Automotive will be the fastest-growing IC market segment over the 2019-2024 period, according to IC Insights. The research firm expects its market share to grow from 8.7 percent in 9.7 percent in 2024. Consumer ICs, too, will see growth, but the other segments will lose ground.
Favorable long-term conditions in automotive would be a boon for NXP because the corona pandemic has wreaked havoc on its automotive business recently. The automotive unit, which accounts for almost half of the company’s annual revenue, saw a sequential sales decline of 9 percent in Q1 and another 25-30 percent drop is expected for Q2. It is unclear when business will pick up again.