DUBLIN--(BUSINESS WIRE)--The "Telematics Control Unit Market - Growth, Trends, and Forecasts (2020 - 2025)" report has been added to ResearchAndMarkets.com's offering.
The Telematics Control Unit Market is expected to grow at a CAGR of 10.5% over the forecast period 2020 - 2025.
The increase in inclination towards safety, security, and comfort in automation will drive the market in the forecast period. Many European Nations and other developing nations have been working on regulations to make vehicle and passenger safety updated and improved. It is also anticipated to boost market demand.
It is estimated that electronics directly or indirectly enable 80% of all innovations in the automotive industry today. With vehicle functionality improving with every new model, this means a continuous increase in the semiconductor content per car.
Connectivity is revolutionizing the vehicles. Connectivity to the cloud and cloud-based services benefit occupants as well as manufacturers by enabling over-the-air software upgrades and predictive maintenance. The increasing count of electronic control units (ECUs) for safety, engine management, motor control, tire air pressure, and infotainment all need to be networked, upgradeable, and secure.
All these factors have been in the core for the demanding upkeep in the market as a new and emerging technology, and advances in communication tech have made data transfer and sharing more accessible, cheaper, and faster, opening new opportunities with new possibilities.
It has been estimated that the telematics control unit with 5G support will become prominent by 2023 as 5G technology is already being realized in many nations, such as the United States, UAE, Saudi Arabia, and parts of Europe. This increasing trend will boost the growth of this market.
Amid the COVID crisis, it is causing additional stress on the industry due to disruptions in supply and manufacturing, followed by a demand shock with uncertainty concerning the recovery timeline. Additionally, various OEMs across the world have reported low liquidity, majorly due to declines in revenue.
For instance, in August 2020, India's Mahindra & Mahindra announced its plan to give up its majority (74.65%) ownership of Ssangyong Motor, to help find a strategic investor for the struggling South Korean automaker, due to continuous losses amid the COVID-19 crisis. For instance, the company reported that its global sales fell by 28% in the first seven months of 2020
Key Market Trends
Information and Navigation Holds the Major Market Share
Vehicle telematics has a broad application like real-time movement, and the behavior of the vehicle can be determined most efficiently. In addition to tracking, telematics also provides live updates of the car since there is an increase in shipment of the conventional and connected cars globally, especially the connected cars, the demand of the telematics control unit to grow in the forecast period.
A telematics solution for the automotive industry combines wireless GPS tracking with remote vehicle diagnostics and routing/ driver productivity tools to give fleet managers a complete, accurate, and timely picture of their fleet's activities.
Besides, the technology enhances traffic efficiency by providing warnings for upcoming traffic congestions, proposing alternative routes, and ensuring eco-friendly driving, reducing CO2 emissions through adaptive cruise control and smarter transportation management.
Information for roadside assistance, vehicle diagnostics, local search, traffic, and weather data can be obtained, which helps the driver. All these factors further make a strong point for an increase in the adoption of the TCUs, as telematics demand is set to increase over the forecast period.
Moreover, the market is rapidly growing due to the advancement of AI-driven voice assistants, which can enhance the in-house vehicle experiences. For instance, in 2020 Honda, announced that its 2020 Honda City is expected to be equipped with Honda Connect, a telematics control unit that allows users to control in-car features, such as knowing vehicle position, auto-crash notification, and vehicle tracking, by speaking to a connected Alexa device.
Key Topics Covered:
1 INTRODUCTION
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness - Porters 5 Force Analysis
4.3 Technology Snapshot
4.4 Assessment of Impact of COVID-19 on the Market
5 MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increase in Demand for Safety, Comfort, and Convenience in the Automotive Sector
5.1.2 Increased Deployment of 5G Technology
5.2 Market Restraints
5.2.1 Slower Rate of Penetration of Telematics in Developing Regions
5.2.2 Delayed Regulatory Sanctions
5.3 Connectivity Technology Trends (2G/3G Vs. 4G Vs. 5G)
6 MARKET SEGMENTATION
6.1 Application
6.1.1 Safety and Security
6.1.2 Information and Navigation
6.1.3 Other Applications
6.2 Type
6.2.1 Embedded OEMs
6.2.2 Aftersales
6.3 Type of Vehicle
6.3.1 Passenger
6.3.2 Commercial
6.4 Geography
7 COMPETITIVE LANDSCAPE-KEY VENDOR PROFILES
7.1 Vendor Market Share Analysis (Shipment Share by TCU Manufacturer)
7.2 Major Car Brands/OEMs, in terms of Share by Embedded Connectivity
7.3 Company Profiles
7.3.1 LG Electronics Inc.
7.3.2 Harman International (Samsung Electronics Co. Ltd)
7.3.3 Robert Bosch GmbH
7.3.4 Continental AG
7.3.5 Denso Corporation
7.3.6 Marelli Motori SpA
7.3.7 Visteon Corporation
7.3.8 Valeo SA
7.3.9 Ficosa International SA
8 INVESTMENT ANALYSIS
9 FUTURE OUTLOOK OF THE MARKET
For more information about this report visit https://www.researchandmarkets.com/r/pg2zhm
