Bloomberg businessweek: chip giant scrambling to advance auto market

guide language: the latest issue of the American bloomberg businessweek print edition published titled “Chip giant rushed to advance auto market” (Chip Giants dictated to Break Into Cars), according to the commentary with the growing automotive electronic level, the tradition such as Intel, qualcomm and Nvidia Chip giant also scrambling to advance Chip market.

the following for the full article:

2015 hyundai Genesis models integrated with many advanced technology, using the chip to realize many functions such as automatic braking and blind spot detection. In addition, when the chip to detect the owner full in his arms, and will automatically open the trunk; Even when high co2 concentration in the car change of fresh air.

in Genesis installed thousands of processors, but only one of the few from designed for computer and mobile phone chip production enterprises. Intel has contributed several, qualcomm provides only a chipset, Nvidia or no landing one.

the three companies are racing to tap into auto chip market. According to market research firm IHS estimates, the market is expected to grow 6.1% this year, is worth $27.9 billion. According to Bloomberg industry research (Bloomberg Industries) figures released on June 23 this year, the average new car semiconductor costs up to $329. By comparison, the iPhone 5 chip costs less than the sum of $20.

however, as the car manufacturers to provide chip companies, mainly for years before to build strong relationships with a large number of small firms: the top five were renesas electronics, infineon, stmicroelectronics, denso and freescale (24, 0.81, 3.49%). According to bloomberg, industry research, the sum of the enterprise’s market share is about 43%. Intel, qualcomm and Nvidia has not been the big three are among the top 10.

for industry talent, is the key in the field of auto, auto standard is far higher than the safety and reliability of computers and mobile phones. PWC in 2013 to the study of the semiconductor industry, consumer electronics chip failure rate is not more than 10%, and the auto industry of zero failure rate. “We are not going to beta test of products, they must be from the start, can normal use.” Modern American branch vice President of product planning Mike Mr Brian (Mike O ‘Brien) said, “we can’t say,’ oh, this place is a little problem. ‘”

in the automotive industry, integrated circuit temperature range must be achieved – under 40 to 160 degrees Celsius. Due to the life of the car for decades, so the supplier can’t like qualcomm smartphone industry, only a year out generation product. “Auto industry experience Rome was not built in a day.” IHS analyst Luca De eminem brocchi (Luca De Ambroggi) said.

consulting firm accenture (79.74, 0.50, 0.63%) in December last year, according to a study by automotive technology is the content of 39% of the buyers buy a car of the main consideration, by contrast, only 14% of the buyers will first consider the traditional automobile performance parameters. Consumers expect their car to be able to keep the same as the smartphone, tablets, and laptop pace of progress, but need years to address some auxiliary functions such as automatic driving problems. Modern o ‘brien said, when the company USES laser and camera guidance system to help the driver when reversing, the technology cannot distinguish between obstacles and even at steep slope.

Intel, qualcomm and Nvidia’s executives said that they are into car chip market. Nvidia executives, analysts said on a recent earnings call, a car is the fastest growth in its mobile business, will also keep this kind of development trend in the future. The Nvidia’s annual congress in March, a pick up prototypes processor demonstration version of the audi A7 themselves on the stage. “In the end, each car would be a supercomputer.” Nvidia enterprise business senior director Danny Shapiro (Danny Shapiro) said.

as smart phones, qualcomm, said the company has received tens of millions from carmakers wireless modem orders. Qualcomm’s business development, senior vice President of candy, linde Singh (Kanwalinder Singh) predicts that by 2017, there will be up to 60% of the cars with cellular network connection, up from 10% today. The company is also in the development can provide a variety of functions for the automotive chipsets, including cellular network connection. “We are gradually developing the business.” Singh said, “we know that need a lot of effort in the primary stage.”

Intel has BMW, hyundai and infiniti as a customer, also on June 25, and ford motor (17.72, 0.02, 0.11%) has established research cooperation, joint development of new applications for cars. According to market Research firm VDC Research statistics, the Intel 2013 car sales growth of 65%, but the total amount is only $51 million.

Intel vice President of automotive solutions Eliot jobs (Elliot Garbus), said the company plans to develop a variety of functions to track the movement of the car, so that drivers can through a simple gesture regulating air temperature and sound volume. Steve jobs said, with the features of various novel from the luxury car gradually extends to the low price models, chip makers will face greater opportunity. “My goal is to increase the volume,” Steve said, “we need to put it to the entry-level models.” (dinghong)