NEW YORK, Aug. 24, 2021 /PRNewswire/ -- The global automotive ethernet market is predicted to witness massive growth in forecast period, owing to rising adoption of automotive ethernet application by leading automotive manufacturers. Asia Pacific is predicted to witness dominant growth by 2027.
Research Dive has published a new report, titled, 'Automotive Ethernet Market by Component (Hardware, Software, and Services), Vehicle Type (Passenger Cars and Commercial Vehicles), Application (Chassis, Infotainment, Driver Assistance, Power train, Body & Comfort, and Others), and Regional Analysis (North America, Europe, Asia-Pacific, and LAMEA): Global Opportunity Analysis and Industry Forecast, 2020–2027'
Research Dive in its latest published report estimates that the Global Automotive Ethernet Market will generate $6,494.8 million and exhibit a CAGR of 20.8% from 2020 to 2027.
Automotive ethernet is the emerging technology that is playing a crucial role in automotive cybersecurity and automotive architecture. Thus, increasing number of notable cable and connector manufacturers, leading automotive OEMs, and automotive tier-1s are widely adopting automotive ethernet application. These factors are expected to boost the growth of global automotive ethernet market during the forecast period. In addition, the rising emphasis on the reduction of carbon footprint is predicted to create massive opportunities for the market growth by 2027. However, the high installation costs associated with automotive ethernets is predicted to hamper the market growth during the projected timeframe.
Impact of COVID-19 Pandemic on the Automotive Ethernet Industry
The COVID-19 pandemic has unfavorably impacted the global automotive ethernet market. The fall in the growth rate of the market is mainly due to obstructions in international operations and adverse political conditions. However, the leading companies operating in the global market such are adopting various strategies such as R&D and product development to sustain in the unprecedented times.
The research report segments the global automotive ethernet market into component, vehicle type, application, and region.
Based on component, the hardware sub-segment is expected to account for largest share and is projected to surpass $4,357.8 million during the forecast period. This is mainly due the growing demand for infotainment and advanced driver-assistance systems (ADAS) by automotive OEMs coupled with rising adoption of Ethernet hardware components.
Based on vehicle type, the commercial vehicles sub-segment is expected to witness significant growth and surpass $2,073.3 million by 2027. This can be majorly attributed to the digitization along with increasing infrastructural investments across the globe, which is elevating the demand for commercial vehicles.
Based on application, the driver assistance sub-segment is predicted to witness fastest growth and generate $2,642.7 million by 2027. This growth is mainly owing to rising demand for safe & efficient vehicles and the rapid shift in the preference of consumers.
Based on region, the Asia Pacific market for automotive ethernet valued for $620.5 million in 2019 and is projected to be dominate in the global industry throughout the forecast period. This is mainly due to significant transformation in the automotive sector of the region owing to stable socio-political conditions, technological innovations, and major economic growth.
These players are focusing on product launches, technological advancements, and strategic collaborations to gain a competitive in the global market. For instance, in March 2019, Broadcom, a global technology leader that designs, develops, & supplies semiconductor and infrastructure software solutions, announced the launch of 'BCM8956X,' a family of automotive multilayer Ethernet switches. According to the company, the product is IEEE compliant for 100 BASE-T1 PHY.
They are focusing on advanced product developments and merger & acquisition. These are some of the strategies conducted by the startups as well as established business organizations.
Research Dive is a market research firm based in Pune, India. Maintaining the integrity and authenticity of the services, the firm provides the services that are solely based on its exclusive data model, compelled by the 360-degree research methodology, which guarantees comprehensive and accurate analysis. With an unprecedented access to several paid data resources, team of expert researchers, and strict work ethic, the firm offers insights that are extremely precise and reliable. Scrutinizing relevant news releases, government publications, decades of trade data, and technical & white papers, Research dive deliver the required services to its clients well within the required timeframe. Its expertise is focused on examining niche markets, targeting its major driving factors, and spotting threatening hindrances. Complementarily, it also has a seamless collaboration with the major industry aficionado that further offers its research an edge.