CAGR: 7.7%Current Market Size: USD 20.25 BillionFastest Growing Region: Europe
Largest Market: APACProjection Time: 2023-2030Base Year: 2022
The Global Automotive Digital Cockpit market is expected to grow from USD 20.25 billion in 2022 to USD 36.65 billion by 2030, at a CAGR of 7.7% during the Projection period 2023-2030. The growth of this market is mainly driven by increasing demand for luxury vehicles worldwide.
In addition to the infotainment system, an automotive digital cockpit is a group of digital instrumentation. With the use of infotainment systems, HMI apps, and wireless networking in cars, it improves access to media and navigation and enhances the driving experience. The digital cockpit has become a crucial and enticing part of today's cars as consumer demand for cutting-edge technologies and immersive digital experiences have grown. Regardless of the vehicle's price, buyers today want greater digital experiences inside. Through value and integration engineering, businesses aim to provide personalized and integrated cabin user experiences (such as customization, navigation, voice, and productivity). The key reason for the rise in the automotive digital cockpit market is the use of telematics, the Internet of Things (IoT), safety, pollution sensors, navigation, and entertainment systems. The luxury car segment offers the end user a high level of comfort and convenience. The major players in the segment are incorporating digital cockpits into their cars to drive demand because the segment's target audience expects their vehicles to be outfitted with the newest safety and comfort features. A digital cockpit will be highly useful in recording the information of all the linked cars and autonomous vehicles while driving on the roads to minimise collisions and accidents. Additionally, connected cars and autonomous vehicles will be one of the future technologies as technology advances. The infotainment systems, wireless connection, and apps for human-machine interfaces all come together in the car cockpit system to improve the driving experience. The classic instrument cluster is replaced with a digital screen in the digital cockpit. It is anticipated that adding digital cockpit equipment will significantly increase the price of automobiles.
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Market Dynamics:
Drivers:
The high demand for comfort, safety, and convenience in automobiles will support market expansion, especially in developed nations. However, the scope of digital cockpits will also expand due to the rising demand for premium vehicles and autonomous driving technologies. The digital cockpit system is undergoing a significant transformation as it adopts new functionality, safety measures, and enhanced entertainment possibilities.
Restraints:
The pressure on original equipment manufacturers to consistently provide top-class performance while retaining their market price is growing as customer demand and expectations rise. The market faces various problems since businesses must consider various elements, including product orientation, user demands, R&D expenses, and competitive patterns. Thus, the market for vehicle digital cockpits may encounter obstacles due to the ongoing need to improve user experience.
Opportunities:
The demand for linked infotainment systems and digital cockpits in the automotive industry is expanding quickly. With the use of infotainment systems, HMI apps, and wireless networking in cars, improves access to media and navigation and enhances the driving experience. The use of telematics, the Internet of Things (IoT), safety, pollution sensors, navigation, and entertainment systems is the key reason that will propel the rise in the automotive digital cockpit market Additionally, the various cockpits are going to gain a lot of momentum throughout the anticipated period since they are opening up several profitable prospects for market expansion.
Challenges:
All businesses' operations have changed due to rapid technological breakthroughs. The automobile industry is now a part of the digital revolution, which exposes it to hostile cybersecurity threats and assaults. The risk of incoming cyber threats has been increased along with security automation, which leads to cyber crimes and triage. While the Internet of Things (IoT) and cutting-edge, connected car technology have enabled customers to enjoy a more advanced driving experience with remote managing and servicing but cybersecurity has emerged as a crucial concern for original equipment manufacturers (OEMs) as all stakeholders in the automotive industry.
Segmentation Analysis:
The global Automotive Digital Cockpit market has been segmented based on Equipment, Display Technology, Vehicle Type, and Regions.
By Equipment
The Equipment segment includes Digital Instrument Cluster, Driving Monitoring System, and Head-up Display (HUD). The Driving Monitoring System segment led the largest share of the Automotive Digital Cockpit market with a market share of around 35% in 2022. Infotainment systems, known as driving monitoring systems, include a variety of interactive functions, including entertainment, navigation, cabin climate control, and various safety and security elements, like cutting-edge driver assistance systems. The development of driverless cars and improvements in vehicle communication is anticipated to increase demand for driving monitoring systems. The market for the automobile digital cockpit is also being driven by some automakers' plans to provide sophisticated driver monitoring system options in their affordable and mid-segment car lineups.
