Camera Modules have been a hot topic in the automotive industry for several years. Media interest  tailed off, as many advanced driver assistance systems established themselves as a “must” in high-end to mid-range vehicles.

Many of the questions on advanced driver assistance systems have now been answered to some degree, such as: which suppliers are the leaders; which sensors are best suited; which systems are most in demand in different regions; and what legislation has been proposed and passed. The hype on automotive camera modules has faded.

However, lately interest has been reawakened through the focus on connected cars and digital instrument clusters, at both the CES in Las Vegas and the North American Motor Show in Detroit earlier in the month. There seemed to be a clear trend to a digital LCD instrument cluster with inter-active capabilities; to be used when required for other applications in the car, such as navigation and reverse assist. Of course, such advanced instrument clusters are so far limited to high-end cars but Ford Motor Co. announced that, by 2015, 80% of its cars would have such technology.

Late last year, Nissan announced it was going to offer a navigation screen as a stand-alone option for just $400. “This is a stroke of genius by Nissan” says IMS Research analyst Helena Perslow, who has researched this area extensively since 2007. “Once a display is in the car it opens up so many possibilities for the vehicle manufacturer to add additional applications for a marginal cost, which in turn can be offered to the consumers with a good profit margin. This could be the extra push that camera modules might need”. Legislation, especially the one in the USA on rear-ward visibility, due to come into force in 2015, will push the fitment rate for cameras up; however, the technical specification is not yet decided. Judging from previous legislation, the technical specification would not nominate a specific technology. This means that the requirements are to some extent open for interpretation by vehicle manufacturers; they can choose the most suitable.  “Unless NHTSA specify a camera-based solution, some vehicle manufacturers will opt for less costly ultrasonics; but if some type of display is already available in the car, a camera has a much higher marketing value and this should give it a better chance”.

This is in line with the recently published IMS Research report “The World Market for Automotive Camera Modules” which forecasts relatively modest growth in the next two years, with more rapid growth after 2011. IMS Research projects the market to grow at 31.5% a year, averaged over the next six years.