Automotive Smart Key Market Forecast to 2028 – COVID-19 Impact and Global Analysis-The Insight Partner.
Posted by niket gore on July 29th, 2022
Automotive Smart Key Market Forecast to 2028 – COVID-19 Impact and Global Analysis – by Application (Single Function and Multi-function), Technology (Remote Keyless Entry and Passive Keyless Entry), and Geography.
The global automotive smart key market is expected to grow from US$ 8,023.9 million in 2021 to US$ 12,020.4 million by 2028; it is estimated to grow at a CAGR of 5.9% from 2021 to 2028. With rapid technological advancements, the global automotive smart key market is estimated to grow at a significant CAGR during the forecast period. The increasing awareness about the vehicle safety and security among customers is boosting the need for automotive smart keys substantially. In addition, the rising demand for automobiles, electrification of vehicles, and the surge in the number of government policies and regulations pertaining to vehicle safety are anticipated to propel this market in the next few years. The production and sales of passenger and commercial vehicles have surged significantly across the world. This has resulted in high demand for central locking or comfort closing systems to increase the convenience of the driver and the security of the cabin. Further, automotive smart keys can benefits by conferring the added conveniences of opening doors, enabling users to start the engine without taking the key fob out of the pocket, and allowing the storage of vehicle settings data and remote opening of windows.
Get Sample Pdf:- https://www.theinsightpartners.com/sample/TIPRE00007451/
Impact of COVID-19 Pandemic on Automotive Smart Key Market
Growth of economies, and improvements in production and manufacturing infrastructures, especially in developing countries, have bolstered the growth of the automobile market. According to several automotive industry associations and organizations, the automotive sector recorded ~20–25% loss in production and more than 30% loss in sales in 2020. After witnessing a significant drop in 2020 due to the COVID-19 pandemic, the automotive market has been experiencing a gradual recovery in consumer demand for trucks and cars since the last quarter of 2020.
Automotive smart key manufacturers are actively focusing on design innovations, opening new opportunities for the market. Smart keys with two-way vehicle communications and rolling security code with changing patterns are also encouraging the market growth. Automakers are introducing smart key systems that employ radio communications and advanced detection systems to detect the presence of the key fob near or inside the vehicle. The automotive smart keys are waterproof and durable and, thus, exhibit extended performance. Technological advancements have enabled car manufacturers to employ sophisticated equipment for car security and safety at reduced costs. For instance, Mercedes-Benz’s “Smart Key” transmits a unique code to car’s onboard computer system, which is hard to duplicate for the benefit of heightened security.
Lucrative Regions for Automotive Smart Key Market
Increased Global Production of Luxury Cars Drives Automotive Smart Key Market Growth
Shifting preferences of consumers and their increasing disposable incomes have fueled the demand for luxury cars worldwide. The need for a high level of comfort and safety and the new trend of electric vehicles is further bolstering the luxury cars segment. China’s luxury car market currently exhibits the highest growth potential among all the developing countries with a significant presence of carmakers, such as Audi, Mercedes-Benz, and BMW. According to the China Automobile Dealers Association, the China automotive industry reported the sale of approximately 2,77,000 luxury cars in April 2020, an 11.1% increase over April 2019. In September 2017, Continental Aftermarket & Services announced its Keys-as-a-Service Portfolio with the availability of its cloud-based solutions continental smart access (CoSmA) and remote cloud key (RCK) to provide keyless vehicle access and start authorization. This solution enables owners to access vehicles using a smart device, such as a smartphone. Such developments are significantly driving the automotive smart keys market.
Application Segment Insights
Based on application, the global automotive smart key market is segmented into single function and multi-function. The adoption of multi-function smart automotive keys is growing with the rising demands for luxury vehicles with equipped with advanced safety and security features. With access to standard car operations, many market players are offering multi-functional smart keys with creative solutions to modern problems. Smart keys make key sharing simple by digitizing the process and integrating with the customer’s phone. In 2016, Hyundai Motor Co. introduced a band-type wearable multi-function smart key that enables the driver to open car doors and trunk, and start the engine from remote areas. The key also features real-time fitness tracker such as heart rate monitoring during sleep or workout. Similarly, Valeo launched a smart watch system that allows drivers to lock and unlock vehicles by enabling the synchronization of data between the car and the smartphone; the drivers can these data to check tire pressure and fuel levels. The Ford Escape has settings to prevent the vehicle from exceeding a maximum speed if it has been started with a certain key. Technological advancements are further bolstering the growth of the market for multi-functional automotive smart keys.
Automotive Smart Key Market, by Application (% Share)
Technology Segment Insights
Based on technology, the global automotive smart key market is segmented into remote keyless entry and passive keyless entry.
The remote keyless entry (RKE) is an electronic access system commonly used to protect vehicles from theft. Advanced features such as modular design with integrated electronic control unit (ECU), entry protection for the vehicle, separate unlocking of driver door and passenger door, and window lift function to prevent injury at automatic closing are bolstering the growth of the market for the RKE segment. In 2017, Hyundai Mobis developed an integrated smart key system, wherein an app on a smartphone supported by the Near Field Communication (NFC) technology is used as a smart key for the vehicle. Drivers can unlock their vehicle by positioning NFC-supported smartphone that acts as a remote control closer to the door of the vehicle. They can also start it by pressing the start button after setting their smartphone on the wireless charging pad inside their vehicles. The vehicle
owners can also authorize a third party to use an NFC-based smart key, alongside controlling user permissions for the smart key, to prevent unwanted incidents.
The automotive smart key market players focus on new product innovations and developments by using advanced technologies and features. In October 2021, TOKAI RIKA CO., LTD. decided to establish a new cloud business center, Aichi Prefecture, in Nagoya, to expand its cloud-based business activities, particularly those involving digital keys. This new office will be primarily responsible for the development and design of digital key systems and applications.
Automotive Smart Key Market – by Application
Automotive Smart Key Market – by Technology
Automotive Smart Key Market – List of companies:
The Insight Partners is a one stop industry research provider of actionable intelligence. We help our clients in getting solutions to their research requirements through our syndicated and consulting research services. We specialize in industries such as Semiconductor and Electronics, Aerospace and Defense, Automotive and Transportation, Biotechnology, Healthcare IT, Manufacturing and Construction, Medical Device, Technology, Media and Telecommunications, Chemicals and Materials.
If you have any queries about this report or if you would like further information, please contact us:
Contact Person: Sameer Joshi
Like it? Share it!
About the Authorniket gore
Joined: July 6th, 2022
Articles Posted: 214
More by this author