Product Code: 66998
The head-up display (HUD) market is expected to register a CAGR of over 23% over the forecast period (2020 - 2025). Growing awareness about passenger and vehicle safety, technological advancements of a head-up display, and increasing demand for luxury and high-end cars are driving the market's growth positively.
- Today vehicle owners are increasingly considering advanced automotive safety functions and technologies while making purchase decisions. Monitoring various in-vehicle displays can be a cause of distraction for the driver, triggering potential dangerous situations on the road. Enabled by active and passive systems, a HUD reduces driver distraction and increases driver safety.
- Additionally, over the last five years, continuous technological enhancements have resulted in the development of portable and interactive HUDs which is driving the market's growth.
- In the near future, AR head-up displays will help to make driving even more comfortable and safe. In August 2019, Jaguar Land Rover announced that it is developing next-generation HUD technology which could beam real-time safety information in front of the driver, and allow passengers to stream 3D movies directly from their seats as part of the shared, autonomous future.
- Furthermore, government regulations in the developed regions of North America and Europe are increasingly favoring automotive innovations and technologies that support vehicle and road safety. In October 2018, the U.S. Department of Transportation (USDOT) announced their latest federal guidance for automated vehicles entitled, "Preparing for the future of transportation: Automated Vehicles 3.0." (AV 3.0). AV 3.0, reinforced the USDOT commitment for supporting safe integration of automation into the broad transportation system.
- The growing automotive production and trends such as connected vehicles, autonomous cars are also expected to fuel the adoption and demand for HUD over the forecast period.
- HUD's are widely used in commercial and military aircraft since it plays a significant role in supporting pilots and reducing collision risk with the terrain. Continuously growing military spending, coupled with the rising adoption of HUDs in civil aircraft are expected to favor the market's growth.
- Moreover, a rise in air passenger traffic is anticipated to result in the expansion of global aircraft fleet size, and consequently, boost the demand for HUDs from the civil aviation sector in the coming years. For instance, According to figures released by the International Civil Aviation Organization (ICAO), a total of 4.3 billion passengers were carried by air transport on scheduled services in 2018. This indicates a 6.1% increase over 2017. The number of departures rose to approximately 38 million globally.
Scope of the Report
The Head-Up Display (HUD) is a Human-Machine-Interface that relays real-time information related to the vehicle, traffic, and associated environment for an assisted driving experience. A typical HUD consists of a projector unit, a combiner, and a video generator. HUD is being adopted widely in the automotive and military and civil aviation industries. In the Aviation industry, the HUD helps the pilot in the critical phases of a flight - takeoff and landing.
Key Market Trends
Growing Adoption of HUD in Automotive Industry Driving the Market's Growth
- Digitalization is a major trend in the automotive industry. The industry has witnessed numerous technological advancements in the digital field from the last couple of decades. The technological enhancement in the form of HUD is one such example.
- A vehicle's HUD keeps drivers focused on the road, safely delivering speed, warning signals, and other vital vehicle and navigation information on the windshield directly in the driver's line of sight.
- The growing need for safety and user comfort is one of the most important factors driving the adoption of HUD in the automotive industry. Moreover, an increasing number of road accidents fuels the need for HUD. For instance, According to the World Health Organization, over 1.35 million people die each year as a result of road traffic crashes globally. Injuries from road traffic accidents are the leading cause of death among people aged between 5 and 29 years.
- The growing automotive industry is expected to contribute to the market's growth positively. For instance, According to the State Of the U.S. Automotive Industry report, 2018, and the American Automotive Policy Council report in August 2018, auto sales in the United States have increased by over 67% since 2009 (from 10.4 million to 17.4 million).
- Luxury brands such as Audi, BMW, Lexus, Land Rover, and Mercedes-Benz, among others are offering a HUD system as a standard or optional add on feature across their premium vehicles.
- However, OEMs have been thinking and making them standard even in economy cars. In the year 2018, a Japanese manufacturer, Toyota, launched Camry with the largest windshield HUD, when compared to many other cars available in the market. The company has also made windshield HUD as a standard for its Prius model.
- Additionally, the implementation of AR has made HUD an important part of Advanced Driver Assistance Systems (ADAS). The OEM's are expected to include more ADAS applications in the vehicles in the next decade.
- BMW also includes entertainment functions into the HUD. It displays radio stations or song list as one scroll through them using a button on the steering wheel. Hence the launch of new car models equipped with HUD is anticipated to boost the market's growth.
