Automotive Digital Cockpit Market (By Equipment: Digital Instrument Cluster, Driving Monitoring System, Head-up Display (HUD); By Display Technology: LCD, TFT-LCD, OLED; By Vehicle Type: Passenger Cars, Commercial Vehicles) - Global Industry Analysis, Market Size, Opportunities and Forecast 2021 - 2028

The global automotive digital cockpit market is expected to grow at a CAGR of around 14.2% from 2021 to 2028 and expected to reach the market value of around US$ 40.5 Bn by 2028.

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In today's increasingly digital and complex world, there is a strong demand for simpler, more user-friendly information management systems inside automobiles. With such new capabilities focusing on automated driving and safety, connectivity, and user experience, it gives rise to the development of automotive digital cockpits. The automotive digital cockpit enables automakers to differentiate and create new revenue opportunities by providing new, personalised services and applications to drivers and passengers.

The Quintessential factors of automotive digital cockpit market

Safety, connectivity, maintainability, user experience, and technology are all important aspects of an ideal automotive digital cockpit design. By evaluating various innovative solutions, the majority of automakers have included digital cockpit as part of their growth strategy. Currently, the cost of automotive high-grade displays is decreasing, and the automotive digital cockpit has a positive impact on mid-level vehicles. Safety, connectivity, maintainability, user experience, and technology are all important aspects of an ideal digital cockpit design. As a result, an automotive digital cockpit combines infotainment, rear seat entertainment, a cluster, and a heads-up display. Such newer developments are propelling the global automotive digital cockpit market forward.

Big calls for in-vehicle infotainment (IVI) system into an automotive digital cockpit market

Currently, automakers incorporate a variety of features such as ADAS, connected car, and autonomous driving to make driving safer. As a result, the car's IVI system is more than just a platform for entertainment; it also provides a better user experience. Personalization is a prominent factor in which passengers are demanding, and as a result, automakers must incorporate such technology. The desire for personalization, as well as the trend toward consolidation of infotainment and safety-critical features, is critical. Integrating all of these advanced technologies will necessitate an efficient supply chain system, as well as feature-rich processors and system on chips (SOCs), operating systems, application frameworks, virtualization techniques, and software suppliers. 

Modernization fuel the growth of global automotive digital cockpit market

The evolution of a digital instrument cluster and a dedicated centre stack display is one of the most common applications of in-cabin displays. This strategy is cost-effective for an automaker in providing a more digital experience to the customer while maintaining a more traditional, and less distracting, distribution of information to the driver. This is one of the most straightforward ways for automakers to replace traditional analogue gauge clusters with digital displays across time levels of the same models. As the digital cockpit in automobiles began with high-priced models and trim levels, this display trend is now trickling down to mid-priced vehicles. Volkswagen (VW) 12.3" Digital Cockpit (instrument cluster display), for example, is available globally for US and European automotive vehicles such as the Jetta, Tiguan, Passat, and others. Furthermore, the installation rate of digital instrument clusters is expected to increase from 11.5 million units to 31.9 million units, with an increase from 16.5% to 34.1% of passenger light vehicles.

Market Drivers

Rising demand for excellent digital user experiences is driving the shift away from traditional analogue car dashboards and toward a multi-screen and multimodal digital experience for drivers and passengers. Automobile manufacturers are moving toward ECU consolidation in order to share resources, eliminate components, and reduce costs. ECU consolidation is a significant step forward for the automotive industry's software-defined vehicles. Because modern cars have multiple digital displays of various sizes and shapes, reducing driver distraction is a critical factor addressed by feature consolidation and smart HMI screens. Furthermore, design, cost, and performance bring the right product that is intuitive and futuristic, offering the best user experience in the shortest amount of time and at the lowest cost by installing an automotive digital cockpit. It is considered a stable process because the automotive digital cockpit includes instrument clusters and functionally safe software that complies with ISO26262 standards. Such factors significantly contribute to the growth of the global automotive digital cockpit market.

Market Segmentation

The global automotive digital cockpit market is segmented as equipment, display technology, and vehicle type. Based on equipment, the market is segmented as Digital Instrument Cluster, Driving Monitoring System, and Head-up Display (HUD). By display technology, the market is segmented as LCD, TFT-LCD, and OLED. Vehicle type is bifurcated into passenger cars and commercial vehicles.

Based on equipment, the driving monitoring system segment holds the dominating share for the global automotive digital cockpit market. Based on display technology, the TFT-LCD display segment dominates the global automotive digital cockpit market. Further, based on vehicle type segment the passenger cars segment holds the dominating share for the global automotive digital cockpit market.

Regional Landscape

Asia Pacific dominates; Europe holds the reasonable share for the automotive digital cockpit market

The Asia Pacific region dominates the automotive digital cockpit market. As China rapidly approaches becoming the world's largest automotive market, identifying new solutions allied with auto megatrends such as connectivity, shared mobility, and electrification, it is regarded as one of the key countries driving the growth of the automotive digital cockpit market. China's major OEMs and suppliers are pooling their resources to create new automotive intelligent cockpit products. Furthermore, the wave of intelligence in the automotive industry is being supported at the national level. For example, the Strategy for the Innovation Development of Intelligent Vehicles establishes the goal of mass-producing conditional Intelligent Vehicles by 2025 and completing China's standard intelligent vehicle system by 2035. Such factors contribute to the expansion of the automotive digital cockpit market.

Europe has a sizable market share in the automotive digital cockpit market. Among European automakers, German automakers remain at the forefront of the development of automotive digital cockpits that intend to connect with their suppliers. The primary goal is to standardize a digital platform that will serve as a digital data hub. Furthermore, by combining cooperative data and AI, German automakers pinpoint their leading position on the global market. Moreover, among suppliers, there is a strong emphasis on autonomous driving and digitalization of value creation. Through the incorporation of standardized information and data availability, participating companies increase the competitiveness of the automobile industry, improve the efficiency of industry-specific cooperation, and accelerate company processes.

Competitive Landscape

The prominent players of the global automotive digital cockpit market involve Robert Bosch GmbH, Continental AG, HARMAN International (A Samsung Company),  Visteon Corporation, Faurecia, Sintrones, Marelli Holdings Co., Ltd., DRÄXLMAIER GROUP, HYUNDAI MOBIS, Grupo Antolin, and among others

Market Segmentation

Market By Equipment

Digital Instrument Cluster
Driving Monitoring System
Head-up Display (HUD)

Market By Display Technology

LCD
TFT-LCD
OLED

Market By Vehicle Type

Passenger Cars
Commercial Vehicles

Market By Geography

North America
•    U.S.
•    Canada

Europe
•    U.K.
•    Germany
•    France
•    Spain
•    Rest of Europe

Asia-Pacific
•    China
•    Japan
•    India
•    Australia
•    South Korea
•    Rest of Asia-Pacific

Latin America
•    Brazil 
•    Mexico
•    Rest of Latin America

Middle East & Africa
•    GCC
•    South Africa
•    Rest of Middle East & Africa