What will be the primary opportunities for technological advancement in key markets and technologies in 2024?
TRANSPORTATION: Gabe Osorio, Director Transportation Marketing, TTI Americas
A continuing trend for the transportation market in 2024 will be miniaturization. As we continue to see further electronification of vehicles, space in a vehicle becomes critical with more and more components and technology on board. Every device and type of connection system on board a vehicle is moving to smaller footprints in tighter spaces to allow for more of them to exist in new designs. Same thing applies to a board design. When you look at new passenger vehicles for 2024, there is more infotainment (screens, heads-up display), more charging (wireless, USB-C ports) and more cameras and sensors than ever before.
Along with miniaturization is data connectivity. With all the sensors and cameras (not including autonomy) there is a whole lot of data that needs to move throughout the vehicle to its electrical and processing centers. Levels 1-3 of autonomy add exponentially to the amount of data that must move throughout a vehicle.
Electronification continues to be a trend as well. In vehicles, displays and gauges that were digital or analog are moving to all new screen displays adding to the miniaturization trend.
Electric vehicles continue to grow in popularity. In 2023, the U.S. we reached 1 million EVs sold for the first time. The trend only continues as we look to the next five years and especially in other markets like last-mile-delivery and class 4-6 work trucks.
CONNECTORS: John Sandy, Supplier Marketing Manager
Miniaturization and higher data rates are going to be key drivers as we move into 2024. All markets and applications are looking for smaller, faster and robust connector solutions, specifically as we see data moving more and more into machines and into the production environment. Couple this with the still-waited-for expansion of electrification infrastructure that has yet to really take-off as expected. 2H 2024 should be a moving point for all of this.
SENSORS: Jon Holder, Supplier Marketing Manager
All key markets stand to make significant technological advances with sensors in the upcoming year. The ability to collect, analyze, adjust and remotely control processes and equipment will continue to revolutionize the way we work and live with technology. From the day-to-day IoT advancement of data collection improving efficiency and reducing latency to the exciting possibilities of advancement through space exploration applications, sensor development and design will be a crucial part of almost every product design.
OPTOELECTRONICS: Roland Chapa, Technical Marketing Manager
There are still strong growth opportunities in the transportation, EV and mil/aero markets in 2024, and we are seeing more roadmaps and NPIs that target automotive exterior lighting for next-gen chips to improve driving and signal lighting designs. Individual chip control for brightness and smaller footprints are the driving forces for new products. We are already seeing higher than expected demand for white light that target headlight designs and amber for fog lights, DRL and signal lights, driving up the lead-time by 50 percent. Recovery is not expected until mid 2024.
As 2024 begins, what are the challenges that this market and technology will face?
TRANSPORTATION: Gabe Osorio, Director Transportation Marketing, TTI Americas
There will be several challenges facing transportation in 2024. First is the continuation of onshoring or localization of supply chains. We continue to see a movement towards localizing manufacturing, assembly and more in transportation. Much of this is to combat recent supply chain issues and on-going geo-political events. But there is another factor driving this: incentives from governments (think $7500 EV passenger car tax credit) including infrastructure spending. Most of these federal dollars come with increased rules on how much or many components and the supply chain must come from the local market (USA, Quebec and EMEA have specific rules). This has challenged suppliers and manufacturers alike with setting up the capacity and capabilities to move manufacturing and production to take advantage of these incentives.
Although the chip market has improved in 2023, it will remain and challenge with shortages remaining in some areas in 2024. Many passenger vehicle OEMs have signed up for exclusive chip agreements with manufacturers a trend that will continue to grow and expand in 2024 as the demand for chips continues its exponential growth.
CONNECTORS: John Sandy, Supplier Marketing Manager
The biggest challenge is a sluggish market which is still over inventoried, albeit significantly less that it was thru 2023. Many new programs have been pushed back as the commercial markets slowed last year, as well as engineering resource being re-allocated to tweak existing designs to use alternative parts as availability issues continued to impact deliveries. Again, I expect this to improve in 2H 2024, and we will start to see NPIs and technology moving forward thereafter.
SENSORS: Jon Holder, Supplier Marketing Manager
As the electrification trend continues to expand, higher current and voltage requirements will continue to push the development of current, temperature and gas sensors. This will increase the need for suppliers to balance new product development with an existing portfolio of products, all while facing price pressure from raw material shortages and prior years’ high demand.
OPTOELECTRONICS: Roland Chapa, Technical Marketing Manager
Some segments are still in an overstocked position. Until this inventory is depleted, new orders will be slow to materialize. With the reduction of lead times, manufacturers are becoming more aggressive on pricing to help keep existing business and win new opportunities where cost reduction is a concern.
With the increasing convergence of technologies, such as IoT and AI, what impact will these trends have on key markets and technologies?
TRANSPORTATION: Gabe Osorio, Director Transportation Marketing, TTI Americas
Passenger, truck, bus and off-highway vehicles are becoming more and more connected each year. 5G has played a major part in this as vehicles connect and interface more and more with their surroundings. IoT will continue to play an expanding role in transportation. As vehicles, trucks and more connect more and more to their surroundings with V2I (vehicle to infrastructure) and V2V (vehicle to vehicle), and communication amplifies, so will the demand for products and components that support this technology. Cars and trucks engage with themselves, other vehicles and even traffic signals. Connected car services continue to expand as well, like infotainment, navigation, remote real-time diagnostics and cars connected to the internet that allow for user controls through apps.
CONNECTORS: John Sandy, Supplier Marketing Manager
Data everywhere has already led to a need for robust and rugged data connectors, and this will continue. This and AI are fueling the need for more and more data centers with faster and faster networks, and there is literally no slowdown in sight! Every market that we touch today is heading this way, driving electronic content up and increasing the need for innovation, miniaturization and ruggedization across all forms and levels of interconnect. The innovators and fast followers will certainly have an advantage here!
Products like Single Pair Ethernet (SPE) are a great example of innovating to give the market what it needs today and will be looking for tomorrow. Expect more of this as we move through 2024 and beyond.
SENSORS: Jon Holder, Supplier Marketing Manager
The convergence of IoT and AI will be critical in the sensor markets as it will be major a factor in OEM product differentiation. The ability to collect data and make informed decisions will enhance to ability to automate and improve efficiency in virtually all markets. From home automation, healthcare, energy, transportation and the factory floor, all markets will be tasked with the ethical balance of data collection and responsible AI development.
OPTOELECTRONICS: Roland Chapa, Technical Marketing Manager
As adoption of IoT and AI increases, new products will come into the market generating a huge demand for electronic components. These include products for higher resolution in object detection, better and more powerful IR to aid in seeing what we can’t see and headlights that will adapt to oncoming vehicles to help reduce glare with no visual degradation to the driver. IoT and AI will be use more to change the lighting based on comfort, driver’s awareness and driving alerts where audio warning is not enough.
Follow TTI, Inc. on LinkedIn for more news and market insights.
Statements of fact and opinions expressed in posts by contributors are the responsibility of the authors alone and do not imply an opinion of the officers or the representatives of TTI, Inc. or the TTI Family of Specialists.
Follow TTI, Inc. - Europe on LinkedIn for more news and market insights.
Statements of fact and opinions expressed in posts by contributors are the responsibility of the authors alone and do not imply an opinion of the officers or the representatives of TTI, Inc. or the TTI Family of Specialists.
