Automotive Display Market - Growth, Trends, and Forecasts (2023 - 2028)

The Automotive Display Market was valued at USD 11.9 billion in 2021 and is expected to reach USD 17.3 billion by 2027 registering a CAGR of above 6.41% during the forecast period (2022 - 2027).

Recent COVID-19 has disrupted the market growth. With lockdowns and travel restrictions, the demand for vehicle has declined. As a result, the growth of automotive parts of automotive industry has been also decline in past two year . This trend is seen in the all segment related to automotive industry.

Over the long term, market is primarily driven by the technological advancements and innovations in various vehicle display systems such as infotainment, telematics, instrument cluster etc. In developed nations, rising consumer preference toward driving convenience and safety is driving the market's growth.

With an increased need for vehicle safety features, technologies such as augmented reality have turned from a mere concept into reality. Many luxury car brands such as BMW, Jaguar, and Mercedes-Benz have already implemented AR head-up displays in their cars. Augmented reality shows the situation-specific data on windshields than just basic information.

Currently, most of the panels used in display systems are TFT LCD, whereas OLED panels are expected to be adopted more prominently in automobiles in the near coming years. Due to the use of organic materials and thin plastic substrates, OLED panels provide design flexibility, including transparent displays.

With the growing sales of passenger cars, the rising demand for connected vehicles, and a high disposable income, the automotive display market has been witnessing a rapid growth, particularly in Asia-Pacific and European economies. Europe is expected to be another dominant region for the market due to the presence of a large number of luxury car manufacturers such as Mercedes-Benz, Audi, Porsche, BMW, and Jaguar Land Rover.

Automotive Display Market Trends

OLED Display Panel is Expected to Witness Faster Growth Rate

OLED panels are expected to capture a significant share in the market during the forecast period, owing to its high flexibility in design and growing demand from OEMs in their new model launches. For instance, Currently, AMOLED (Active Matrix - OLED) screens are being used mostly for rear seat entertainment in luxury cars.

• In November 2021, Continental AG technology company has earned its first major order for OLED displays (Organic Light Emitting Diodes) in a production vehicle from a global vehicle manufacturer, with a total order value of around €1 billion. The multi-display stretches from the driver's area to the center console and integrates two screens, which are optically bonded behind a curved glass surface. Production of the display solution is scheduled to start in 2023.

However, to reach the automotive-grade specifications, AMOLED material and display cost are expected to be high. This is expected to slightly hinder the market's growth. With the evolvement of intelligent connectivity technology, cars are growing to be mobile smart terminals. In addition to cluster & center console dual displays, HUD, electronic rearview mirror displays, copilot recreation displays, rear seat entertainment displays, and transparent A-pillars have emerged. HOZON U. For instance, launched in 2019, is equipped with a vehicle control display and transparent A-pillars besides dual displays. ENOVATE ME7 unveiled in September 2020 carries 5 high-definition displays including a cluster display, a center console display, a copilot display and dual displays in the rear row.

According to the concept models released by OEMs, curved displays will shine in the automotive display field in future. Luxury brand cars and new energy vehicles are first making use of OLED displays. Previously, only small displays such as transparent A-pillars, and Audi virtual rearview mirror displays applied OLED. For instance,

• In 2020, some production models use OLED on large displays for center consoles and the copilot. Mercedes-Benz S-class launched in August 2020 is provided with a 12.8-inch OLED curved center console display the 2021 Cadillac Escalade will be packed with the industry's first large-size curved OLED cluster display; Nissan's IMQ concept uses a 33.1-inch curved display, Audi-Aicon concept adopts a surrounded display.

Such developments likely to enhance demand in OLED Segment of the market during the forecast period.

Asia-Pacific Expected to Capture Significant Market Share During the Forecast Period

Asia-Pacific expected to see faster growth in the market studied, owing to the increasing adoption of rear seat entertainment displays in taxis as well as display manufacturers have been focusing on the production of OLED technology. For instances,

In India, automobile production has been increased, Passenger car production has been increced from 3,062,280 units in 2020-21 to 3,650,698 units in 2021-22. Other other hand, Commercial Vehicles production has been incresed from 624,939 units in 2020-21 to 805,527 units in 2021-22. Major taxi aggregators like Uber and Ola have been installing rear seat entertainment display panels in their premium and luxury taxi cabs significantly, over past two years, to attract customers attention and their booking preferences.

While automotive display manufacturers like Visionox in China will be providing Zhejiang Hozon New Energy Automobile Co., Ltd. (Hozon) with intelligent cabin display products featuring center information display (CID) systems, dash boards, head-up display instruments, and rear seat entertainment display instruments for autonomous New Energy Vehicles (NEVs). These displays are manufactures based on the advanced organic light-emitting diode (OLED) technology. Therefore, all the above mentioned developments and advancements in the market likely to contribute for holistic development of Asia-pacific region over the forecast period.

Automotive Display Market Competitive Analysis

The automotive display market is moderately consolidated one as presence of some of key major players, like Continental AG, Visteon Corporation, Panasonic Corporation, Denso Corporation, Robert Bosc GmbH, etc., have captured significant shares in the market.

With companies focusing on product innovation and technology advancement, the automotive display business is experiencing a high competition in the global market.

• In January 2022, Visteon Unveils Fourth-Generation SmartCore™ Domain Controller for Enhanced Safety and Connected Mobility.Smart display offers Seamless support of multiple displays along with integrated infotainment, safety and security features, Smart Disply comes with artificial intelligence-based speech recognition and camera-domain integration.
• In March 2020, Continental has announced on Monday the launch of its 3D display without special glasses for the Hyundai Genesis GV80, which is claimed to rely on an interior camera to detect the driver's line of sight.

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