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Business Forecasting

4 Future Trends That Can Bring the Semiconductor Industry Back into the Spotlight

The semiconductor industry has been growing exponentially every year and offers a plethora of opportunities. But this year, the semiconductor industry is set to face a host of new challenges that will make it difficult for semiconductor manufacturers to grow at the same rate they have gotten used to over the past couple of years. Challenges pertaining to inventory management and the rising pressure to improve device architectures, reduce costs, and develop STEM skills in the workforce will inhibit the growth of companies to a certain degree. 

The inability of companies to keep up with the ongoing pace of IoT development is another factor that stops semiconductor manufacturing companies from growing in the industry. With the cloud economy becoming mainstream in the IoT era, semiconductor companies are facing the need to continuously innovate and drive connectivity across the IoT value chain. In such an era, they can gain more traction by offering comprehensive solutions beyond semiconductor solutions, which includes hardware design, and software and systems integration for applications and products.

At Infiniti, we understand the impact that innovative technologies and future trends can have on your business. And to help semiconductor manufacturBrochure CTAing companies excel in such a competitive landscape, our team of experts has highlighted the four most important future trends that can bring the semiconductor industry back into the spotlight.

Future Trends in the Semiconductor Industry

Future Trend #1: Artificial Intelligence

The rising demand for AI (artificial intelligence) based applications across various industries will create new growth opportunities for semiconductor manufacturing companies. AI will also bring improvements in the semiconductor market, by speeding up the manufacturing process, boosting the performance of the chip, reducing the cost of production, and increasing output. Furthermore, with the growing market for drone technology, 2019 may see the commercial rollout of AI-powered drones, globally. This is one of the future trends that can help the semiconductor industry boost its growth prospects.

Are changing market dynamics and growing demand keeping your business plans at a standstill? Request a free proposal below and access Request Proposalour full portfolio of market assessment solutions for the semiconductor industry. 

Future Trend #2: Autonomous vehicles

One of the significant future trends in the semiconductor industry is the onset of level-three autonomous vehicles on the road. The rapidly growing automotive market presents a huge opportunity for automotive semiconductors to support battery performance in EVs, enhanced sensors, increased connectivity, and other technologies.

Future Trend #3: Internet of Things (IoT)

The semiconductor industry is driving the growth of technologies like the Internet of Things (IoT). The IoT revolution has not only multiplied the demand for semiconductor chips but also shifted the value capture to software and solutions. To capitalize on this new market opportunity, the semiconductor industry needs to change application engineering, sales, marketing, and product development approaches and re-define monetization and go-to-market strategies. Such future trends can help semiconductor manufacturing companies to boost their profitability, marginally.

Future Trend #4: Digital supply networks

Today, digitalization is modifying supply chains in almost every industry. This modification is a shift from a linear, structured system to an interconnected, open, often cloud-based system that is able to combine information from many different sources. In order to improve the value of digitalization, there is a need for the semiconductor industry to take a look at emerging digital supply network technologies. This is one of the future trends that can help semiconductor manufacturing companies in solving traditional problems stemming from limited information transparency across the manufacturing and supply chain.

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How are Autonomous Vehicles Going to Impact Public Transport?

Autonomous vehicles, a living example of driverless technology, will play a crucial role in shaping the future of public transport. These vehicles are expected to be completely available on the road by the beginning of 2020. Autonomous vehicles, with their arrival, will certainly impact the fundamental functioning of urban transportation systems along with public transport.

Basically, public transport agencies have two major goals:

  • Improve mobility across their respective areas 
  • Provide all their respective constituents with credible access to transportation

 

Over the past couple of years, public transport agencies have focused on these goals by running bus or train transport systems that are sufficiently subsidized by the federal and state government. While the public transport system is dealing with the traditional transportation services, the private sector has come up with new technology-based transportation options like Uber and Lyft that have completely redefined public transport. In the near future, there are many such private companies who are going to introduce autonomous vehicles to deal with on-demand and fixed route services.

Impact of autonomous vehicles on public transport

The rising popularity and use of autonomous vehicles will give rise to several intimidating questions such as:

1. Will autonomous vehicles make public transport systems obsolete?

2. What will happen to other mobility options when this driverless technology is broadly adopted?

3. Should public transport agencies reduce or stop their investments as autonomous vehicles subsume their demand?

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Is Shared Mobility Hurting the Growth of the Automotive Industry?

Today, roads and highways are overcrowded with vehicles. Governments and activists around the world have been doing all they can to ensure efficient mobility solutions to reduce overall traffic flows, environmental pollution, and cost of vehicle ownership, and transportation. Shared mobility solutions look forward to solving such problems with transportation services that are shared among users, such as public transit, bike sharing, car sharing, carpooling, shuttle service, and neighborhood jitneys. Recent studies show that the growth of the shared mobility market is higher than the rate of global vehicle sales. The preference for such a sharing economy can transform the auto industry.

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Will Shared Mobility Slow the Growth of Auto Sales?

Although it looks likely that there will be fewer vehicles on the road due to the growth of the shared mobility market, the automakers can still reap benefits out of it if they can position themselves for the future. Since ride sharing, car sharing, and carpooling drives up the vehicle utilization rate, such vehicles will have to be replaced or serviced more often. Numerous research reports suggest that shared mobility will only partially replace car ownership.

How will the Automotive Industry React?


In a bid to increase their revenue pool, automotive manufacturers will diversify towards on-demand mobility services and data-driven services. Such shared mobility and data-driven services will ensure recurring revenues from services such as car sharing, e-hailing, software upgrades, carpooling apps, and remote services. Considering that the car rental market requires a huge investment to buy fleets, automotive manufacturers could explore rental services along with other shared mobility strategies.

