The automotive IC market share is expected to reach 8.5 percent this year and 9.9 percent by 2026, according to IC Insights. At the heart of this growth are the myriad number of new sensors, analog devices, controllers and optoelectronics being incorporated into most new vehicles. Moreover, the rise of hybrid and all-electric vehicle sales worldwide is adding to this forecast growth.
These factors are expected to result in the automotive market registering the strongest 2021-2026 compound annual growth rate of any of the major end-use segments (13.4 percent). Given its relatively small size, however, the high growth in the automotive IC segment isn’t expected to be enough to significantly lift the growth rate of the total IC industry over the next five years.