The automotive sensor market is set to witness an exponential growth by 2027 owing to rising demand for vehicle safety features worldwide. Today, automotive sensors are used to carry out all the basic control functions in a vehicle including temperature sensor, anti-theft alarm, speed sensor, lighting, dashboard, and reverse parking, among many others.
The advent of self-driving cars has spurred rapid technological advancements to enhance the efficiency and interactivity of vehicles, which has driven market adoption in the recent years.
Given the escalating demand, key industry players are implementing lucrative strategies to monetize emerging market trends, which has favorably impacted market dynamics. Taking August 2021 for instance, Analog Devices Inc., a leading semiconductor company involved in signal processing, data conversion, and power management technology, announced the acquisition of Maxim Integrated Products, Inc., a global enterprise specializing in mixed signal and analog integrated circuits (ICs).
The acquisition has enabled Analog Devices to expand its production capacity, staff, technologies, and expertise, which has strengthened its market standing as a global semiconductor manufacturer.
The automotive sensor market has been categorized based on engine type, product, vehicle type, application, and region.
Based on product, the market has further been segmented into current sensor [ hall-effect (cored hall and coreless hall), fluxgate, magneto-resistive, and shunt)], speed sensor, angle sensor, torque sensor, temperature sensor, pressure sensor, position sensor, camshaft sensor, ultrasonic sensor, image sensor, LiDAR sensor, gas sensor, humidity sensor, infrared sensor, image sensor, radar sensor, and others.
The current sensor segment held a market share of around 3.0% in 2020 and is slated to witness robust growth during the assessment period. Rapid technological advancements in electronic systems of vehicles such as battery management systems, driving technologies, and others, is likely to boost segmental expansion.
With respect to the engine type, the market has been divided into fuel cell, diesel, gasoline, battery electric vehicles, and hybrid. The hybrid sub segment attained a 10% market share in 2020 and is projected to grow at a steady pace during the review period on account of mounting demand for eco-friendly and energy efficient vehicles in countries like Japan, India, and China.
In terms of application, the market has been segregated into body electronics (chassis system, steering system, and others), powertrain, ADAS & safety system, and health, wellness, wellbeing (HWW). The body electronics application segment held a market share of about 16.5% in 2020 and is speculated to garner substantial gains throughout the estimated timeline. Rising safety standards introduced in several countries to reduce road accident fatalities, is expected to foster segmental adoption.
From the regional perspective, the Latin America automotive sensor market accounted for 3% market share in 2020 and is predicted to gain significant traction by 2027, owing to favorable government initiatives to promote the adoption of EVs in public transport and commercial application.