In-Car Entertainment 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), the total In-Car Infotainment (ICI) Market is expected to reach $14.4 billion by 2016 at a CAGR of 12.1% from 2011 to 2016.

ICE system has redefined the in-car entertainment and information services. It is expected to be equipped with more features. It has opened the new world of connectivity to the entertainment and information based applications. Individual products like radio, DVD player and navigation systems have been integrated and are offered with more effectively.

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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.

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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.

Harman, Pioneer, JVC-Kenwood, Delhi, Alpine, Denso, Continental, Visteon etc are the major Entertainment (ICE) & Information suppliers. Apart from them there are many local players who are supplying either individually products to complete Entertainment (ICE) & Information solutions. Harman is leading the market and supplying to big players.

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