Automotive Operating Systems Market - By OS type (Android, Linux, QNX, Windows Embedded Automotive 7), Auto Systems, Vehicle Type, By ECU Function, Application (Infotainment Systems, Advanced Driver Assistance Systems, Autonomous Driving, Telematics, Powertrain Control) & Forecast 2023 - 2032

Automotive Operating Systems Market Size

Automotive Operating Systems Market size surpassed USD 5 billion in 2022 and is anticipated to grow at 13% CAGR from 2023 to 2032. The growing technological developments & integrations into new-generation vehicles are enabling enterprises across the automotive sector will leverage sophisticated industry growth.

The companies operating in the market to support their proprietary independent operating systems for different vehicle processes. For instance, Wind River offers VxWorks, an operating system used to deploy advanced safety and autonomous systems. Similarly, Green Hills Software offers Integrity, a real-time operating system used for the development of ADAS system software. The lack of a standard regulatory framework and policies affects software developers to meet the regulatory compliance in software platforms. This is further expected to affect industry expansion.

COVID-19 Impact

The COVID-19 pandemic resulted in unprecedented disruptions in global trade & economy as production and consumption significantly decreased globally. The worldwide automobile & semiconductor industry output witnessed steep declines due to factors such as demand losses, disrupted supply chains, and shifting consumer focus toward essentials & healthcare products. These factors hampered automotive operating systems market growth during the first half of 2020. According to the UN Department of Economic and Social Affairs (DESA), the global economy was expected to lose over USD 8.5 trillion in output in 2021 and 2022 due to the COVID-19 pandemic.
 

Automotive Operating Systems Market Trends

Investments in the auto tech industry have been booming over the past couple of years. The self-driving vehicle industry is predictable to make huge profits and provide significant returns on investment for the development of autonomous cars; hence, large corporations and VC investors are eager to invest their money in securing a share of future profits. Multiple automotive OEMs are planning to revamp their production facilities and increase investments in autonomous technologies to strengthen their market position.

Also, the increasing government support for automotive OEMs to overcome sales disruptions attributed to the COVID-19 pandemic will further boost market opportunities. In May 2023, Larsen & Toubro Ltd.'s engineering services division increased its investment in self-driving and electric vehicle technologies with a focus on leveraging India's expertise as a hub for global manufacturers looking to expand in this area. Such initiatives are anticipated to support automotive operating systems market development by 2023.

Automotive Operating Systems Market Analysis

The QNX segment held industry share of 34% in 2022 and is expected to grow at a lucrative pace by 2032. The ability of QNX to provide real-time performance, which is essential for time-sensitive automotive applications, is driving the sector growth. Real-time capabilities ensure that critical functions including brake control, sensor fusion, and communication systems operate with precise timing and responsiveness, thereby enhancing safety and the overall system performance.

In addition, QNX is highly scalable and flexible, allowing automotive manufacturers to deploy the same across a wide range of vehicles & applications. Major players are developing QNX to integrate IoT systems with next-generation vehicles. For example, in May 2023, BlackBerry Limited launched the QNX Software Development Platform (SDP) 8.0 powered by its QNX operating system (OS), which enables automakers to design more powerful multi-core processors for integration with their vehicles. Such initiatives are positively influencing automotive OS market demand.

The Safety & ADAS ECU function type captured industry share of 33% in 2022 and is expected to grow at a lucrative pace by 2032.  Android OS provides a robust platform for machine learning and artificial intelligence integration, propelling the automotive operating system (OS) market growth. Safety & ADAS systems can leverage Android-based solutions to incorporate AI & ML algorithms for tasks, such as object recognition, driver monitoring, and predictions, to enhance safety features. Established technology providers are forming strategic alliances for developing Linux-based operating systems for safety & ADAS systems. Such initiatives will contribute to the market growth of Linux-based OS.

The Asia Pacific Automotive operating systems market held the significant share of 25% in 2022 and is poised to attain 16% gains between 2023 and 2032. The growing demand for advanced functionalities specific to EVs can be attributed to the accelerated adoption of electric vehicles in China. These functionalities include battery management, range optimization, energy consumption monitoring, and regenerative braking systems. The growing espousal of EVs drives the need for automotive operating systems tailored to the unique requirements of electric mobility.

Furthermore, increasing investments in the South Korea automotive industry are projected to expand the automotive operating system market growth in the region. In September 2022, the South Korean government announced its plan to invest USD 65 billion in the automotive industry to manufacture 3.3 million electric vehicles by 2030, thereby expanding market share. This is expected to contribute to automotive OS market growth in South Korea.

Automotive Operating Systems Market Share

Major companies operating in the automotive operating systems industry include:

• AUTOSAR Partnership
• Alphabet Inc. (Google LLC)
• ArcherMind OS Type (Nanjing) Co. Ltd
• Automotive Grade Linux (AGL)
• Baidu, Inc
• BlackBerry Limited
• Bayerische Motoren Werke AG (BMW)
• Continental AG (Continental)
• Connected Vehicle Systems Alliance (COVESA) (GENIVI Alliance)
• Ford Motor Company
• General Motors Group
• Green Hills Software
• Siemens AG (Mentor Graphics Corporation)
• Mercedes Benz Group AG
• Microsoft Corporation
• MontaVista Software, LLC
• Neusoft Corporation
• Tesla Inc.
• Thunder Software OS Type Co., Ltd.
• Toyota Motor Corporation
• Volkswagen AG
• Wind River Systems, Inc

Automotive Operating Systems Industry News:

• In in March 2022, Suzuki launched Celerio in South Africa. The car is equipped with advanced features including infotainment systems. Automotive operating systems are essential for managing and delivering these infotainment features. The increasing demand for infotainment systems among South African consumers contributes to the automotive operating system market growth.
   
• in March 2022, Stellantis N.V. and LG Energy Solution invested USD 3.7 billion to establish an electric vehicle battery manufacturing plant in Canada. Electric vehicles require sophisticated operating systems to manage various functions such as battery management, power distribution, energy efficiency optimization, and connectivity. These operating systems will enhance the overall performance and user experience of EVs.
   

This automotive operating systems market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) from 2018 to 2032, for the following segments:

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Market, By OS Type

• Android
• Linux
• QNX
• Windows Embedded Automotive 7
• Others

Market, By Auto system Type

• Non-Safety Systems
• Safety-Critical Systems

Market, By ECU Function

• Powertrain
• Body Control & Comfort
• Infotainment
• Safety & ADAS
• Communication

Market, By Vehicle Type

• Passenger
• Commercial

Market, By Application

• Infotainment Systems
• Advanced Driver Assistance Systems
• Autonomous Driving
• Telematics
• Powertrain Control
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Spain
  • Italy
  • Sweden
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
• Latin America
  • Brazil
  • Mexico
  • Argentina
• MEA
  • South Africa
  • Turkey
  • Saudi Arabia
  • UAE