High-end car audio market will double by 2016
According to iSuppli, after the decline in 2009, global shipments of high-end automotive audio systems will grow at double-digit rates in 2010, paving the way for the market to double in 2016.
Global shipments of high-end automotive audio are expected to rise to 6.7 million units in 2010, an increase of 12.9% from 5.9 million units in 2009. The previous 2009 fell by 8%. By 2016, shipments will rise to 13.7 million units, about double that of 2010.
Figure 4 shows iSuppli's forecast of global high-end automotive audio system shipments from 2007 to 2016.
The high-end audio defined by iSuppli includes one or more of the following features: a 5.1-channel distributed surround system, at least eight speakers, and a power amplifier above 400W.
High-end audio systems are mainly used in luxury and high-end cars. This is because there are more channels, eight speakers and amplifiers are required, and sometimes the number may be larger. Other factors driving up costs include customization of car interiors to accommodate multiple speakers, and the use of well-known brands such as Bose for such systems.
However, high-end audio began to enter mid-range cars, and even entered entry-level cars. As the overall automotive industry recovered from the recession of 2008-2009, sales of high-end audio were also increasing.
As CD and digital music equipment improve sound quality, there is an increasing demand for high-end systems that can match these sound sources.
Killer audio
For a long time, music has been the killer application of car audio, since AM radio entered the car more than 70 years ago. The only change in this in-car infotainment experience is the increasing diversity of car audio options.
Although the radio will continue to be the most important and common part of the car audio body, the importance of music provided through mobile media will also rise. The mobile media for music has changed from a cassette to a CD, and is now changing to a device compatible with a USB interface.
In the past five years, portable media players (PMP) have also had a huge impact on the car audio body market. In order to adapt to this trend, car manufacturers have added interfaces for iPods and other PMPs. In addition, some audio body suppliers began to provide "mechanical receivers", including radios, USB ports and tuning disks, but there was no CD and cassette deck at all.
North America leads the trend
North America is the largest market for high-end car audio systems. Shipment of OEM high-end audio units in the region is expected to grow to 4.6 million sets in 2016, compared with 3.3 million in 2007.
Shipments in the Asia-Pacific region are expected to grow to more than 4 million units by 2016, and 1.2 million in 2007.
Author Mark Boyadjis is an automotive electronics analyst at iSuppli.
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