Global Automotive Multifunction Display Market Research Report: Forecast (2023-2028)

Market Definition

An automotive multifunction display is a device fitted in vehicles to provide an easy display feature to the driver while riding. These devices are made from liquid crystal displays (LCD) & cathode ray tubes (CRT).

Market Insights & Analysis: Global Automotive Multifunction Display Market (2023-28)

The Global Automotive Multifunction Display market is projected to grow at a CAGR of around 5.57% during the forecast period, i.e., 2023-28. The major factor attributing to its growth is the rising adoption of smart vehicles embedded with the latest technology, such as artificial intelligence (AI), the internet of things (IoT), etc.

These advancements have led to automation & advanced monitoring within the automotive domain, which, in turn, requires the installation of a display board for center stack or driver information. Along with it, the emergence of a safety issue for drivers & passengers has also aided in increasing the demand for a multifunction display to provide on-road information to the driver while parking the car in limited space, helping in monitoring the health status of the driver, and taking timely action to prevent any road accident.

Further, the growing concerns over energy efficiency products have also led to the transition of the automotive industry towards the new categories of multifunction displays, which are energy efficient & equipped with all the latest technology for enhanced performance. These reasons have emerged as a key factor resulting in the adoption of multifunction displays, thereby creating a positive market outlook for growth in the coming years.

Market Dynamics

Key Driver: Convenient Driving is a Major Factor Pushing Multifunction Display Adoption

The use of a multifunction display within the automotive sector has resulted in convenient riding for drivers. It enables the driver to get all the information displayed easily through the fingertips, thereby enabling navigation, entertainment, and safety control for the driver. Along with it, the rising concern over road safety & safe driving has also boosted the adoption of multifunction displays, as it allows drivers real-time information & helps prevent accidents. For instance:

• In 2022, BeyonCa, a China-based electric vehicle startup, unveiled to launch of its smart premium EV car. The car is equipped with smart features, including the installation of a multifunction display to help the driver park the car. The system can also monitor & display the driver’s real-time health status & can automatically stop the vehicle to prevent accidents.

Further, with the advancement in technology, there has been growing usage of artificial intelligence (AI) & the internet of things (IoT). These tech advancements enable integration with other smart devices such as air conditioners, refrigerators, mobile phones, CCTV cameras, etc. This, in turn, generates the requirement for installing multifunction displays in cars & other automobiles to enable real-time monitoring of the connected devices. Thus, the advancement in technology has provided more convenience to the driver while riding a vehicle, resulting in the increased adoption of multifunction displays within the automotive sector. Consequently, creating a positive outlook for future growth in the market.  

Possible Restraint: Involvement of High Costs in Software Upgrades

The use of a multifunction display is completely dependent on the technology & its timely update. The changes within the software of the multifunction display incurs a heavy cost, thereby hindering the growth of the Automotive Multifunction Display.

The users or drivers even have the option to use smart mobile devices such as smartphones, voice assistants, etc., to serve the same purposes like display of navigation & directions, integration of devices, voice recognition, etc., without even shifting to multifunction display. Thus, these factors have emerged as a major challenge to the growth of the market.

Growth Opportunity: Growing Safety Concerns to Increase the Demand for Multifunction Display

With rising urbanization & increasing income levels among people, the number of vehicles owned by households has grown considerably. This growth in vehicle ownership has resulted in raising instances of traffic congestion & road accidents, as a result of which road safety has emerged as a major issue within the automobile sector.

Furthermore, multifunction displays are installed to aid drivers in efficiently parking their vehicles when space is limited. Along with it, various smart cars have AI & IoT embedded in them, which are connected to the driver's smart devices, such as a smartwatch, and enable the real-time display of heart rate & oxygen, thus the vehicle is automatically stopped in case of any cardiac arrest to the driver. For instance:

• In 2022, Maruti launched its new model, 'Baleno,' equipped with a free-standing touchscreen to showcase safety-related information on the display board. 

These developments are anticipated to augment the demand for automotive multifunction displays, hence contributing to enhancing the market's revenue growth during the forecast period.

Key Trend: Growing Shift Towards OLED-based Multifunction Display

The transition of the automobile industry towards energy-efficient products such as spark plugs, fuel types, etc., has also resulted in the shift of automotive display manufacturers from liquid crystal display (LCD)-based to the organic light emitting diode (OLED)-based displays, as they are more energy efficient, offer better contrast ratio, are more flexible & adaptable, etc. Owing to these advantages, the adoption of OLED-based technology to manufacture multifunction displays has grown. Consequently, the demand for OLED-based multifunction displays is anticipated to rise due to better performance, thus supporting the growth of the market in the forthcoming period.

Market Segmentation

Based on the Display Technology:

• LCD (Liquid Crystal Display)
• TFT-LCD (Thin Film Transistor- Liquid Crystal Display)
• OLED (Organic Light Emitting Diode)
• LED (Light Emitting Diode)

Out of all, LCD (Liquid Crystal Display)-based multifunction display holds a considerable share due to the luminous images display, better touch performance, and efficiency. However, with constant technological upgradation, OLED (Organic Light Emitting Diode) has also emerged as the latest technological advancement within the multifunction display domain. For instance:

• In 2022, Samsung Inc. announced the supply of OLED-based display panels to BMW for their upcoming sedan model, the production of it is expected to start in 2024.

Since OLED displays offer energy efficiency, end users are expected to switch to OLED-based display systems in the coming years. Thus, OLED-based automotive multifunction display is expected to emerge as the leading display technology in the upcoming period. 

Based on Application:

• Digital Instrument Cluster
• Center Stack
• Head-up Display
• Rear Seat Entertainment

The Digital Instrument Cluster has the largest market share since this area of the display is required in every type of vehicle, like automobiles, SUVs, and others, as these displays give essential information to drivers, such as fuel usage, navigation, etc. With a greater deployment of automobiles internationally in the following years, the digital instrument cluster is projected to continue to lead the industry. As a result, the market would experience an upsurge in development during the forecast period.

Regional Projection

Geographically, the market expands across:

• North America
• South America
• Europe
• The Middle East & Africa

Of all the regions across the globe, North America leads in terms of regions, due to the already existing automotive industry, which includes the production of automobiles, trucks, military vehicles, and several others, producing demand for automotive multifunction displays. Moreover, a similar pattern is expected to continue in the coming years, generating a positive market outlook for growth.

Recent Developments by the Leading Companies

• 2022: Hyundai Mobis, developed adjustable display technology with ultra large curved screen for autonomous vehicle. The company has also applied for the patent for the swivel display arrangement technology & position control.

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