times, and other business and engineering publications. Visit John Day

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