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Automotive infotainment revenue to reach $39.8 billion

Posted: 16 May 2008     Print Version  Bookmark and Share

Keywords:automotive infotainment systems  PND  Ford's SYNC 

The global automotive infotainment system revenue, according to iSuppli Corp., is expected to rise to Rs.159,283.86 crore ($39.8 billion) in 2008.

The year 2008 is expected to bring more revenue for the global automotive infotainment system rising to Rs.159,283.86 crore ($39.8 billion), 7.6 per cent compared to Rs.147,997.92 crore ($36.98 billion) in 2007, according to iSuppli Corp.'s global automotive infotainment system revenue forecast. The automotive market plays catch-up with many carmakers upgrading their infotainment systems seeking to match Ford's SYNC technology, according to Richard Robinson, principal analyst for automotive electronics at iSuppli Corp.

"Automakers also are playing cost-down—and are pressuring their tier-one electronic systems suppliers to come up with innovative solutions that reduce costs and boost feature sets," added Robinson.

On the other hand, manufacturers of the Portable Navigation Devices (PNDs), which brought the largest revenue for the infotainment systems in the year 2007, are having doubts on whether profitability can be maintained despite a drop in Average Selling Prices (ASPs) and a wholesale bailout among investors due to profit warnings and slowing sales. Despite this, the global PND market revenue is expected to generate Rs.34,754.30 crore ($8,684 million) in 2008.

iSuppli also estimates 18 per cent growth in 2007 for automotive infotainment-oriented, application-specific semiconductors, such as application-specific standard products (ASSPs) and PLDs.

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