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Frost & Sullivan: Major OEMs and Tier I Suppliers Work Towards Making Ethernet A Backbone of In-Vehicle Networks


News provided by

Frost & Sullivan

22 Jan, 2014, 12:00 GMT

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-- Advanced in-car electronics and user demand for connectivity make a strong case for automotive Ethernet in Europe and North America

LONDON, Jan. 22, 2014 /PRNewswire/ -- The use of Ethernet technology in Automotive is gaining pace in Europe and North America. The paradigm shift towards connected cars and associated services such as automotive app stores and connected location-based services is fuelling the uptake. Along with the need to integrate multiple consumer electronic devices, the importance of offering prioritised, personalised services and maintaining brand identity are compelling automotive OEMs original equipment manufacturers (original equipment manufacturers) to adopt Ethernet technology.

New analysis from Frost & Sullivan (http://www.automotive.frost.com), Strategic Outlook of Automotive Ethernet Technology in Europe and North America, expects the number of Ethernet nodes to rise to more than 100 in luxury cars, 50-60 in cars sold in the mass market, and up to 10 in entry-level cars by 2020. The global market for Ethernet ports is expected to reach 300 million by 2020, with North America and Europe contributing the most to the total revenue.

User interest in audio and video applications for advanced driver assistance systems like camera assisted parking, lane departure warning systems, collision avoidance systems, and traffic light recognition is spurring the adoption of high-speed Ethernet in the range of 100 megabits per second. As a result, automotive OEMs and tier I suppliers in Europe and North America continue to work on Ethernet-based electrical and electronic (E/E) system architecture for vehicle applications though it is a time-consuming, research-intensive, and expensive process.

"Ethernet could serve as a backbone to the electronic architecture connecting domains and sub-networks for in-vehicle applications, especially as other car networks like local interconnected network, controller area network, and FlexRay lack the specifications to meet the demand for high bandwidth and scalability," said Frost & Sullivan Automotive & Transportation Research Analyst Divya Krishnamurthy. "This is highlighting the need for a common network that can support several in-vehicle requirements."

Standardising Ethernet platforms will offer benefits in terms of cost, performance, interoperability, upgradability, and faster time-to-market. In fact, the OPEN Alliance Special Interest Group, a non-profit alliance of automotive industry players and technology providers, aims to make BroadR-reach Ethernet technology a standard solution for infotainment and telematics.

"Ethernet in the automotive industry will not only redefine future E/E architecture, but will also lead to the introduction of new business models, such as bundled subscription services, incremental services, targeted sales, upfront revenue, and pay-per-use for OEMs, tier I suppliers and telecom industries," noted Krishnamurthy. "It will also open doors for innovative products like autonomous driving and application domains inside the vehicle."

If you are interested in more information on Frost & Sullivan's latest study Strategic Outlook of Automotive Ethernet Technology in Europe and North America, please send an email to Katja Feick, Corporate Communications, at katja.feick@frost.com, with your full name, company name, job title, telephone number, company email address, company website, city, state and country.

Strategic Outlook of Automotive Ethernet Technology in Europe and North America (M9FE-18) is part of the Automotive & Transportation Growth Partnership Service program. Frost & Sullivan's related research services include: Strategic Comparative Analysis of European and North American Automotive OEM Connectivity, Infotainment, and HMI Strategies, Global OEM Benchmarking Study on Connected Telematics and Infotainment Offerings and Strategies, Strategic Analysis of the Impact of Smartphones and Apps on the European and North American Infotainment Market. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants.

Our "Growth Partnership" supports clients by addressing these opportunities and incorporating two key elements driving visionary innovation: The Integrated Value Proposition and The Partnership Infrastructure.

  • The Integrated Value Proposition provides support to our clients throughout all phases of their journey to visionary innovation including: research, analysis, strategy, vision, innovation and implementation.
  • The Partnership Infrastructure is entirely unique as it constructs the foundation upon which visionary innovation becomes possible. This includes our 360 degree research, comprehensive industry coverage, career best practices as well as our global footprint of more than 40 offices.

For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organisation prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?

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Contact:
Katja Feick
Corporate Communications – Europe
P: +49 (0) 69 7703343
E: katja.feick@frost.com 
http://www.frost.com 
Twitter: @Frost_Sullivan or @FS_Automotive
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