In-Vehicle Ethernet System Market

In-Vehicle Ethernet System Market Snapshot (2023 to 2033)

The Global In-Vehicle Ethernet System Market is projected to reach US$ 9.4 Billion in 2033. Global adoption of new and innovative technologies in vehicles with growing automation in the automotive industry is driving the demand for In-Vehicle Ethernet Systems.

According to FMI, the Global In-Vehicle Ethernet System Market is estimated to be valued at US$ 2.7 billion in 2023 and is projected to increase at a CAGR of 14.6% in the forecast period from 2023 to 2033.

Attributes	Details
Market Size (2022)	US$ 2.3 Billion
Market Size 2023	US$ 2.7 Billion
Market Size 2033	US$ 9.4 Billion
Value CAGR (2023 to 2033)	14.6%

An in-vehicle Ethernet system is a data communication system that links multiple devices inside a car using Ethernet technology. Infotainment, driving assistance, and active safety are some of the applications of in-vehicle Ethernet systems. Compared to other data connection technologies, in-vehicle Ethernet systems have several benefits, such as high bandwidth, low latency, and deterministic behavior. In-vehicle Ethernet system is connected to various external devices like smartphones, GPS units, USB drives, traffic information services, MP3 players, brake controllers, and tire pressure monitoring systems. In-vehicle Ethernet uses sensors and cameras to detect the surrounding environment and potential hazards or traffic conditions and then inform the same information to the driver so that driver can take action over it.

Growing global popularity and adoption of the latest developed technologies in vehicles is rapidly increasing and automotive manufacturers are increasingly offering vehicles with control systems, smartphone connectivity, navigation systems, entertainment components, driver safety systems, Internet access, etc., which is driving demand for Ethernet systems in vehicles. Additionally, vehicle demand and sales are growing steadily owing to the rapid evolution of high-tech technological innovations in automotive manufacturing. These are the factors due to which the global in-vehicle Ethernet system market is rapidly increasing.

Historic Market Outlook for Global In-Vehicle Ethernet System Market

The analysis of In-Vehicle Ethernet System demand from 2018 to 2022 showed a historical growth rate of 8.6% CAGR.

Different sectors around the world have been impacted by the COVID-19 pandemic, similarly, the in-vehicle Ethernet systems market is also significantly impacted by the virus outbreak. Global manufacturing facilities and supply chain networks experienced an interruption in their activity due to stringent government rules and regulations amides virus spread. The effects of these acts on the world economy were significant. Global industrialists were compelled to halt production, disrupting the supply chain and affecting several companies. This has affected the in-vehicle Ethernet system market growth in the historic period.

However, with the reopening of trade activities from the 2022 starting period the market is witnessing steady growth in demand and is also anticipated to grow at the same pace in the coming years. Additionally, the market is boosted by an increasing global automotive fleet with equipped latest features, investment in smart vehicle production, and the growing popularity of electric vehicles. Thus, according to FMI, global In-Vehicle Ethernet System demand will grow at a CAGR of 14.60% through the projection period by 2033.

What are the Various Factors Driving the Global In-Vehicle Ethernet System Market?

The global market for in-vehicle Ethernet systems is growing primarily due to high complexity and an increase in the number of applications in vehicles. Other factors that are anticipated to propel the market for in-vehicle Ethernet systems globally over the forecast period include rising investment in smart vehicles and the adoption of intelligent transportation systems.

The market for in-vehicle Ethernet systems is predicted to grow in the next years as a result of connected automotive technological advancements. Connected automobile and Internet of Things application developers can create cutting-edge apps because of the high bandwidth Ethernet standards. The demand for high bandwidth connectivity in the car is anticipated to expand as the number of these applications rises. By giving drivers real-time data, the high bandwidth allows for real-time connectivity with the outside world while also reducing deaths. Additionally, the rising deployment of advanced driver assistance systems (ADAS), the falling cost of Ethernet equipment, and the integration of Ethernet for high-performance navigation systems and high-end entertainment & telematics would boost the expansion of the global In-vehicle Ethernet system market.

What are the Opportunities for the Global In-Vehicle Ethernet System Market Growth?

The global market for in-vehicle Ethernet systems is having lucrative opportunities with rising investment in autonomous vehicle technologies. The expansion of the automotive electronics business requires wired networks to have larger bandwidth, lower latency, and better synchronization, all of which may be achieved by Ethernet. In-vehicle Ethernet systems are in prominent demand as a result of the availability of a standard in-vehicle Ethernet solution for about 100Mbps speed. Ethernet's robust data transfer mechanism can help the automobile service sector become more standardized.

Increased global vehicle electrification is anticipated to drive growth in the market for in-vehicle Ethernet gateways. The use of sophisticated safety and comfort features like airbags, anti-lock brakes, and blind spot detection systems is projected to increase the integration of wireless communication systems in vehicles, which will likely drive the global market for in-vehicle Ethernet gateways.

What are the Restraining factors for Global In-vehicle Ethernet System Market?

In-vehicle Ethernet system demand is being hampered in the global market by a lack of autonomous mobility infrastructure, expensive installation costs, and security concerns.