The Future of the Automotive Industry


The automotive industry is highly dependent on autonomous technology that will allow the car to become a platform for passengers and drivers to use their saved time on other personal activities. The use of self-driving cars would allow the service providers to optimally reposition the vehicle, increase coverage with a small fleet, and reduce the fixed-cost base; thereby, decreasing inner-city congestion.

Automakers and their suppliers need to understand the current requirements of the consumer and design mobility solutions that cater to their needs. Although shared mobility would inhibit vehicle sales to some extent, automotive players can position themselves to reap benefits through recurring revenue streams and extended services.

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Innovations Reshaping the Future of Logistics Industry

The outrageous success of e-commerce and global trade has had a remarkable impact on the growth of the logistics industry. With the increasing demands, the logistics industry needs to come up with constant innovations to cater to the ever-growing needs of the market. Additionally, the dynamic nature of business processes, new consumption patterns, and changing consumer behavior are bringing about constant innovations in the logistics industry. Get More Info

Key innovations in logistics

Internet of Things (IoT)


The ability of multiple sensors within the vehicle and other monitoring devices to communicate with each other can provide highly integrated real-time transportation and warehouse management solutions. IoT paves the way for efficient resource planning by giving businesses the ability to monitor the condition of their packages remotely.

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product research

Is Open Innovation the Solution to Overcome Roadblocks in Autonomous Vehicle Technology Development?

Autonomous vehicles are believed to be one of the most disruptive innovationAsk an analysts of this generation. Even though autonomous vehicles may still seem like a futuristic technology, rapid advancements in this field have led to such vehicles being frequently tested by established companies. The future of autonomous vehicle industry is driven by decreasing cost of operation and the increased safety and reliability provided by such vehicles. The technology in autonomous driving has in some way surpassed that of human drivers in terms of safety.

Innovations in Autonomous Vehicle Slowing Down

Autonomous vehicle technology is developing at an unprecedented rate. However, companies are hitting the brick wall in some areas as innovation within the company is slowing down. For instance, carmakers are still struggling to keep up the pace of innovation when it comes to driving safely despite unclear lane markings, ability to respond to signals from safety officers, and capacity to operate safely in all-weather conditions.

Possible Solution Alternatives

To tackle such problems and keep up the pace of innovation, autonomous vehicle manufacturers are looking at open innovation to gather ideas from the outside. Major automakers are also considering acquisition, investment, or partnership with other automakers, infotainment systems, cloud computing providers, human-machine interface systems, and connected vehicle and device services. This enables the companies to gain a deeper knowledge of the problem areas and devise a solution with a diverse range of experts.

Example of Open Innovation

Olli has been exemplary in embracing the open innovation. In order to enhance their machine learning algorithms for autonomous vehicles, Olli has embraced IBM Watson’s technology to learn from transportation data collected with the help of more than 30 embedded sensors. This will allow the machine to learn faster and perform better than human drivers under human supervision.

A large sum of money has been invested in research and development to solve complex problems in autonomous vehicle. By adopting open innovation, both costs and time-to-market could be significantly brought down by gathering expertise from different fields.

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Top-3 Trends that will Drive the Market for Autonomous Vehicles

Autonomous vehicles do still seem remarkably futuristic. Their imminent debut in the mainstream scheme of things will reinvent the concept of driving and personal transportation of people and goods. Many reputed companies are already sitting atop viable prototypes of autonomous vehicles for mass consumption. Ford, Mercedes, Audi, Volkswagen, Toyota, General Motors, Tesla and Google have already reiterated that driverless vehicles are the future.

The arrival of autonomous vehicles represents a perfect opportunity for an integral transformation in urban mobility and could lead to creating more accountable, healthy and greener cities. However, integration of autonomous vehicles (AVs) into an effective public transport network is still a long way away, pending some proactive participation from the local public transport organizations and the associated decision makers.

There has been an enormous deal of interest and enthusiasm among the motoring community over the past few years spurred by a surge of benefits touted by the manufacturers of autonomous automobiles. The following are the key trends that will drive the global market for autonomous vehicles, sooner than later.

1) Real-time route optimization

Autonomous vehicles on a common stretch of the road are connected together with Vehicle-to-Vehicle (V2V) and Vehicle-to-Infrastructure (V2I) mechanisms that enable driverless vehicles to gain real-time information on the condition of the roads as well as exchange protection and mobility information with the surrounding infrastructure and redirect the routes accordingly. Additionally, employing of V2V and V2I to find out optimal routes can aid in reducing the number of miles driven, save time and rein in the fuel consumption.

2) Increased lane capacity

Autonomous vehicles can operate at top speeds while trimming down the space between vehicles, leading to greater lane capacity. The latter can also increase with the embracing of adaptive cruise control. This technology adjusts the vehicle’s speed mechanically to ensure a safe distance between the vehicles on that stretch of the road. These technologies will shoot up the lane capacity and reduce accidents, ensuring greater passenger comfort and safety, thereby building the customers’ confidence in driverless technology.

3) Reduced energy consumption

Autonomous vehicles are less prone to accidents and are actually lighter than the conventional automobiles. Thanks to the lightweight composites used for building the modern vehicle, and the efficient manufacturing procedures, vehicles could become lighter while maintaining their overall size, yet remain impervious to accidents. Lightweight automobiles save on fuel consumption, further aided by such eco-friendly driving technologies and practices as cruise control, deceleration and smooth acceleration.

Driving to Profitability with Infiniti

Infiniti Research will help you understand the forthcoming market scenery that is fast turning into a spirited race to build the first practical and profitable autonomous driving solution. Our expertise in exploring the trends and drawing actionable insights, will help your business establish a firm foothold in the fast-evolving global automotive market.

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