Traditional suppliers are losing share
The disruption of the car industry might only be in its infancy but it is already affecting semiconductor suppliers. What used to be dominated by the suppliers of body electronics, power and sensors are now joined by suppliers of infotainment and automated driver assistance systems (ADAS). Although the traditional players are losing share, the market is growing at a healthy rate and gives ample growth opportunities for everybody.
It is obvious that the companies that are gaining share are offering other products to the car than the traditional suppliers. Intel has made no secret of its ambitions in the car and has entered the top 10 supplier list as a result of ADAS growth. The same is the case for Nvidia. The growth of Micron and Samsung shows the entry of memory into the car. Both infotainment and ADA systems are memory hungry.