Overview of the Memory Market for Autonomous and Connected Vehicles
The global memory market for autonomous and connected vehicles reached a valuation of $4,310.8 million in 2019. is predicted to progress at a 23.9% CAGR between 2020 and 2030. The market is being driven by the increasing requirement for a better driving experience. Rising safety and security concerns being raised amongst the people. Growing adoption of EVs. And the rising integration of internet of things (IoT) in vehicles across the world.
The increasing number of commercial and passenger vehicles on roads is causing road congestion and long traffic jams and also reducing the availability of parking spaces in major cities of developing countries such as China, Indonesia, and India. Moreover, it is fueling the rise in the prevalence of road accidents. According to the World Health Organization, as many as 1.35 million deaths are caused all over the world every year because of road accidents.
Memory Market for Autonomous and Connected Vehicles Segmentation
The organization also found that 93% of such deaths occur in middle- and low-income countries, that account for only 60% of the total automobile fleet in the world. Because of this reason, the requirement for vehicle-to-vehicle and vehicle-to-infrastructure connectivity features is soaring around the world. These technologies help majorly in enhancing the overall driving experience and reducing the incidence of road crashes. The rising incorporation of these data-intensive technologies is subsequently pushing up the need for automotive memory chips and systems.
The growing deployment of electric vehicles in several countries is also boosting the growth of the memory market for autonomous and connected vehicles. The market is divided, based on application, into infotainment, telematics, and navigation categories. Amongst these, the telematics category will exhibit the fastest growth in the market in the future years. Because of the increasing popularity of autonomous vehicles. The telematics devices used in these vehicles capture data via sensors, cameras, and radars and therefore require a huge data storage capacity.
Key Companies in the Memory Market for Autonomous and Connected Vehicles
Depending on level of autonomy, the memory market for autonomous and connected vehiclesis classified into level 0, level 1, level 2, level 3, level 4, and level 5 categories. Out of these, the level 3 division will demonstrate the highest CAGR in the future. Because of the increasing popularity of such vehicles amongst consumers and the soaring adoption of level 3 autonomous cars in shared mobility transport fleets around the world.
Geographically, the North Americanmemory market for autonomous and connected vehicles was very lucrative in the past and this trend is likely to continue in the upcoming years. As per the estimates of P&S Intelligence a market research firm based in India. This is credited to the increasing sales of connected and autonomous vehicles and the presence of several automotive technology firms in this region. Additionally the surging disposable income of people is causing a sharp rise in the sales of luxury vehicles equipped with autonomous and connectivity features.
Memory Market for Autonomous and Connected Vehicles Statistics
Therefore, with the rising requirement for advanced safety features in vehicles. The growing utilization of electric vehicles, and the surging customer preference for autonomous and connected vehicles. The market will exhibit consistent growth in the years to come.
More than 1.35 million people lose their lives in road crashes every year, says the World Health Organization (WHO). As most such mishaps are a result of human errors, the chorus for integrating advanced safety features in automobiles is growing louder. Additionally, the government in many countries is mandating the installation of automatic braking, advanced driver-assistance systems (ADAS), and lane assist features in vehicles.
As all these functionalities generate a huge volume of data, which needs to be stored efficiently. The global memory market for autonomous and connected vehicles. Which valued $4,310.8 million in 2019, is predicted to grow at a CAGR of 23.9% between 2020 and 2030. This is because most connected and all autonomous vehicles would have such features, thereby creating a high demand for physical and cloud-based data storage.
Integration of NOT-AND (NAND) Flash to Rise Fastest in Future
In the coming years, the NOT-AND (NAND) flash category is expected to witness the fastest growth, on account of the smaller size and higher data transfer rate of this memory type.
The navigation division was the most fruitful for the market, in terms of revenue, in the past. As such functionalities have witnessed a high integration rate in automobiles up till now.
Historically, the highest demand for memory has been created by level 0 or non-autonomous vehicles. As they have dominated the automotive industry, on account of being of primitive technology. With time, the preference for navigation and infotainment services in such vehicles has risen. And for such features, ample memory is imperative.
Memory Market for Autonomous and Connected Vehicles Growth Factors
Till 2030, the higher CAGR, of 27.5%, will be observed in the commercial vehicle bifurcation. This would be because of the increasing utility of vehicle tracking and fleet management functionalities in such automobiles. Which are themselves witnessing rising sales, as a result of the burgeoning logistics and road transportation industry.
North America has been and will continue being the largest memory market for autonomous and connected vehicles in the near future. This would due to the rapid increase in the number of autonomous passenger and commercial vehicles on the roads. A strong presence of memory providers and automotive technology vendors in the continent. Additionally the high purchasing power here is already enabling people to purchase expensive vehicles with advanced memory-backed safety and connectivity features.
Facility Expansions across Automotive Industry Proving Advantageous for Memory Developers
Companies offering memory solutions for vehicles have the facility expansions by automakers as well as automotive component manufacturers to thank. As such moves are resulting in a rising demand for cloud-based and physical automotive memory.
For instance, in February 2020, Jiluo Technology (Shanghai) Co. Ltd. (Inceptio Technology) received the first A-sample validation with Dongfeng Commercial Vehicle Co. (Dongfeng Trucks)’s level 3 autonomous trucks in China and raised funding of $100 million for product development.
Memory Market for Autonomous and Connected Vehicles Key Company Analysis
On similar lines, in May 2018, a new technology center was established by Robert Bosch GmbH in Braga, Portugal, where software and sensors for autonomous vehicles are being developed. Apart from these, the facility is also engaged in the development of infotainment and display systems for connected vehicles.
Cypress Semiconductor Corporation, Macronix International Co. Ltd., Integrated Silicon Solution Inc., Everspin Technologies Inc., ATP Electronics Inc. Renesas Electronics Corporation, Swissbit AG, Western Digital Corporation, Microchip Technology Inc., SK Hynix Inc., Nanya Technology Corporation, Micron Technology Inc., Winbond Electronics Corporation, Samsung Electronics Co. Ltd., and Toshiba Corporation are the biggest organizations in the global memory market for autonomous and connected vehicles.
This study covers
- Major factors driving the market and their impact during the short, medium, and long terms
- Market restraints and their impact during the short, medium, and long terms
- Recent trends and evolving opportunities for the market participants
- Historical and the present size of the market segments and understand their comparative future potential
- Potential of on-demand logistics services, so the market players make informed decisions on the sales of their offerings
- Competitive scenario of various market segments across key countries in several regions for uncovering market opportunities for the stakeholders
- Major players operating in the market and their service offerings