Asia-Pacific is Expected to Witness Highest Growth Rate
- Asia-Pacific is expected to witness the highest growth rate owing to the growing demand from emerging economies such as China and India.
- The Central Government of China expects that China's automobile output will reach 30 million units by 2020 and 35 million units by 2025. With the growth in automobile production, the need for HUD is expected to increase, thereby impacting the market's growth positively.
- Additionally, the standardization of autonomous driving and advanced driver assistance systems (ADAS) is accelerating in China. Recently, the Ministry of Industry and Information Technology of the Chinese government issued the key working points of Intelligent Connected Vehicle Standardization for 2018 to promote and facilitate the development of the intelligent connected vehicles industry.
- China has to deal with numerous challenges, such as increasing air traffic, unfavorable weather conditions, and high rates of pollution. The authorities are rolling out several measures, including the compulsory use of HUDs. For instance, the Civil Aviation Administration of China (CAAC) has made it mandatory for all Chinese airlines for adopting HUD.
- India and China are significant contributors to the aviation industry developments in the region owing to increasing per capita GDP and domestic air connectivity. For instance, According to ICAO, Asia-Pacific recorded 42% of domestic traffic share and has grown by 10.4% in 2018. The Chinese aviation market is expected to witness significant growth over the next few years, as its three largest airlines, such as Air China, China Southern, and China Eastern, have ambitious fleet plans that will put their sizes at the top of airlines globally.
- Automotive manufacturers are expanding in the Indian market with advanced features. For instance, Korean company Kia Motors entered India with the launch of an SUV, Seltos. The vehicle boasts several segment-leading features such as air purifier, connected car features through UVO app, HUD, 8-unit Bose sound system, 360° camera, and ventilated seat.
The head-up display market is competitive and fragmented, with the presence of a large number of global and regional players. The vendors are increasingly focusing on product differentiation and innovation.
- June 2019 - Continental AG has developed the first ultra-compact, high-performance HUD in a project initiated by its own development and production service provider, Continental Engineering Services. The HUD is particularly suitable for integration into cockpits with limited installation space, such as in the sports cars
- January 2019 - Panasonice Automotive announced the launch of its latest fully integrated technology platform to transform the consumer experience and provide new flexibility and freedom for automakers. The company launched its latest SPYDR 2.0 at CES 2019, which is the single brain cockpit domain controller solution featuring a Driver Monitoring System (DMS) with Head-Up Display (HUD) Integration.
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Table of Contents
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Market Drivers
- 4.2.1 Technological Advancements of HUD
- 4.2.2 Growing Awareness About Passenger and Vehicle Safety
- 4.2.3 Growing Need for Connected Vehicles
- 4.3 Market Challenges
- 4.3.1 High Cost of Advanced Head-Up Display Systems
- 4.4 Industry Value Chain Analysis
- 4.5 Industry Attractiveness - Porter's Five Force Analysis
- 4.5.1 Threat of New Entrants
- 4.5.2 Bargaining Power of Buyers/Consumers
- 4.5.3 Bargaining Power of Suppliers
- 4.5.4 Threat of Substitute Products
- 4.5.5 Intensity of Competitive Rivalry
5 MARKET SEGMENTATION
- 5.1 By Type
- 5.1.1 Windshield-Based Head-Up Display
- 5.1.2 Combiner-Based Head-Up Display
- 5.1.3 AR-Based Head-Up Display
- 5.2 By Application
- 5.2.1 Automotive
- 5.2.2 Military and Civil Aviation Industry
- 5.2.3 Other Applications
- 5.3 Geography
- 5.3.1 North America
- 5.3.2 Europe
- 5.3.3 Asia Pacific
- 5.3.4 Rest of the World
6 COMPETITIVE LANDSCAPE
- 6.1 Company Profiles
- 6.1.1 Denso Corporation
- 6.1.2 Nippon Seiki Co. Ltd.
- 6.1.3 Panasonic Automotive Systems (Panasonic Corporation)
- 6.1.4 Visteon Corporation
- 6.1.5 Continental AG
- 6.1.6 BAE Systems PLC
- 6.1.7 Thales Group
- 6.1.8 Garmin Ltd.
- 6.1.9 Elbit Systems
- 6.1.10 Pioneer Corporation
- 6.1.11 Saab AB
- 6.1.12 HUDWAY LLC
- 6.1.13 Collins Aerospace (Rockwell Collins Inc.)
7 INVESTMENT ANALYSIS
8 MARKET OPPORTUNITIES AND FUTURE TRENDS