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Embedded Systems- The Heart of Automotive Market

Automotive Embeded Systems

Automotive | Jun, 2021

If vehicles are safe, efficient and comfortable, it is all because of automotive embedded systems and electronics.

What is an Embedded System?

“Any sort of device which includes a programmable computer but itself is not intended to be a general-purpose computer” – Marilyn Wolf

Electronic innovation has made extraordinary steps and these days the nature of electronic parts—execution, power, and unwavering quality—empowers utilizing them notwithstanding for basic frameworks. In the meantime, the diminishing expense of electronic innovation permits them to be utilized to support any function in a car.

Generally, a vehicle contains a dozen to nearly 100 electronic control units (ECUs). There are two main modules of electronic systems i.e. information-entertainment and hard-real-time control of mechanical parts.



The different type of microcontrollers used in embedded systems are:

       ·         8-bit or 16-bit Microcontroller

       ·         Serial and Parallel Input-Output

       ·         Analog to Digital and Digital to Analog Conversions

       ·         Flash Memory and PROM

      ·         Signal generators and Timers


Why automotive embedded system is in a great demand?

   Ø  Growing vehicles sales

An extensive range of industries are involved in the designing, development and selling automobiles. Every year the sales and production of vehicles are increasing globally due to growing demand of consumers. Every vehicle manufactured is equipped with embedded system, this will drive the Global AutomotiveEmbedded System Market.

The most used embedded system in a vehicle includes adaptive cruise control, airbag, telematics, traction control, in-vehicle entertainment system, emission control system, parking system, navigation systems, collision sensors, climate control, radio, anti-lock braking system etc.

As per TechSci Research, “Global Automotive Embedded System Market By Vehicle Type (Passenger Cars, LCV and HCV), By Type (Embedded Hardware and Embedded Software), By Component (Sensors, Microcontrollers, Transceivers and Memory Devices), By Region, By Company, Competition, Forecast & Opportunities, 2025”, Global automotive embedded system market is projected to grow over 7% CAGR for the forecast period. Rising focus on vehicle safety features and increasing demand from consumers for electric vehicles as well as strict emission standards are the contributing factors strengthening the market growth. Based on the application, the market has been segmented into infotainment & telematics, body electronics, safety & security, and powertrain & chassis control. Due to the rising demand for safety features such as anti-lock braking systems (ABS) in the vehicles, the market for safety and security applications is expected to grow at the highest rate in the forecast period.

Impact of COVID-19 on Global Automotive Embedded Systems Market:

Recent COVID-19 outbreak across the world which has been declared as pandemic by World Health Organization has affected several countries adversely. Leading authorities across various economies-imposed lockdown restrictions and released a set of precautionary measures to contain the spread of novel coronavirus. Manufacturing units were temporarily shut down which led to disruption in supply chain and adversely affected the manufacturing process, delivery schedules and sales of products in global market. Automotive embedded systems market is expected to be negatively impacted due to travel bans, delay in product deliveries and product launches. 

   Ø  Increasing Focus on Vehicle Safety Features

The demand for safety features in vehicles has been incorporated by different companies based on the requirement by the end user and further motivated by the regulations imposed the regulatory bodies. During recent years, the number of traffic fatalities has come down throughout the developed economies. These number are becoming stagnant and the whole credit goes to widespread use of safety systems. To include safety feature in the vehicles, OEM’s are focusing on technological advancements which includes many sensors and advanced technical systems in the vehicle. To inbuilt all the sensor and technical features in vehicle the need of embedded system arises. These technological advancements are further fuelling the global automotive embedded system market.

Major example of active safety system could be recognised as pedestrian recognition, adaptive speed control, blind spot detection, lateral collision warning, cooperative lane changing indication, merging assistance, car breakdown warning, integrated car safety, etc. These features are anticipated to minimize the accident and accident related deaths. This is one of the major reason for the growth in the demand for embedded system market globally.

   Ø  Increasing demand of automation

As the demand for safety and security of drivers and passengers along the roadside is increasing, the demand for connected car devices is also soaring globally. The connected car devices are also considered helpful in analysing accidents and breakdown data to provide valuable inputs both to car makers and road infrastructure designer and designer. Moreover, projects such as GALILEO, EGNOS, European Emergency Call in Europe, Brazil’s SINIAV & SIMRAV, Russia’s ERA GLONASS United State’s Dynamic Speed Harmonization (SPD-HARM), Queue Warning (Q-WARN), Cooperative Adaptive Cruise Control (CACC), etc. will be enhancing the demand for connected car devices across the globe.

The increasing demand for connected car will drive the automotive embedded system market globally due to increasing demand for sensors and engineering systems in the vehicles.

Growing Automotive Component Industry
The automotive component industry is expected to increase at a significant CAGR over the next five years due to increasing production and sales of vehicles every year. Every vehicle produced require components and embedded complete devices often including hardware and mechanical parts and it controls many devices. This will boost the demand for automotive embedded system market.

As per TechSci Research, “United States Automotive Microcontrollers Market, By Vehicle Type (Passenger Cars and Commercial Vehicle), By Electric Vehicle Type (BEV, HEV, PHEV, FCEV), By Technology (Park Assist System, ACC, TPMS and Blind Spot Detection System), By Connectivity (V2V Connectivity, V2I and V2C), By Bit Size (8-Bit, 16-Bit and 32-Bit), By Application (Body Electronics, Chassis & Powertrain, Infotainment & Telematics, Safety & Security), By Company and By Geography, Forecast & Opportunities, 2026”, United States automotive microcontrollers market is expected to grow at a significant CAGR during the forecast period, 2022-2026. Increasing preference of vehicle electrification among original equipment manufacturers and consumers coupled with technological advancements with optimized weight-to-cost ratio is expected to bolster the market growth. Based on electric vehicles, the HEV segment is projected to hold the largest share of the automotive microcontrollers market during owing to growing production of HEVs during the forecast period. Also, the installation of 32-bit multi core/fusion box microcontrollers is higher in this segment, as compared to IC engine vehicles, because of the complexed power distribution of the vehicle.

Conclusion: Global Automotive Embedded System Market is expected to grow at a CAGR of over 7%, on the back of growing vehicle fleet and rise in the number of electric vehicles across the globe. The increasing demand for advanced safety and convenience systems, and rising trend of vehicle electrification in are some of the key factors fuelling the growth of Automotive Embedded System Market during the forecast period as well.