Automotive systems are getting smarter with each passing day.
The evolution and inventions for the advance systems powered by a growing automotive market of Europe are increasing on a high pace. Sensors today define a new wave of automotive comfort and advance technology. The European automotive sensor industry is in a highly optimistic state.
As the vehicle production continues to grow, market volumes are poised to continuously expand in all aspects. Vehicles are becoming more sophisticated and are required to comply with increasingly tough environmental and safety regulations. Sensors are vital to the electronic systems of light passenger vehicles. The market for automotive sensors is forecasted to grow rapidly during the next four years.
The volume is expected to expand from 1.13 billion units in 2005 to 1.49 billion units in 2008 with a CAGR of 10.02 percent. In Europe and the US, the automotive sensor market is expected to grow at an annual average growth rate of 9.95 percent from $5.66 billion in 2005 to $7.53 billion in 2008. The principle factors impacting the demand for automotive sensors are stringent environmental & safety legislation, cost savings, customer demand, price competition, developments in new vehicle technology such as Hybrid vehicles and the growing passenger-vehicle production.
The automotive sensor demand is expected to extend to a wide range of applications. While some types of sensors are likely to remain unchanged, technological innovations are common. Micro-engineered silicon products such as MEMS (Micro Electro-Mechanical Systems) and other solid-state technologies will grow rapidly, yielding low cost, high performance sensors for a growing range of physical and chemical variables. Industry data show that the fastest growing automotive sensor segment is Crash Avoidance, Safety and Security systems. Other significant segments include Drivetrain System, Vehicle Control & Safety, Passenger Comfort & Convenience, Emission Control and sensors for future vehicles such as Hybrid & Hydrogen Fuel Cell vehicles.