Automotive Cockpit Electronics Market Trends

Growth Drivers

• Upsurge in the Demand for Vehicles – is responsible for the rising demand for automotive cockpit electronics as it significantly increases the comfort of driving.  Hence, the demand for vehicles is expected to drive the market growth of automotive cockpit electronics in the coming years. As per the data released in 2022 by the Federation of Automobile Dealers Associations (FADA), there was an increase in total vehicle retail value by 204% and 278% in passenger vehicles (PV) and commercial vehicles respectively.
• Rising Gross Domestic Product (GDP) Per Capita – it was found that the GDP per capita rose from USD 11.10 thousand in the year 2020 to USD 13.40 thousand in 2022 worldwide.
• Increasing Pedestrian Fatality Risk – according to World Health Organization, in the year 2018, the death risk rises for pedestrians hit by car fronts to 4.5 times from 50 km/h to 65 km/h.
• Growing Automobile Industry Exports – it is observed that the European automobile industry exports more than 5,000,000 motor vehicles every year, whereas a positive trade balance of 2,000,000 units is being observed in 2020.
• Growing Digitalization in Automotive Industry - according to the data, digital use increased by 75% between Q1 and Q2 of 2022. The volume of 2022 has already surpassed the amount of 2021 YTD by about 12%.

Challenges

• Rising Threat of Cyber Attacks - it was observed that from 2018 to 2022, the frequency of cyberattacks on cars increased by 225%. Outnumbering the physical attacks from 4 to 1, in 2021, almost more than 80% were remote attacks.
• Huge Cost Involved in Automotive Manufacturing
• Complicated Software Designs