In connected and autonomous vehicles, networking components are used extensively. Continuous infrastructure improvement is necessary for the adoption of autonomous cars. The development of the vehicle networking market may be hampered by a lack of infrastructure enabling autonomous mobility, particularly in developing and underdeveloped nations. In addition, problems with inadequate road infrastructure and minimal government financing may cause the integration of car networking technologies to proceed more slowly.

High installation cost is also one of the restraining factors for the market growth of In-vehicle Ethernet systems. Additionally, increased cyber security threats against advanced vehicles put manufacturers and consumers at risk, which hinders the potential for the ethernet gateway market to grow and expand.

What is the Regional Analysis of the Global In-Vehicle Ethernet System Market?

Geographically, in terms of In-Vehicle Ethernet System sales, amongst all regions which are sub-segmented in the global market, Europe and Asia Pacific are the top regions and collectively account for a sizable portion of the global In-Vehicle Ethernet System market in 2022.

The market for in-vehicle Ethernet systems in Europe is anticipated to develop significantly through 2033, driven by increased funding to support vehicle electrification and decarbonization. The significant presence of important industry participants in the area will further have an impact on the adoption of vehicle Ethernet connectivity systems.

The East Asia region also contributes to a prominent value share in the global market for In-Vehicle Ethernet Systems. The advancement of technology, strong economic growth, and stable socio-political conditions have all contributed to the significant transformation of the East Asia region's automotive industry during the past few years, which contributes significantly to the global manufacture and sales of vehicles. The automotive industry has been driven by mass consumers in developing nations like Malaysia, China, and Japan. East Asia has enormous prospects for automotive OEMs to boost business revenue, consequently in China and Japan.

Market Competition

Key players operating in the Global In-Vehicle Ethernet System Market include Vector Informatik GmbH, Broadcom Limited, DASAN Network Solutions, Bosch Rexroth, B&R Automation, Ruetz system solutions Gmbh, Microchip Technology Inc., and others.

A prominent number of players are engaged in the in-vehicle Ethernet gateway market, which is growing steadily. To produce an in-vehicle ethernet system with new key development, the major players in the In-Vehicle Ethernet System market invest a sizable amount of investments in comprehensive research and development.

Scope of the Report

Attribute	Details
Growth Rate	CAGR of 14.60% from 2023 to 2033
Base Year for Estimation	2022
Historical Data	2018 to 2022
Forecast Period	2023 to 2033
Quantitative Units	Revenue in USD Billion, Volume in Units, and CAGR from 2023 to 2033
Report Coverage	Revenue Forecast, Volume Forecast, Company Ranking, Competitive Landscape, Growth Factors, Trends, and Pricing Analysis
Segments Covered	Ethernet Type Vehicle Type Region
Regions Covered	North America Latin America Europe East Asia South Asia & Pacific The Middle East and Africa (MEA)
Key Countries Covered	The USA Canada Mexico Brazil Germany The UK France BENELUX Italy Spain Russia China Japan India Turkey South Africa Northern Africa GCC Countries ANZ
Key Companies Profiled	Vector Informatik GmbH Broadcom Limited DASAN Network Solutions Bosch Rexroth B&R Automation Ruetz system solutions Gmbh Microchip Technology Inc.
Customization & Pricing	Available upon Request

Key Segments Profiled in the In-Vehicle Ethernet System Market Report In-Vehicle Ethernet System Market

By Ethernet Type, In-Vehicle Ethernet System Market is segmented as:

• One pair Ethernet –OPEN
• Energy-efficient Ethernet
• Power over Ethernet-PoW
• Gigabit Ethernet –GIG-E

By Vehicle Type, In-Vehicle Ethernet System Market is segmented as:

• Passenger car
• Light commercial vehicle
• Heavy commercial vehicle

By Region, In-Vehicle Ethernet System Market is segmented as:

• North America
• Latin America
• Europe
• East Asia
• South Asia & Pacific
• Middle East & Africa (MEA)

Frequently Asked Questions

What was the value of the In-Vehicle Ethernet System Market in 2022?

In 2022, the value of the Global In-Vehicle Ethernet System Market reached over US$ 2.3 Billion.

At what rate is the Global In-Vehicle Ethernet System Market projected to expand during the forecast period?

During the forecast period, the Global In-Vehicle Ethernet System Market is estimated to expand at a CAGR of 14.60 % from 2023 to 2033.

By 2033, what will the value of the Global In-Vehicle Ethernet System Market?

The Global In-Vehicle Ethernet System Market is projected to reach US$ 9.4 Billion by the end of 2033.

Which region/country is set to lead the Global In-Vehicle Ethernet System Market?

Europe and East Asia are projected to lead the Global In-Vehicle Ethernet System Market in the forecast period.

Which are the top players in the Global In-Vehicle Ethernet System Market?

The key players operating in the Global In-Vehicle Ethernet System Market are Vector Informatik GmbH, Broadcom Limited, DASAN Network Solutions, Bosch Rexroth, B&R Automation, Ruetz system solutions Gmbh, Microchip Technology Inc. and others.