The North America Automotive Chip Market would witness market growth of 10.3% CAGR during the forecast period (2024-2031).
The US market dominated the North America Automotive Chip Market by Country in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $16,586 million by 2031. The Canada market is experiencing a CAGR of 12.6% during (2024 - 2031). Additionally, The Mexico market would exhibit a CAGR of 11.7% during (2024 - 2031).
These chips, or semiconductors, are integrated circuits specifically designed for automotive applications. These chips serve many functions, and their applications can be categorized into several key areas. These chips are employed in adaptive control systems that adjust vehicle performance in real-time based on driving conditions. For instance, these chips automatically adjust suspension settings to enhance ride comfort and handling.
In addition, these chips facilitate vehicle-to-grid technology in electric vehicles (EVs), allowing EVs to feed excess energy back into the power grid. This application supports energy management and promotes the use of renewable energy sources. Advanced chips are integral to AR HUDs (head-up displays), projecting vital information directly onto the windshield. This technology enhances driver awareness by displaying navigation, speed, and safety alerts without diverting attention from the road.
The investment in road infrastructure in America is expected to spur the development of advanced vehicle technologies, particularly those that enhance safety and efficiency. As infrastructure improves, there will be a greater emphasis on connected vehicle technologies, such as Vehicle-to-Everything (V2X) communication systems. As the number of ZEVs in Canada rises, particularly BEVs, there is a pressing requirement for advanced chip solutions to manage a range of vehicle functionalities, including power distribution, energy efficiency, and safety systems. Automakers are increasingly integrating cutting-edge technologies into their electric vehicles, which drives the demand for specialized chips that enhance performance and ensure reliability. Hence, the increasing funding for highway and road infrastructure in the USA and the expansion of the EV industry in Canada are set to impact the growth of the automotive chip market substantially.
Free Valuable Insights: The Automotive Chip Market is Predict to reach USD 87.1 Billion by 2031, at a CAGR of 11%
Based on Type, the market is segmented into Microcontrollers & Microprocessors, Analog ICs, Logic ICs, Sensor, and Others. Based on Application, the market is segmented into Telematics & Infotainment, Safety, Powertrain, Body Electronics, and Chassis. Based on Vehicle, the market is segmented into Passenger Vehicles, and Commercial Vehicles. Based on countries, the market is segmented into U.S., Mexico, Canada, and Rest of North America.
By Type
By Application
By Vehicle
By Country
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