August 23, 2011 — The automotive micro electro mechanical system (MEMS) sensor market will rise in 2012, steadying after 2010-2011’s cycles of growth and contraction, according to IHS iSuppli’s Automotive MEMS Market Tracker. Revenues will increase 16% to $2.31 billion, initiating a growth cycle that will hit $2.93 billion in 2015 (9% 5-yr CAGR).
MEMS sensors are integrated into safety, performance, and comfort features of automobiles: air bags, tire-pressure monitoring systems (TPMS), vehicle stabilization control, etc. As vehicle production recovers from the recession, and safety regulations become more encompassing, auto MEMS will experience healthy growth, said Richard Dixon, senior analyst for MEMS and sensors at IHS.
The Japanese earthquake in March 2011 significantly disrupted this year’s sales, both of MEMS and automobiles (2 million vehicles lost). Global automotive MEMS revenue in 2011 will reach $1.99 billion, up 4% from $1.91 billion in 2010. Shipments will be average: rising 9% to 750.7 million units, compared to a 36% increase 2009-2010. "The loss in vehicle production could entail a shortfall in sensor shipments equivalent to some 20 million units this year," Dixon posits.
As vehicle production comes back on-line, and automotive safety mandates on electronic stability control systems (ESC) go into effect (United States, Canada, Australia, Europe and Japan), multiple MEMS sensors will be integrated into each vehicle.
China’s "aggressive" fitment rates must be attained by 2015, which will dramatically increase pressure sensor sales for direct TPMS. The mandate will begin phasing in starting in mid-2012, beginning with a portion of engine sizes larger than 1.6 liters. In July 2015, the mandate will apply to all engine sizes, IHS iSuppli research shows.
Globally, TPMS sensor shipments will grow fivefold, propelling the market to 73% penetration of all vehicles by 2015. Tough price cuts of up to 8% per year will test the pressure sensor makers’ business viability.
Learn more in 2012 Sees Automotive Sensor Market Back to Healthy Growth Pattern at http://www.isuppli.com/MEMS-and-Sensors/Pages/2012-Sees-Automotive-Sensor-Market-Back-to-Healthy-Growth-Pattern.aspx?PRX