Automotive Chip Market Size To Reach $85.99 Billion By 2030

Automotive Chip Market Growth & Trends

The global automotive chip market size is expected to reach USD 85.99 billion by 2030, registering a CAGR of 11.2% from 2024 to 2030, according to a new report by Grand View Research, Inc. Rising awareness regarding energy-efficient lighting systems and burgeoning sales of luxury vehicles equipped with navigation and infotainment systems are creating an upswing in the demand for automotive chips.

Spiraling demand for commercial and passenger vehicles is driving the automotive chip market. Automotive chip enhances a vehicle’s security system and in-vehicle infotainment system. It also ensures the safety and comfort of occupants including the driver. For instance, the SYNC technology of Ford enables the driver to make hands-free phone calls and lets them control the entire navigation and infotainment system using their voice. These benefits are expected to stoke the growth of the market. However, complex and expensive technology and network challenges in developing economies are estimated to hinder the growth of the market over the forecast period.

In the North America region, the automotive chip market is likely to expand at a CAGR of 9.2% over the forecast period. Prominent vendors in the market include Microchip Technology Inc.; Texas Instruments Incorporated; Robert Bosch GmbH; NXP Semiconductors; and Infineon Technologies AG.  

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Automotive Chip Market Report Highlights

• The microcontrollers and microprocessors segment dominated the market and accounted for a market share of 45.8% in 2023.

• The passenger vehicles segment accounted for the largest revenue share in 2023. Modern passenger cars entail nearly 1000 to 3000 semiconductor chips in its body, which assists the vehicle and driver in multiple functions and ensures smooth processing and operations.

• The body electronics segment accounted for the largest market share in 2023. Automotive body electronics assists the vehicles and users in multiple areas including power distribution, motor control, module control, seat control, roof control, in-cabin charging, windshield wiper control, door windows and door control, light control and contribute towards enhancement of overall comfort.

• Asia Pacific automotive chip market dominated the market with a revenue share of 43.2% in 2023. The Latin America automotive chip market is expected to experience the fastest CAGR during the forecast period.

Automotive Chip Market Segmentation

Grand View Research has segmented global automotive chip market report based on type, vehicle, application, and region:

Automotive Chip Type Outlook (Revenue, USD Billion, 2018 - 2030)

• Analog ICs

• Microcontrollers & Microprocessors

• Logic ICs

Automotive Chip Vehicle Outlook (Revenue, USD Billion, 2018 - 2030)

• Passenger Vehicles

• Commercial Vehicles

Automotive Chip Application Outlook (Revenue, USD Billion, 2018 – 2030)

• Chassis

• Powertrain

• Safety

• Telematics & Infotainment

• Body Electronics

Automotive Chip Regional Outlook (Revenue, USD Million, 2018 - 2030)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • France

• Asia Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

• Latin America

  • Brazil

• Middle East and Africa (MEA)

  • South Arabia

  • UAE

  • South Africa

List of Key Players of Automotive Chip Market

• Qualcomm Technologies, Inc.

• Renesas Electronics Corporation

• Infineon Technologies AG

• STMicroelectronics

• Texas Instruments Incorporated

• NXP Semiconductors

• Broadcom

• Micron Technology, Inc.

• Intel Corporation

• ROHM CO., LTD.