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MxSoC solutions to trigger demand from Auto industry

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CIOL Bureau
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MUMBAI: In line with the remarkable progress in vehicular electronics, customers around the globe are looking for novel features in their vehicles. This ongoing demand for safety, comfort and entertainment features is likely to be a major driver for mixed signal system on a chip (MxSoC) solutions in the automobile industry. The MxSoC market is bound to grow in tandem with the advancing needs in the automobile industry, thus triggering an increasing demand from the industry. In time, both industries are likely to spur each other, leading to a consistent growth in demand for MxSoC solutions in the automotive industry for the next ten years.

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New analysis from Frost & Sullivan on World Markets for Mixed Signal SoC in Automobiles, reveals that revenues in this industry totaled $1.50 billion in 2005 and projects to reach $3.25 billion in 2012.

With novel vehicular electronics creating tremendous value addition, semiconductor companies are beginning to sharpen their focus on the automobile industry.

The high-volume penetration of MxSoC in passenger cars provides for a whole new range of applications, leading semiconductor companies to develop an extended range of solutions for the automobile industry. There is now a widely shared vision among chip designers, suppliers, as well as original equipment manufacturers (OEMs) and this promises a clear commitment to improvising the use of the technology in the automobile end-user segment.

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"In addition to their integrated functionality and ease of use, additional drivers for the use of MxSoC in vehicles include the heightened demand for safety features as well as the growing popularity of driver infotainment, passenger comfort, as well as automatic controls such as air, temperature, windows and locks," explains Frost & Sullivan Research Analyst Aravind T Seshagiri. "In the next ten years, MxSoC are expected to have a tremendous impact on the automobile market and are posed to be among the best emerging opportunities in the automotive segment."

With respect to market restraints, the high cost of development and the growing complexity of new mechanical systems in vehicles are likely to pose significant challenges for market participants. Also, the practice of manufacturers having fixed contracts with vendors providing products that integrate with their specific parts in vehicles is severely hampering new entrants and/or existing participants wishing to expand their market presence. This makes it difficult for companies to acquire new clients and in overcoming this restraint; MxSoC vendors will have to differentiate their products not only in terms of features but also in terms of pricing.

Besides the above restraints, the other notable market trend that could prove challenging to vendors is the increase in the number of motors to perform intelligent tasks within an automobile. A mid-sized car has as many as 350 to 400 motors performing different intelligent tasks such as power mirrors, power seats, light source, automatic braking and other key functions. Hence, the integrated chip must provide high-quality performance in order to carry out these tasks and interfacing with other car equipments, both electronic as well as mechanical, is crucial to delivering higher power and voltage capabilities at the lowest possible cost.

"Summing up, the markets for MxSoC in the automobile segment present huge opportunities for semiconductor manufacturers to penetrate into several applications," says Seshagiri. "Having said that, Mx SoC vendors will need to continually improvise on existing products and introduce new algorithms to ensure continued demand from customers in the automobile industry."

CIOL Bureau