Boston, MA - 10 January 2008 - The Tata Nano revealed at the New Delhi Auto Expo will play a key part in expanding the Indian automotive electronics market, according to Strategy Analytics. The advent of a significantly lower-cost alternative to the small, basic vehicles which currently dominate the Indian car market will further stimulate demand for automotive sensors and semiconductors.

Tata's proposed initial production volume of 250 thousand units per year for the Nano, and anticipated rapid growth rate in the future, make low-cost vehicles an important growth market for Indian automotive electronics, despite the fact that they typically have very little electronic content right now. Strategy Analytics forecasts that Indian-produced basic vehicles will utilize $1.5 billion of automotive electronics systems in 2012, more than doubling the 2007 demand amount of $730 Million - a compound average annual growth rate of 16 percent. .

"Initial opportunities for automotive electronics vendors lay in the area of engine control systems," noted Global Automotive Practice Service Director, Ian Riches. "Strategy Analytics expects excellent growth in comfort-convenience features such as air conditioning and electric windows, while the Indian economy continues to grow."

"Electronic content in Indian vehicles is expected to rise significantly," added Chris Webber, VP Global Automotive Practice. "In 2004, Indian-produced vehicles contained, on average, less than $1000 of electronics system content. This is expected to reach almost $1500 per car by 2012."