By Display Technology
The Display Technology segment includes LCD, TFT-LCD, and OLED. The TFT-LCD segment led the Automotive Digital Cockpit market with a market share of around 32% in 2022. To fulfil the temperature and durability specifications of all prominent automotive displays, TFT LCDs are frequently employed in digital cockpit displays for automobiles. Based on the range temperature sensitivity in cars and the purpose of the display, OEMs utilize a combination of LCD and TFT in displays. Touchscreen screens that are generally made of LCD panels are installed in the driver monitoring system centre console and the basic digital instrument cluster.
By Vehicle Type
The Vehicle Type segment includes Passenger Cars and Commercial Vehicles. The Passenger Cars segment led the Automotive Digital Cockpit market with a market share of around 57% in 2022. The market is anticipated due to rising consumer demand for connected car technologies in passenger cars and the introduction of driverless vehicles. Additionally, automakers are emphasising more on providing their consumers with a better user experience, which has increased demand for car digital cockpits.
Global Automotive Digital Cockpit Market- Sales Analysis
The sale of Automotive Digital Cockpit types expanded at a CAGR of 5.2% from 2016 to 2022.
Four mutually reinforcing developments will be the main drivers of full-scale digitization: connected, autonomous, shared, and electric (CASE) cars. OEM companies would have more chances to generate ongoing income while satisfying upcoming consumers' digital aspirations.
Regardless of the vehicle's price, buyers today want greater digital experiences inside. Through value and integration engineering, businesses aim to provide customised and integrated cabin user experiences (such as customization, navigation, voice, and productivity).
User experience, sales, and income are all altering in the car sector due to the introduction of a digital cockpit. Like consumer smart gadgets, the classic cockpit has evolved into a digital product. To stay relevant in today's quickly changing world, vehicle manufacturers are putting a lot of effort into R&D and technology.
The adoption of telematics, the internet of things, safety and pollution sensors, navigation systems, and infotainment systems are the key factors that will fuel the expansion of the automotive digital cockpit market.
Thus, owing to the aforementioned factors, the global Automotive Digital Cockpit Market is expected to grow at a CAGR of 7.7% during the Projection period from 2023 to 2030.
By Regional Analysis:
The regions analysed for the Automotive Digital Cockpit market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. The Asia Pacific region dominated the Automotive Digital Cockpit market and held a 35% share of the market revenue in 2022.
Global Automotive Digital Cockpit Market- Country Analysis:
Germany’s Automotive Digital Cockpit market size was valued at USD 1.06 billion in 2022 and is expected to reach USD 3.24 billion by 2030, at a CAGR of 15% from 2023 to 2030. The market is expected to rise because of the rising demand for enhanced comfort, safety, and convenience in automobiles, particularly in emerging and developed nations. The rising demand for luxury and high-end vehicles, as well as the expanding usage of autonomous vehicle technologies, are both likely to support market expansion.
China’s Automotive Digital Cockpit market size was valued at USD 1.20 billion in 2022 and is expected to reach USD 4.21 billion by 2030, at a CAGR of 17% from 2023 to 2030.
The intelligent cockpit, which is quickly becoming a crucial component of the current driving experience, is being developed at the forefront by Chinese automakers. Intelligent cockpits integrate cutting-edge technology with a variety of driving tasks, including the entertainment and navigation systems as well as voice recognition for vehicle instructions.
India's Automotive Digital Cockpit market size was valued at USD 0.92 billion in 2022 and is expected to reach USD 2.44 billion by 2030, at a CAGR of 13% from 2023 to 2030. The market is expected to rise in order to supplement the sophisticated automotive interiors that are needed in the cars, increased features are pressuring automotive OEMs to combine safety systems with digital cockpits. When digital cockpits are combined with infotainment systems and a variety of digital instruments, additional advanced support functions are also improved for the drivers' safety.
Key Industry Players Analysis:
To increase their market position in the global Automotive Digital Cockpit business, top companies focus on tactics such as adopting new technology, mergers & acquisitions, type developments, collaborations, partnerships, joint ventures, etc.
