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ST leads car infotainment chip market

Posted: 19 May 2009     Print Version  Bookmark and Share

Keywords:automotive infotainment  car sales  media processor  electronics content 

Defying a flat year for the global automotive infotainment semiconductor market, STMicroelectronics NV managed to achieve double-digit revenue growth last year due in part to the success of its Cartesio product, a combined media processor and GPS base band chip, says iSuppli Corp.

The global automotive infotainment semiconductor market in 2008 generated revenue of Rs.17,210.14 crore ($3.4 billion), up just 0.6 per cent from Rs.16,703.96 crore ($3.3 billion) in 2007.

While the average amount of entertainment and informational electronics content in cars continued to increase in 2008, the infotainment industry suffered from a 6.6 per cent decline in global car sales for the year. The infotainment semiconductor industry's flat growth in 2008 contrasts sharply with its 16.8 per cent expansion in 2007.

STMicroelectronics keeps lead
STMicroelectronics massively outperformed the market in 2008, with its revenue rising by 12.6 per cent to Rs.2,222.13 crore ($439 million), up from Rs.1,974.10 crore ($390 million) in 2007. The company's share of global automotive infotainment semiconductor revenue rose to 13 per cent, up from 12.6 per cent in 2007.

"STMicroelectronics benefited from the strong market acceptance of the Cartesio, with the company notching up several key design wins," said Richard Robinson, principal analyst, automotive electronics, for iSuppli. "Due to the Cartesio, STMicroelectronics achieved massive growth in the multimedia/navigation segment of the infotainment chip market, with its revenue in this area revenue rising to $71 million (Rs.359.39 crore) in 2008, up a stunning 1,320 per cent from $5 million (Rs.25.31 crore) in 2007."

Looking at the major segments of the automotive infotainment semiconductor market, STMicroelectronics in 2008 held the leading position in the audio amplifier and digital/satellite radio tuner/decoder segment and was No.-2 in AM/FM tuner/audio processing and GPS navigation receiver areas.

There were no changes in the order of the Top-5 infotainment semiconductor suppliers, with STMicroelectronics, NXP Semiconductor, Panasonic and Renesas maintaining their No-1 through No.-5 positions.

The combined revenues of the Top-2 suppliers—STMicroelectronics and NXP—accounted for 25 per cent of market revenue in 2008, as both companies supply a broad range of automotive-grade silicon to the infotainment market.

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