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Multimedia Easing Supplier Pain during Automotive Recovery

$9.4B Global OE Audio and Visual Systems Market in 2010

Boston, MA - June 15, 2010 – As automotive players pull away from a painful 2009, multimedia offers new market opportunities driven by a growing consumer demand to be both entertained and connected while in the vehicle. The Strategy Analytics report, “Global Automotive OE Audio/Visual (A/V) Systems Forecast 2009-2017” predicts $1.3 billion of multimedia new growth in 2010. The market for automotive audio and visual systems will rise from the 2009 low of $8.1 billion to over $14.1 billion by 2017. Strategy Analytics expects strong automotive demand for embedded multimedia features including systems with Bluetooth, 3.5mm aux-in, iPod/iPhone and proprietary connectors, USB, navigation, HDD, and premium and branded audio. Systems without a CD player (‘mech-less’) are also set to emerge. Blu-Ray and digital TV also offer new regional opportunities in the display-based entertainment market.

“Strategy Analytics expects to see solid opportunities for automotive suppliers, despite all the industry conjecture that smartphones and vehicle-device connected solutions are set to make the audio system redundant”, stated Jo Blight, Director, Global Automotive Practice.

“Consumers increasingly want to be entertained, informed, and connected while in the vehicle, but this is bringing major complexity and new competitive forces to the market. Segmentation, good understanding of consumer trends, and strong product planning will be the key to addressing the emerging opportunities,” added Mark Fitzgerald, Associate Director, Global Automotive Practice.


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