World OEM Automotive Electronics Demand to Reach US$124 Billion in 2009

World demand for automotive electronics for original equipment manufacturer (OEM) use is forecast to advance 7.5 percent annually to US$124 billion in 2009, much more rapidly than vehicle production itself. Some electronics systems are maturing in North America, Western Europe and Japan, and in these developed markets the industry is entering the next phase of evolution, characterized by strong demand for safety, entertainment and communications systems.

Growth in emerging markets is being driven by the continued introduction of electronic systems designed to improve safety, efficiency and emissions control. These and other trends are presented in World OEM Automotive Electronics, a new study from The Freedonia Group Inc., a Cleveland-based industrial market research firm.

Consumer unwillingness to increase spending for the latest electronic systems across the Triad (the U.S., Western Europe and Japan) has throttled back expectations by OEMs regarding some newer technologies such as navigation, wireless and telematics systems. The industry's mandate has thus become increased functionality without increased prices, which is driving cost-effective electronics systems into the automotive platform globally.

The best growth prospects are emerging in several market segments, particularly safety (both active and passive safety systems), entertainment electronics (mobile Internet, video and gaming systems), and power electronics, which are designed to handle and coordinate the rapidly growing electric power requirements of newer vehicles. Electronics growth in emerging markets is being helped by the rapid transfer of new product designs from Triad markets -- a change from the past, when obsolete designs were used in nascent markets.

The developed nations of the world (the U.S., Japan and many of the nations of Western Europe) will continue to account for the majority of demand for OEM auto electronics, since demand is linked directly to light vehicle production.

Tim Gouldson,
Editor, Canadian Electronics
tgouldson@clbmedia.ca  

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Microsystems: The redesigned CMC Microsystems Web site includes: current information of interest to Canada's microsystems community; increased access to information on products and services provided by CMC through its Technology Gateway; simplified navigation; and an enhanced design that supports its new corporate identity. www.cmc.ca

Voltage Protection: Coiltronics over-current and over-voltage protection devices, supercapacitors and magnetics products are available online from Digi-Key, an electronic parts catalogue house. Digi-Key is a source for overnight delivery of small prototype, low volume orders, and now, partial package quantities as well as production quantities. www.digikey.com

Connectors and Terminal Blocks: Phoenix Contact's Web site now provides Canadians with product information, downloadable datasheets, and an interactive sales partner search in both official languages. The Web site also includes training modules and company news. www.phoenixcontact.ca

Enclosures: Southco has improved its Web site www.southco.com with: quicker access to a range of products, with easier, more logical searching and sorting capabilities and fewer levels through which to navigate; enhanced downloading functionality; a simplified log-in function; and a 24-hour online help feature for customers.

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