- The global head-up display market is expected to witness a stellar CAGR.
- The high cost of head-up displays is expected to pose a threat to market growth.
- The APAC region is expected to rise at an outstanding growth rate.
According to a recent report published by Future Market Insights titled, “Head-Up Display Market: Global Industry Analysis (2012-2016) and Opportunity Assessment (2017-2027)”, the global head-up display market is expected to witness substantial growth across the globe with demand from end-use sectors rising at an extensive rate. The advancements in technology and the invention of bleeding edge technologies along with the presence of numerous devices running with Internet connectivity and the adoption of wearable devices are increasing exponentially.
This trend is likely to increase the demand for head-mount and wearable displays worldwide, thus creating market opportunities for manufacturers of head-up displays across various sectors. It has also been projected that the investments by head-up display manufacturers in projection technologies such as LCoS, laser projection techniques, and MEMS will bode well for them in the near future as it will lead to the reduction of the overall size of the HUD systems along with increasing its product life.
As per the analysis in the report, the global head-up display market is expected to witness a stellar CAGR of 20.3% from 2017 to 2027. It is expected to touch $18.4 billion approximately by the end of 2027 from a valuation of around $2.5 billion in 2016.
Extensive Demand from Automotive and Military and Defense Sectors to Present Lucrative Growth Prospects
The demand for advanced cars has increased substantially in developed as well as developing regions with the disposable income of consumers increasing along with the average household income. Consumers are moving forward with the trends and technologies taking shape in the automotive industry based on which it has been anticipated that the integration of augmented reality is going to be relatively high in the near future, thus pushing the sales of head-up displays. Not only is the automotive sector one of the lucrative end users, the military and civil and aviation sectors are also going to emerge as potential sectors for manufacturers to invest in the near future. One of the trends that is going to gain traction in the coming years is the replacement of the existing head-up displays in fighter planes with the newer and advanced versions available in the market. The ones being manufactured at present and the ones being developed for the future are going to be equipped with advanced technologies with enhanced visibility range.
However, the high cost of head-up displays is expected to pose a threat in their adoption across several developing countries. Another factor that might act as a roadblock is that head-up displays are quite distracting and can lead to accidents. Moreover, consumers are also not completely aware about the uses of head-up displays.
Asia Pacific to Top the Chart with High Demand for Head-up Displays
The average household income of consumers in the Asia Pacific region has been constantly increasing over the past couple of years and is expected to maintain the forward trend in the coming years as well. ASEAN countries and India are likely to exhibit a high a demand for advanced and new consumer electronics and cutting edge automotive products including head-up displays. With these factors in consideration, APAC is expected to rise at an outstanding CAGR of 29.6% over the forecast period.
Among other segments, in terms of component, projection unit is expected to emerge as the leading segment by the end of the forecast period. Based on type, the windshield display segment is anticipated to maintain a lead in the market by 2027 end with a high market valuation. In terms of application, the automotive industry is expected to emerge as the leader in the market in the course of the forecast period.
Companies to Gear up with Population Specific Strategies
The manufacturers and suppliers of head-up displays should focus the middle-class population as their target consumers, mostly developing countries. The introduction of economical and feasible products will help in the expanding their consumer base and also cater to the technological needs of the developing regions. The leading companies in the market are BAE Systems, Continental AG, Denso Corporation, Honeywell Aerospace, Panasonic Automotive Systems, and Robert Bosch, among several others.