IHS Technology predicts that the market for advanced driver assistance systems (ADAS) semiconductor devices will quadruple from $643.8 million in 2010 to $2.6 billion in 2020 thanks to increasing demand for car and driver safety systems. The research firm expects that market for ADAS chips to grow by 20% this year.
Take image sensors, for example, used in front-view camera systems. They can analyze video content for lane-keeping assistance, lane-departure warning, traffic-sign recognition and high/low-beam headlight control. Those features are increasingly common on new vehicles and quickly growing in market awareness and acceptance.
Applications based on radar and LiDAR are also generating a lot of interest. Radar and LiDAR both use remote-sensing technology to help determine variables such as road conditions, objects surrounding the vehicle, or the speed of other nearby cars.
Akhilesh Kona, IHS analyst for automotive semiconductors, said revenue for semiconductors used in front-camera and LiDAR modules is expected to grow steadily, from $118 million in 2013 to $650 in 2020 for front-camera chips and from $236 million in 2013 to $653 million in 2020 for radar and LIDAR chips, which amounts to a compound annual growth rate of 16 percent.
Additional ADAS mechanisms could be present in the future to monitor both drivers and passengers within a car. Applications like a road-frustration index could help increase the safety quotient for autonomous driving—not only making the driving experience more enjoyable as a whole, but also helping prevent accidents on the road, IHS believes.
“IHS expects ADAS content in cars to grow steadily for many years, owing to an increasing number of features that will be implemented in the car, with an aim toward deploying increasingly autonomous vehicles,” said Luca DeAmbroggi, principal analyst for automotive demand at IHS.
“The market will also be helped by the implementation of data-fusion modules—extra hardware added to combine the input coming from two or more different sensors present in the car—because of the need for more sensing redundancy and for higher functional-safety requirements in vehicles.”