The automotive semiconductor market was worth $41.8 billion in 2018, almost $1 billion less than previously estimated. The global economic uncertainty affected car production in 2018 and memory prices finally started to decrease, but the automotive electronics market still grew 9.5% from 2017 to 2018. However, in 2019 the vehicle production is expected to decrease again and the semiconductor market will stagnate due to the effects of inventory burn-off. In the long term, the market will partially recover, reaching $65.5 billion by 2025. The semiconductor content per car will double from $312 in 2013 to $652 in 2025, resulting in a healthy CAGR of 8% in this period. Electronics for Advanced Driver Assist Systems (ADAS) and Hybrid/Electric vehicles are the fastest growing segments with 13% and 29% CAGR, respectively.
Among all semiconductor device categories, logic and memory ICs will grow the fastest over the next five years driven by automated driving and advanced infotainment applications using SoCs. Discretes, optical semiconductors, and analog ICs are the next three fastest growing categories. Microcomponent ICs will grow slowly due to the consolidation of digital signal processing and microcontroller functionalities in application SoCs, especially in the infotainment domain. Sensors and optical semiconductors will grow significantly for ADAS and Hybrid/Electric vehicles.
The Automotive Semiconductor Market Tracker gives a quarterly update of the semiconductor market, quantified in terms of units and revenue by application and by semiconductor type. It also includes in-depth market analysis of more than 100 automotive semiconductor suppliers.