Oyster Bay, New York - 16 May 2016
ABI Research, the leader in transformative technology innovation market intelligence, finds Tier 1 suppliers are losing their roles as system innovators and developers in the nascent autonomous vehicle market. This is occurring as more OEMs engage directly with software developers and hardware and semiconductor vendors.
“It is becoming increasingly evident that no single Tier 1 supplier can deliver a complete autonomous driving system,” says James Hodgson, Industry Analyst at ABI Research. “As a result, OEMs are increasingly engaging directly with component vendors, and becoming more aligned with product roadmaps from across the value chain. But Tier 1s will not disappear completely and still hold an important role in functional safety, one which requires a more overarching and holistic view than any component vendor can hold.”
In fact, the growing engagement of OEMs with component suppliers may prove more of a help than a hindrance to Tier 1s. This will be as OEMs increase their awareness of the capacities of the various components that constitute ADAS systems and the level of functionalities that they can feasibly achieve.
Evidence of OEM commitment to autonomous driving is apparent from recent M&A activity. This includes the purchase of HERE maps by Audi, BMW, and Daimler and GM’s purchase of Cruise Automation, showing that, where necessary, OEMs are willing to own parts of the ADAS value chain in order to secure the necessary assets to enable autonomous driving.
The ADAS ecosystem will be further disrupted by the entry of new comers to automotive, as the increasing sophistication of ADAS necessitates greater processing power, attracting vendors such as NVIDIA, Qualcomm and Intel to join the ADAS semiconductor market currently dominated by NXP and Renesas. Such vendors have a clear strategy of entering the vehicle via the infotainment system, before building the relationships and demonstrating the competency required for safety-critical applications in ADAS. However, this approach is not unique to new comers, as Hodgson explains:
“There is a growing trend in which incumbent players reposition or widen their automotive product portfolios to extend beyond infotainment,” concludes Hodgson. “For example, recent hires and product launches by Visteon and Harman, vendors traditionally known for their infotainment offerings, signal an attempt by these companies to improve their growth through entry into ADAS.”
These findings are part of ABI Research’s Automotive Safety and Autonomous Driving Service, which includes research reports, market data, insights, and competitive assessments.
# # #
About ABI Research
For more than 25 years, ABI Research has stood at the forefront of technology market intelligence, partnering with innovative business leaders to implement informed, transformative technology decisions. The company employs a global team of senior analysts to provide comprehensive research and consulting services through deep quantitative forecasts, qualitative analyses and teardown services. An industry pioneer, ABI Research is proactive in its approach, frequently uncovering ground-breaking business cycles ahead of the curve and publishing research 18 to 36 months in advance of other organizations. In all, the company covers more than 60 services, spanning 11 technology sectors. For more information, visit www.abiresearch.com.
About ABI Research
ABI Research provides strategic guidance to visionaries, delivering actionable intelligence on the transformative technologies that are dramatically reshaping industries, economies, and workforces across the world. ABI Research's global team of analysts publish groundbreaking studies often years ahead of other technology advisory firms, empowering our clients to stay ahead of their markets and their competitors.
ABI Research提供开创性的研究和战略指导，帮助客户了解日新月异的技术。 自1990年以来，我们已与全球数百个领先的技术品牌，尖端公司，具有远见的政府机构以及创新的贸易团体建立了合作关系。 我们帮助客户创造真实的业务成果。
For more information about ABI Research's services, contact us at +1.516.624.2500 in the Americas, +44.203.326.0140 in Europe, +65.6592.0290 in Asia-Pacific or visit www.abiresearch.com.
Asia: +65 6950.5670