Cybersecurity Concerns to Impact Automotive HMI Market

Over the past decade, the automotive industry has experienced remarkable technological advancements, notably in the integration of human machine interface (HMI) systems. These systems have significantly enhanced the interaction experience between drivers, passengers, and vehicle technologies. The global automotive human machine interface (HMI) market is currently valued at US$ 11.3 billion and is projected to reach an impressive US$ 32.1 billion by the end of 2032, growing at a stellar CAGR of 11% over the next decade.

The automotive HMI market becomes vital in the modern design of vehicles, where technology is being integrated to improve user interaction and driving experience. HMIs can be in the form of dashboard displays, touchscreens, voice commands, and gesture recognition systems for intuitive control over vehicle functions. Such interfaces not only bring an element of convenience but also place a sharp focus on driver safety by reducing distraction. As the race to equip vehicles with differentiated features heats up between the automotive manufacturers, the demand for such sophisticated HMIs will remain unabated across the globe.

HMI Interface Types

The automotive HMI market is comprised of multiple interface types. The instrument cluster retains the largest share and is slowly losing its market share as OEMs implement HUD. Voice controls that allow hands-free operation, thus improving safety, are increasingly being embedded as part of infotainment. Central displays showing vital information to the driver are undergoing a change with larger screens and more intuitive interfaces.

Key Companies Profiled in The Report

Clarion Co. Ltd.
Delphi Automotive plc
Magneti Marelli S.P.A.
Valeo SA
DENSO Corporation
Tata Elxsi
EAO AG
Auto-Electronics
Continental Aktiengesellschaft
Visteon Corporation
Nuance Communications Inc.
Others

Potential of the United States for Automotive Human Machine Interface Market

The United States has come out to be a huge market for manufacturers of automotive human machine interface (HMI), with the region having shown a previous adoption of advanced technologies, mainly in autonomous vehicles. Heavy investment in research and development in autonomous mobility proves the country's seriousness about innovation, creating fertile ground for HMI developments. Such interfaces mean a great deal with regard to ascertaining that an autonomous vehicle works efficiently and that it is controllable. This yet again increases the appeal of the United States market for HMI companies working within the automotive sector. Additionally, the presence of major automotive firms, increasing adoption of HMI technologies, growing emphasis on advanced user experiences, and robust digital infrastructure further enhance the opportunities within the country.

Drivers of the Market

Various factors drive the adoption of advanced HMI systems. It can be noted that growing demand for connected cars and autonomous vehicles would drastically increase the rate of consumption of such systems, improving user experience and safety. Research and development investments in HMI technologies and components drive the market growth, especially in developing autonomous vehicles. The rise in demand for enhanced safety features and fleet management applications boosts the adoption rate of HMI systems, pertaining to driver safety and convenience.

Competitive Landscape

The companies in this competitive landscape of the automotive human machine interface are banking more on strategies such as partnerships, mergers, acquisitions, and collaborations to improve their market presence and business capabilities.

A very good example was in June 2022 when Volvo, a Swedish multinational vehicle manufacturer, announced that it would collaborate with the American video game and software developer Epic Games. This is in relation to the further implementation of Epic's 3D creation platform Unreal Engine for the development of next-generation human machine interfaces for Volvo cars.

Similarly, Candera GmbH, a key HMI tools supplier, signed a memorandum of understanding in June 2021 with Varroc Engineering Limited. The MoU was toward integrating Candera's HMI interface technology into Varroc's TFT Instrument Cluster, so as to realize strategic collaborations for product and technological enhancement in the area of automotive HMI.