Latest Development:
Report Metrics
Report Attribute |
Details |
Study Period |
2022-2030 |
Base year |
2022 |
CAGR (%) |
7.7% |
Market Size |
20.25 billion in 2022 |
Projection period |
2023-2030 |
Projection unit |
Value (USD) |
Segments covered |
By Equipment, By Display Technology, By Vehicle Type, and By Region. |
Report Scope |
Revenue Projection, competitive landscape, company ranking, growth factors, and trends |
Companies covered |
Hyundai Mobis, Panasonic Corporation, Pioneer Corporation, Robert Bosch GmbH, Visteon Corporation, Continental AG, Denso Corporation, Faurecia, Garmin Ltd., and HARMAN International. |
By Equipment |
|
By Display Technology |
|
By Vehicle Type |
|
Regional scope |
|
Scope of the Report
Global Automotive Digital Cockpit Market by Equipment:
Global Automotive Digital Cockpit Market by Display Technology:
Global Automotive Digital Cockpit Market by Vehicle Type:
Global Automotive Digital Cockpit Market by Region:
The Asia Pacific Automotive Digital Cockpit market was projected to gain a global market share of 35% in 2022.
The Vehicle type segment includes Passenger Cars and Commercial Vehicles
Hyundai Mobis, Panasonic Corporation, Pioneer Corporation, Robert Bosch GmbH, Visteon Corporation, Continental AG, Denso Corporation, Faurecia, Garmin Ltd., HARMAN International and Others
The global Automotive Digital Cockpit market is expected to grow with a 7.7% CAGR during the Projection period.
The growth of this market is mainly driven by the worldwide increase in vehicle demand.
Political Factors- The political and economic aspects of the Automotive Digital Cockpit Market are directly impacted by its ecological aspect. Environmentally friendly Automotive Digital Cockpit Market relies more on electricity and less on petrol. Customers have a chance of receiving a specific tax credit as a result of driving an electric vehicle. Due to its emphasis on environmental sensitivity, the government incentive has also improved its financial performance. Political reasons have aided the Automotive Digital Cockpit Market's progress and encouraged its growth.
Economical Factors- The car is mostly classified as a luxury vehicle. The worldwide economy has benefited from the sale of electric vehicles. The automotive sector around the world has experienced remarkable expansion between 2016 and 2017. The potential to produce affordable vehicles in the future has been created by the rise in sales. However, the country's regional economy affects growth. The corporation will gain in the long run by producing affordable digital cockpits that are within the reach of typical consumers in two ways. First and foremost, to compete with other businesses in the industry. Second, to satisfy the market's rising demand for electric vehicles.
Social Factor- Luxury electric automobiles have gained popularity as a result of automotive digital cockpits. In addition to optimizing profit for the company, this section of the research focuses on understanding a location's socio-cultural features while examining its investors, customers, and employees. The ubiquity of renewable energy sources and people's environmental consciousness both support the automotive digital cockpit. When making investments in emerging markets, the company should exercise caution. These markets may aid in improving the company's revenue. The Automotive Digital Cockpit Market presents other companies with fierce competition in this macroenvironment distant factor.
Technological Factors- Automotive digital cockpits are current with emerging technology. The future is in these digital cockpits with the newest technology, and these characteristics draw customers. The attribute of fuel efficiency redefines sustainability. The newest technology is yet another plus in addition to all of this. But technology is constantly changing. An organization can quickly develop a comparable function to compete. This section of the analysis offers promise for development based on advancement in technology.
Environmental Factors- For the past few years, environmental considerations have taken precedence over all others. Environmental issues are covered, including governmental control of carbon footprint, pollution, raw resource scarcity, and more. The better the business, the more environmentally conscious it is. The environmental aspects are favorable for automotive digital cockpit. The expansion of environmental programs to address challenges with climate change and resource management is supported by the manufacturers. Because it adheres to numerous such standards, a number of important players has been able to establish itself as a brand. The sustainable future includes environmentally conscious products like solar panels, batteries, and electric automobiles.
Legal Factors- Manufacturers of Automotive Digital Cockpits must uphold legislation and update their policies when they grow their business into different nations. The automotive digital cockpit market has the potential for expanding its global patent portfolio and promoting its environmentally friendly vehicles. Additionally, it may decide to launch its energy solution products in other markets. In addition to the limitations several states have placed on direct sales, Automotive Digital Cockpit limited sales operations abroad may be a challenge.
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