In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
February 06, 2020: NEXCOM International Co., a prominent network and communication solutions provider, announced the collaboration with O’Prueba Technology Inc., at National Chiao Tung University (NCTU) in Taiwan, to create cloud-based automated test solutions for network performance. This technology is expected to address the growing need to simplify testing processes without foregoing quality assurance and to minimize the risk of human errors.
Presently, all modern cars contain at least one in-vehicle computer system which uses all the received information from various sensors to control and regulate both the engine and emissions. Additionally, this might be able to control things such as the fuel injectors, spark plugs, and the idle speed using the information from these sensors. The in-vehicle computer systems are designed to perform multiple in-vehicle functions such as fleet management, telematics, task management, video surveillance, and others. The in-vehicle computer systems function to assure the safety, performance, and low emissions from the car.
According to the International Organization of Motor Vehicle Manufacturers (OICA), the production of commercial vehicles globally accounted for around 25.13 million units in the year 2018 as compared to 23.84 million units in the year 2017 which included both lightweight commercial vehicles and heavy trucks & buses.
The global in-vehicle computer system market is anticipated to record substantial growth along with robust CAGR during the forecast period, i.e. 2020-2028. In 2020, the market is growing at a stable rate owing to the excessive rise in the production of commercial vehicles over the previous years. Additionally, the advancements in computer technologies throughout the years have provided consumers with superior technologies such as intelligent traffic systems, task management, job dispatch, video surveillance, and fuel-saving which are anticipated to further propel the growth of the market. The global in-vehicle computer system market is segmented by application, by memory, by subscription, by vehicle, and by region. Based on the application, the global in-vehicle computer systems market is segmented into safety computers, performance computers, convenience computers, and diagnostic computers. Out of these, the safety computer segment holds the largest share due to the increasing focus on advanced safety features in upcoming vehicles. With growing concerns over road accidents and traffic issues, OEMs are planning to add more ADAS features in vehicles. ADAS technologies can improve the safety of drivers through technologies that might prevent the driver from over speeding using road sign recognition cameras and GPS-based speed limiters. Consumers are further willing to buy in-vehicle computer systems on the back of growing consumer shift toward telematics and IoT-based smart transportation. These factors are expected to drive the global market of in-vehicle computer systems in the coming years.
The increasing focus on telematics-based preventive maintenance
Worldwide, various countries have proposed guidelines and instruction for tougher inspections to adhere to the latest vehicle safety standards and have widened the scope of testing regulations to integrate more tests as mandatory. The market is further driven by preventive fleet maintenance solutions to improve operational costs. Telematics-based periodic preventive maintenance is anticipated to surge the demand for in-vehicle computer systems for diagnosis. Such a factor is expected to provide lucrative growth to the global in-vehicle computer system market during the forecast period.
Demand for advanced connectivity and in-cabin functions
Automotive OEMs are moving toward more advance and interactive infotainment systems to offer lavish in-cabin experience. In-vehicle infotainment systems mainly include devices that provide features such as video streaming, navigation, smartphone pairing, voice recognition, parking assistance, and others. Consumers are now able to connect their smartphones with infotainment systems owing to the rise of smartphones and 5G technologies. For instance, consumers can stream music from Spotify or iTunes or command various tasks to OEMs. These are some of the factors that are further anticipated to fuel the growth of the global in-vehicle computer system market over the forecast period.
The complexity of vehicle electronics
The vehicle electronics or infotainment devices are quite complex to operate. They have complex programming and setups and are difficult to learn. Sometimes it is hard for consumers to activate all the features unless they can multitask. In addition, most consumers have trouble with computers and are required to learn certain instructions. Moreover, most consumers do not know how to fix a broken system and will have to call someone else to fix them which might be expensive. This complexity of operation is estimated to hinder the growth of the global in-vehicle system market during the forecast period.
Substitutes by smartphones and compact handheld devices
Technological advancement has provided growth to the market over the given period. On the other hand, the production of various substitutes such as smartphones and handheld devices has created several obstacles to the market. Most of the tasks that can be performed by an in-vehicle computer system can be done through smartphones and they are inexpensive technology than the in-vehicle computer systems. This factor is predicted to limit the growth of global in-vehicle computer system market in the coming years.
In-depth analysis of the global in-vehicle computer system market includes the following segments:
By Application Type:
By Memory Type:
By Subscription Type:
By Vehicle Type:
By Region Type
On the basis of regional analysis, the global in-vehicle computer system market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa region. On the basis of the region, the market in North America is expected to hold the largest market for in-vehicle computer systems during the forecast period owing to the increasing popularity of self-driving cars and demand for in-vehicle computer systems in activities enforced by the law. Increasing demand for fleet management or passenger information systems in the US are predicted to positively influence the North American market. Whereas, the market in Asia-Pacific region is anticipated to be the fastest-growing market in the global in-vehicle computer system market due to the rise in the production of motor vehicles in the region.
The global in-vehicle computer system market is further classified on the basis of region as follows: