The global automotive electronic control unit market size was exhibited at USD 99.85 billion in 2022 and is projected to hit around USD 164.36 billion by 2032, growing at a CAGR of 5.11% during the forecast period 2023 to 2032.
Key Pointers:
Automotive Electronic Control Unit Market Report Scope
Report Coverage |
Details |
Market Size in 2023 |
USD 104.95 Billion |
Market Size by 2032 |
USD 164.36 Billion |
Growth Rate From 2023 to 2032 |
CAGR of 5.11% |
Base Year |
2022 |
Forecast Period |
2023 to 2032 |
Segments Covered |
Application, ECU Capacity, Propulsion Type, Level of Autonomous Driving, Vehicle Type |
Regional Scope |
North America; Europe; Asia Pacific; Central and South America; the Middle East and Africa |
Key Companies Profiled |
Continental (Germany), Bosch (Germany), Aptiv (UK), Denso (Japan), Autoliv (Sweden), Mitsubishi Electric (Japan), ZF (Germany), Hitachi (Japan), and Magneti Marelli (Italy). |
The Hybrid and battery-powered vehicle sales are increasing due to rising consumer demand for commutes that release less carbon and reduce air pollution. Demand for electronic regulating devices like automotive electronic control units (ECUs) is driven by the growing adoption of automated driving, advanced driver assistance system (ADAS), infotainment, and other chassis electronics in internal combustion engine (ICE), hybrid and battery-powered vehicles.
Additionally, the growing preference of consumers for technically advanced luxury vehicles is also anticipated to drive the growth of the automotive ECU market over the forecast period. Moreover, the deployment of ADAS systems, driver assistance, anti-lock brake systems, adaptable front lighting, and other features in passenger cars and larger vehicles is mandated by governments in many countries as part of attempts to improve road safety.
For instance, in January 2023, Continental AG partnered with Ambarella, Inc., a semiconductor design company. Collectively, the two businesses will create scalable, all-encompassing software and hardware systems based on Artificial Intelligence (AI) for supported and Automated Driving (AD) as a step toward autonomous mobility. By incorporating Ambarella's energy-efficient System-on-Chip (SoC) architecture into its ADAS systems, the two companies will work together strategically. Additionally, customers' increasing demand for luxury cars increases investment in R&D for automotive ECUs, which is anticipated to provide new growth prospects for the market.
Automobile manufacturers in the automotive electronic control unit market are being encouraged to create and incorporate advanced systems into their vehicles by the expanding demand for personal vehicles and the rising disposable income of consumers in emerging countries around the world. They are implementing advanced automotive electronic systems for managing and maintaining the performance of these systems, which is anticipated to drive the market's expansion for automotive electronic controls.
For instance, in March 2022, Vitesco Technologies, an automotive company, partnered with Vector Informatik, a software tools manufacturer. The partnership aims to expedite software development in the area of coordinated vehicle movement using a centralized master controller. A central vehicle management system based on hardware and software that is almost ready for production is already being created for a significant German automaker as part of the ongoing partnership deal between Vitesco Technologies and Vector.
However, the rise in faults in automotive electronic control units in vehicles, causing unintended interruptions and serious accidents, is having a detrimental impact on the market for automotive electronic control units. Additionally, it is estimated that the market's growth would be constrained by the high prices associated with the programming and installation of electronic control units as well as the repair of electronic control units. These factors are expected to hamper the growth of the automotive electronic control unit industry.
Capacity Type Insights
The 32- Bit segment dominated the market accounting for over 41.18% of the revenue in 2022. The rise in demand for these components can be attributed to their beneficial qualities, such as reduced design intricacy and low energy use. Furthermore, the enhanced performance provided by these 32-Bit has increased their application in engine control systems, automotive power drills, and transmission control units.
The 64-Bit segment is expected to register the highest CAGR of 6.4% over the forecast period owing to the improved operating system and memory support. These parts are utilized in high-tech autonomous vehicle applications such as traffic control systems, lane management systems, and ADAS. Additionally, 64-bit ECU improves transmission, which necessitates using fewer ECU per car. Automotive electronic control unit consolidation saves vehicle weight and costs, therefore 64bit is a high-performance electronic control unit that is frequently employed to carry out the operations of several systems.
Vehicle Type Insights
The automotive electronic control unit market is further segmented into passenger cars and commercial vehicles. Amongst which passenger vehicles hold the significant market share. Due to the additional features provided by in-vehicle management systems, such as greater driver remote capabilities and vehicle software updates, passenger automobiles, even luxury vehicles, have a greater number of ECUs than other vehicles.
For instance, In January 2023, NVIDIA Corporation partnered with Foxconn, a manufacturing company, to create platforms for autonomous vehicles at the CES in 2023. Foxconn will produce automotive electronic control units for vehicles based on Nvidia's DRIVE Orin chip and DRIVE Hyperion sensors for autonomous vehicles. The chip was specifically developed for networked autonomous vehicles. Additionally, the growing demand for luxury vehicles, rising disposable income, and consumers' improved lifestyles have all been contributing to the expansion of the passenger vehicle market.
The automotive electronic control unit market is experiencing increased demand for high-end vehicles due to consumers' rising purchasing power in the world's developing countries. High levels of automotive electronic system integration are present in luxury automobiles, and automotive electric control units are necessary to operate this highly developed system. Additionally, the need for ECUs is increasing due to autonomous driving, IoT-controlled functions, and telematics; these factors together with the ECUs' ease of configuration and availability of a variety of engine and transmission safety features are driving the passenger car market to develop.
Application Type Insights
The powertrain held a major market share of over 21.8% in 2022. Powertrain electronic control unit is utilized to improve engine performance by managing the vehicle's warning lights, fuel injection, valve timing, and spark timing. In addition, the powertrain electric control components also offer a number of beneficial qualities, such as being lightweight, small, and simple to install; as a result, these qualities promote their application in the cars and contribute to the high segment share.
The ADAS & safety system segment is expected to register the highest CAGR of 6.6% over the forecast period. Growing consumer awareness of the need for driver and passenger safety, along with declining prices for in-car electronic safety systems, is propelling the segment's expansion. The need for ADAS safety systems and associated regulations in the automotive electronic control unit market is further fueled by the fact that the major auto manufacturers are embracing ADAS solutions by adding them to raise the safety rating of their vehicles and attract consumers.
Propulsion Type Insights
The internal combustion engine segment accounted for the largest share of over 72.19% in 2022, due to the rising automobile manufacturing in emerging economies, such as India and China. For instance, in December 2022, Stellantis NV partnered with Qinomic, a manufacturing company, to develop an e-drivetrain retrofit solution for converting light commercial vehicles with internal combustion engines to electric drivetrains while enhancing OEM quality and requirements, such as safety, longevity, and type approval. With an economical option that satisfies customers' desires to prolong the life of their vehicles and maintain business operations while entering Low Emissions Zones (LEZ) in localities, the electric retrofit solution strives to protect freedom of mobility.
The battery-powered vehicle segment in automotive electronic control units is anticipated to witness a CAGR of 8.6% during the forecast period owing to the increased government efforts to reduce pollution along with the increasing acceptance of vehicles that use less energy. The development of battery-powered vehicles is also being fueled by rising government incentives to encourage the use of electric vehicles together with infrastructure investments to establish EV charging and hydrogen fueling stations. Lower battery costs for both personal and commercial vehicles are driving the automotive electronic control unit market to rapidly expand.
Regional Insights
Asia Pacific region dominates the automotive ECU market with a revenue share of over 49.9% in 2022, owing to the increase in demand for passenger-car entertainment and communication apps. The automobile industry is expanding rapidly in countries such as South Korea, India, and China which creates several opportunities to integrate ECU into the new car. Moreover, rising demand for personal vehicles is fueling automobile production and creating new opportunities for automotive electronic control unit market growth in this region.
North America automotive ECU market is expected to exhibit the highest CAGR of 6.2% over the forecast period, owing to the increase in the installation of electronic systems in light commercial vehicles, passenger cars, and SUVs. The demand for energy-efficient automobiles and stringent government regulations to reduce carbon emissions are also propelling the growth of the automotive electronics industry. Moreover, the rising demand for luxury cars also contributes to regional market growth
Some of the prominent players in the Automotive Electronic Control Unit Market include:
Segments Covered in the Report
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2032. For this study, Nova one advisor, Inc. has segmented the global Automotive Electronic Control Unit market.
By Application
By ECU Capacity
By Propulsion Type
By Level of Autonomous Driving
By Vehicle Type
By Region