Based on global revenue forecasts, IHS reports that Continental, Visteon and Panasonic will top the list of tier one automotive display suppliers this year. The market is worth almost $10 billion for tier one makers, and IHS expects it to grow to $18.4 billion by 2021.
The rankings combine revenue from production forecasts of centre stack; instrument cluster; and head-up display systems. Centre stack systems account for more than half of the automotive display market in revenue terms, followed by instruments clusters (42%) and HUDs (sub-7%).
Other top 10 suppliers, in order, are expected to be Denso; Nippon Seiki; Bosch; Magneti Marelli; Delphi; Yazaki; and LG Electronics. These companies will account for 70% of overall tier one supplier revenue in the automotive space, or about $6.5 billion. “While this is a large amount of share for so few suppliers, that still leaves 30% of overall display systems revenue to other suppliers,” said IHS analyst Brian Rhodes. “As a whole, the automotive display systems market is a fragmented one, and one that will become even more fragmented going forward.”
Delving into individual market segments, IHS says that the centre stack display module market will be led by the top suppliers, with a 71% market share and topped by Panasonic (thanks to its business with GM and Honda). This will be the most fragmented individual automotive display market.
IHS expects even more manufacturers – either existing tier two firms or those not currently involved with the industry – to enter the space. For example, LG is a new entrant thanks to its design win in in the Mercedes Benz E-Class.
After Panasonic, the centre stack category will belong to Visteon; Continental; Fujitsu Ten; Hyundai Mobis; Alpis; Mitsubishi Electronics; LG Electronics; Bosch; and Delphi.
The instrument cluster and HUD markets are less fragmented than the centre stack segment, and share many companies among their top five suppliers.
Instrument clusters are the second most valuable automotive market (worth almost $4 billion to tier one suppliers), and dominated by Continental, Visteon and Denso; together, these companies have a 60% revenue share. Magneti Marelli and Nippon Seiki are in fourth and fifth place, respectively.
The least fragmented – and also smallest – automotive display segment is that for HUDs. The two leaders – Nippon and Continental – have a combined market share in excess of 50%. The top seven makers control more than 98% of HUD tier one revenues. Visteon, Alps Electric and Denso are the other suppliers in the top five.
Rhodes warned that “The user acceptance of head-up display systems is increasing and OEMs are seeing higher take rates. As this area of opportunity continues to expand, new market entrants are inevitable.” He added that new entrants are expected in the centre stack market, as well as “existing suppliers leveraging their display expertise to become increasingly involved in the instrument cluster [segment].”