New York, April 23, 2021 (GLOBE NEWSWIRE) – Reportlinker.com Announces the Release of “Automotive Engineering Services Market by Application, Service, Location and Vehicle – Forecast to 2027” – https: // www. reportlinker.com / p05797425 /? utm_source = GNW
Growing concerns about air pollution and global warming have forced governments in several countries to enforce strict emissions policies and regulations for ICE vehicles. The growing adoption of electric vehicles is expected to change the outlook for the automotive engineering services market.
An increase in sales of electric vehicles would accentuate the need to develop new battery technologies, new chassis and exterior designs, and advanced transmission systems for these vehicles. Electric vehicle manufacturers such as Tesla, Nissan and BAIC outsource the design and development of new technologies and solutions to Level 1 engineering companies.
This trend is expected to increase with increasing sales of electric vehicles and will boost the automotive engineering services market during the forecast period.
The introduction of autonomous vehicles is expected to transform travel. ADAS technologies have significantly reduced the complexity of driving with features such as lane monitoring and emergency braking, stability controls.
Autonomous vehicles rely on advanced technologies such as LiDAR, radar, ultrasonic sensors and high-definition cameras to collect data. This data is analyzed by an on-board intelligent autonomous driving system to safely maneuver the vehicle.
Algorithms used in autonomous vehicles increase driving precision. The profits are then shared with all other vehicles equally.
Tesla, Volkswagen, Ford, General Motors and Google plan to launch fully autonomous vehicles in the coming years. These vehicles would require automotive engineering services, including newly designed chassis systems and body controls, new electronic components, advanced vehicle aerodynamics and stability solutions.
Major OEMs and email service providers such as General Motors, Ford, Uber, Lyft and Waymo have started robot taxi trials in the United States. Passengers can flag down an autonomous cabin from a dedicated application.
The United States became the first country to fully deploy robot taxis for public transportation. Companies such as Tesla, Volkswagen, Ford, General Motors and Waymo also plan to launch fully autonomous vehicles in the coming years.
In March 2018, Nissan announced its intention to roll out ProPILOT in 20 models by 2022. The growing attention to autonomous driving systems would force OEMs to incorporate more cruise control functions and advanced safety systems for cars. semi-autonomous vehicles.
It should also generate more opportunities for engineering services companies, especially in the field of autonomous vehicles. However, the negative impact of COVID-19 could delay the development and deployment of autonomous driving systems. For example, Ford has delayed the deployment of autonomous vehicles until 2022, compared to 2021 previously announced.
The passenger car segment is expected to be the largest and fastest segment in the forecast.
According to OICA, production of passenger cars reached around 55 million units in 2020 despite the COVID-19 outbreak. This production volume is expected to be the main driver for the growth of the automotive engineering services market.
The passenger vehicle segment is the most targeted vehicle segment for service providers. The technologies used in these vehicles change frequently due to the high consumer demand for luxurious features and ADAS.
In addition, government emissions regulations change frequently, prompting manufacturers to increase the power ranges of electric vehicles and provide consumers with fuel-efficient, low-maintenance technologies.
Growing urbanization and changing customer needs have influenced global passenger car sales in recent years. The automotive engineering services market has grown significantly in the passenger car segment due to increasing customer demand for connectivity and safety features.
The growing demand for digital connectivity features is supported by extensive 5G connectivity network coverage and the installation of IoT devices in premium sedans and SUVs. In the current scenario, customers want environmentally friendly mobility combined with communication.
This creates an opportunity for OEMs to offer more connectivity features in their future vehicles. Hence, the demand for various automotive engineering services is expected to increase during the forecast period.
For example, in 2020 Altran and 5TONIC collaborated on 5G mobile projects to improve the reliability and performance of advanced driver assistance systems (ADAS) in cars.
Outsourcing is expected to be the fastest localization segment during the forecast period.
Rising consumer demand for advanced vehicle connectivity services would fuel the outsourcing market during the forecast period.
Research and testing of connected cars and cybersecurity are major challenges that are contributing to a high number of software changes and software management services. Thus, the OEMs who will derive the most value from their collaborations with engineering service providers will be those who select their external partners and ensure that projects stay on track.
All of these benefits of outsourcing will have a positive impact on the entire market. In addition, the ongoing developments in the field of EV batteries are aimed at improving the range of electric vehicles, most of the major manufacturers of EV batteries innovating in battery design and chemistry to expand the range of electric vehicles to eliminate the need for regular recharging.
It also promotes the outsourcing of automotive engineering services for battery management.
In-depth interviews were conducted with CEOs, marketing directors, other innovation and technology directors, and executives from various key organizations operating in this market.
• By type of business: level I – 23%, engineering service providers – 32% and OEM – 45%
• By designation: level C – 61%, level D – 23% and others – 16%
• By region: North America – 30%, Europe – 38% and Asia-Pacific – 32%
The automotive engineering services market is dominated by global players such as Capgemini (France), IAV Automotive Engineering (Germany), Tech Mahindra (India), AKKA Technologies (Belgium) and Bertrandt AG (Germany).
The study covers the automotive engineering services market in various segments. It aims to estimate the market size and future growth potential of this market in different segments such as type of service, application, location, vehicle type, and region.
The study also includes an in-depth competitive analysis of key market players, along with their company profiles, key observations related to product and business offerings, recent developments and acquisitions.
Main advantages of purchasing the report:
• The report will help the market leaders / new entrants in this market with information on the closest approximations to revenue figures for the entire Automotive Engineering Services market and its sub-segments.
• This report will help stakeholders understand the competitive landscape and gain more information to better position their businesses and plan appropriate go-to-market strategies.
• The report also helps stakeholders to understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.
Read the full report: https://www.reportlinker.com/p05797425/?utm_source=GNW
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