The global automotive semiconductor sensor market will reach $14 billion in 2028

Yelo predicts that by 2028, global automotive semiconductor sensor shipments will reach 8.3 billion, and the market size will reach 14 billion US dollars, an increase compared to 2022, with a compound annual growth rate (2022 to 2028) of 10%.

How Automotive Market Trends Are Affecting Semiconductor Sensor Manufacturers

As vehicles become more electrified and include higher ADAS and safety component content, sensor makers will grow or shrink depending on their positioning.

The transition to fully electric vehicles will have a negative impact on manufacturers of sensors for traditional internal combustion engine applications such as engine pressure sensing, emission control and engine control (EGR, throttle, shaft...), etc.

Over the next five years, these players will start to see the effects of this shift, but by the end of the century, the impact will be even greater, especially after Europe bans new internal combustion engine vehicles in 2035.

Suppliers of MEMS pressure and gas and particle sensors such as #Bosch, TE Connectivity, NXP or Infineon will find new opportunities in thermal runaway and CO2 (carbon dioxide) sensing applications. Preventing thermal runaway at the battery level is critical for OEMs to avoid serious damage, while CO2 sensing is more of a comfort feature for in-vehicle applications and should really take off in the long run.

Players in magnetic sensors like Allegro Microsystems, #Infineon, and temperature sensors like #Sensirion are looking forward to great opportunities, as current and temperature parameters are critical to monitoring the behavior of all new modules inside EVs. These players should see strong revenue growth as the number of electric vehicles proliferates.

The higher content of ADAS and safety components will primarily affect players involved in imaging, radar and lidar sensors.

Safety applications such as airbags and ESP are already implemented in almost all vehicles, so the growth of MEMS accelerometers and inertial combos/IMUs will be primarily related to vehicle sales growth, even though more airbags can be embedded per vehicle. This will create some volume sales from major players like #Bosch, #Murata, #NXP and STMicroelectronics.

Image and radar sensors are expected to witness strong growth owing to the increasing penetration of AEB functionality in autonomous vehicles. These vehicles are expected to reach 65 million by 2028.