In-Car Entertainment (Infotainment) [ICE] System Market worth $14.4 Billion by 2016

According to the market research report “In-Car Entertainment (Infotainment) [ICE] System Market - Global Forecast & Analysis by OEM & Aftermarket (2011 – 2016) by Products (Audio, Display, GPS, Software Platform, Service, Accessories), by Applications (Entertainment, Location Based Services, Communication).

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In-Vehicle Entertainment & Information systems offer both entertainment and information services. Such a system replaces multiple products and offers enhanced user experience to the customer. Better user experience, better connectivity, more options of entertainment are the major features of In-Vehicle Entertainment (ICE) & Information System market. ICE system market includes products such as audio system including radio, DVD players with the video screen, rear seat entertainment, navigation devices like GPS, software platforms, and its accessories. These services are unavoidable entities, whose significance is increasing day by day. Radio services, internet services, and the navigation services are the major services offered for In-car Entertainment & Information systems. ICE systems can be connected to the external world to offer more options to the customer for entertainment as well as information based services.

Privacy-security and river distraction are hampering the growth of the In-Car Entertainment System Market. In near future, location based products like finding next fuel station, restaurant, etc. are going to get introduced. Besides, all the products are likely to run on a single processor, which will increase the efficiency of the Entertainment (ICE) & Information system.

Entertainment services are being revived by introduction of the products like digital radio and internet radios. These radios work on music on demand feature, where unlimited music can be browsed for better customer experience. Location based services like GPS has been integrated in Entertainment (ICE) & Information services, which has widening the scope for infotainment. Auto-OEM and Entertainment (ICE) & Information suppliers are working on introducing more potions in location based services where customer can search next fuel stations, restaurant, etc. The role of services is increasing as the Entertainment (ICE) & Information is connected to the external world. So the value of digital and internet radio service providers will increase in next few years. Internet and telecom companies are also expected to follow the same trend.

North America and Europe have the largest market share in the In-Car Entertainment market in 2011. APAC region is expected to grow at a relatively high CAGR and car manufacturers and subsequently ICE suppliers are targeting APAC region for manufacturing and selling their products.

Many auto OEM like Mercedes-Benz, BMW, Audi, Ford, Toyota, GM, Kia, etc. are the buyers of In-car Entertainment (ICE) & Information products and hence supplier may have to struggle for better prices. Auto-OEMs have launched the Entertainment (ICE) & Information solutions with luxury cars, to make it differentiation factor. Slowly auto-OEMs may introduce the Entertainment (ICE) & Information solutions in mid-sized cars; this will open a new application area for Entertainment (ICE) & Information system market.

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