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Automotive Digital Instrument Cluster Market Size to hit $7bn by 2025

  • Published Date: October 3, 2019

Automotive Digital Instrument Cluster Market size is predicted to cross USD 7 billion by 2025; according to a new research report by Global Market Insights Inc. The shipments are projected to witness over 22% growth during the forecast period.

Rapid development of the automobile industry and increasing integration of digitized components in vehicles are accelerating the automotive digital instrument cluster market growth. These electronic clusters can be reconfigured by allowing users to customize the display contents, aiding better interactivity. The increased display panel size as compared to the analog options offers integration of various components including map & navigation, speed, media-on-demand updates, and communication system alerts. Moreover, cluster manufacturers are developing newer systems to merge infotainment with these panels, allowing the display of electronic information in a single panel by using a System on Chip (SoC) platform. These chips deliver high-quality display in 3D graphics for mid-level cars, adding up to automotive digital instrument cluster expansion.

Declining cost of display panels

Decreasing electronics and digital system manufacturing costs for passenger vehicles are supporting the advancements in instrument clusters. The availability of improved color displays and high-quality graphic display solutions provides an opportunity to develop bigger display panels for cluster solutions. Installation of various algorithms in the e-cockpit such as around-view mirror (360-degree AVM), fisheye detection, occupancy detection, rearview monitoring, and Driver Monitoring System (DMS) creates the need for big instrument clusters. For Instance, in May 2019, Visteon Corporation announced the launch of a SmartCore cockpit domain controller in India. This system empowers the digital & hybrid instrument cluster and infotainment system in TATA Harrier SUVs.

Technical challenges such as intricacy in designing and improved graphics requirements are the factors hindering the automotive digital instrument cluster market. The digital clusters are not able to perform accurately and do not display several components due to connectivity problems. These systems are also subjective to cyberthreats and data security issues. However, technological advancements such as clusters with innovative screens and biometric characteristics, will overcome the security, display, and other design issues.

Browse key industry insights spread across 170 pages with 203 market data tables and 20  figures & charts from the report, Automotive Digital Instrument Cluster Market Size By Display Type (LCD, TFT-LCD, OLED), By Display Size (5-8-inch, 9-11 inch, >12 inch), Industry Analysis Report, Regional Outlook (U.S., Canada, UK, Germany, France, Italy, Russia, Spain, China, India, Japan, South Korea, Brazil, Mexico, South Africa), Growth Potential, Competitive Market Share & Forecast, 2019 – 2025” in detail along with the table of contents:

Increasing penetration of OLED displays

OLED is projected to gain a high demand for new vehicle display panels as it is used to create slim, flexible, and light displays. These displays are used in various vehicle applications such as instrument cluster, media, navigation, head-up display, and internal & external lighting. For instance, in 2018, LG Display in collaboration with Mercedes, Cadillac, and Tesla announced the development and production of FHD 12.3” curved plastic-based flexible OLEDs. Moreover, luxury car vehicle manufacturers are adopting OLED as an advanced automotive lighting component due to its size and variability for infotainment displays.

12-inch display to witness growth rate of around 24% globally

Displays with the 12-inch size are expected to grow at a CAGR of 24% during the forecast period. The rising demand for bigger display vehicle aesthetics and enhanced features add up to the usage of these displays. Major OEMs and cluster system manufacturers are introducing bigger displays to provide enhanced vehicle information, driver safety, and visuals. For instance, in March 2019, Ford announced the launch of its new 2020 Explorer, which will be available with the 12.3-inch digital cluster to display all kinds of information. However, mid-segment, entry-level, and light vehicles primarily come with a 5-8-inch display, decreasing the system price and the overall vehicle manufacturing cost.

Increasing adoption of electric vehicles in China & Japan to augment industry growth

The Asia pacific automotive digital instrument cluster market is growing rapidly owing to the robust vehicle & component manufacturing sector in China, Japan, and South Korea. The industry is witnessing an increased adoption of these cluster systems in electric vehicles, resulting in a high consumption in China. High government support, cheap manufacturing, and customer awareness in China add up to the electric vehicle expansion, driving the industry growth. Other Asian countries including Japan, South Korea, and India are also experiencing a robust expansion of the automobile sector due to increased manufacturing, export activities, and consumption of passenger vehicles. The automotive component sector is also developing owing to the cheap component availability and labor, supporting the industry growth.

The key players operating in the automotive digital instrument cluster market include Continental AG, Robert Bosch GmbH, Visteon Corporation, Nvidia Corporation, Nippon Seiki, IAC Group, Panasonic Corporation, Denso Corporation, Sharp Corporation, Magneti Marelli S.p.A., ID4Motion, and Yazaki Corporation. Major companies are focused on developing digital & hybrid systems to gain a competitive edge and demand for OEMs. These players are also making heavy investments in R&D activities to develop digital cluster with enhanced display features and address the growing consumer requirements. Due to high competition among the vehicle OEMs, system manufacturers are developing new products in collaboration with component providers, OEMs, and other industry entities. For instance, in November 2018, Robert Bosch GmbH announced the launch of its first curved instrument cluster for Volkswagen Touareg, providing enhanced safety and reliable information.

The automotive digital instrument cluster market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue in USD and shipments in Units from 2015 to 2025, for the following segments:

By Display Type

  • LCD
  • OLED

By Display Size

  • 5-8- inch
  • 9-11-inch
  • >12-inch

The above information is provided for the following regions and countries:

  • North America
    • U.S.
    • Canada
  • Europe
    • UK
    • Germany
    • France
    • Italy
    • Spain
    • Russia
  • Asia Pacific
    • China
    • India
    • Japan
    • South Korea
  • Latin America
    • Brazil
    • Mexico
  • Middle East & Africa
    • South Africa
Authors: Preeti Wadhwani, Prasenjit Saha