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The Growing Landscape of Automotive Processors: Trends and Projections

28/06/2024

The automotive processor market has been thriving, generating an impressive $20 billion in revenues last year. According to Yole Group, this substantial figure is a result of the $7.8 billion contribution from APUs (Application Processing Units) and FPGAs, alongside the $12.2 billion from MCUs. These numbers shed light on the significant role these processors play in driving technological advancements within the automotive industry.

Breaking down the specific contributions of APU and FPGA processors, it is evident that $4.1 billion was attributed to ADAS (Advanced Driver Assistance Systems) applications, while $3.7 billion came from cockpit applications. This distribution underlines the increasing demand for technologically advanced systems that enhance both the safety and user experience within vehicles.

Automotive Processors

Looking ahead, the trajectory of growth within the automotive processor market seems promising. ADAS and active safety applications are expected to experience robust expansion, reflecting the industry's commitment to improving vehicle safety standards. Furthermore, the domains of infotainment and telematics applications are forecasted to grow steadily at a compound annual growth rate (CAGR) of 8%, reaching $5.9 billion by 2029. This growth signifies the evolving nature of in-vehicle entertainment and communication systems, in line with the rise of connected and autonomous vehicles.

Notably, central computing within vehicles is poised for a surge, with a projected CAGR of 36% from 2023 to 2029. This remarkable growth is propelled by the increasing integration of ADAS domain controllers, highlighting the pivotal role of advanced processing units in enabling the sophisticated functionalities required for autonomous and semi-autonomous driving systems.

In conclusion, the automotive processor market presents a landscape of dynamic growth and technological innovation. As ADAS, infotainment, and central computing capabilities continue to evolve, the role of processors within vehicles becomes increasingly paramount. With projections pointing towards substantial expansion across various application areas, it is evident that the automotive processor market is set to play a defining role in shaping the future of mobility and in-vehicle experiences.

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