With the increase of income and the improvement of economic level, every family has a car, but traffic accidents are increasing every year, and the demand for embedded head-up display (HUD, also known as head-up display) is also increasing. HUD allows the driver to safely and effectively read important information during driving, including vehicle speed, warning signals, navigation signs and remaining fuel. We estimate that between 2019 and 2025, the global HUD compound growth rate will reach 17%, and the total shipments will reach 15.6 million units.

In 2025, HUD sales in electric vehicles will account for 16% of total HUD sales

Electric vehicles (EVs) have more advanced technology than internal combustion (ICE) vehicles. For customers who purchase electric vehicles, they are also willing to pay extra for advanced features such as HUD. In addition, the adoption rate of other intelligent functions such as “Advanced Driver Assistance System (ADAS)” and “Internet of Vehicles Technology” is much higher than that of traditional cars. We believe that electric vehicles will also promote the market share of HUD products.

It is estimated that by 2025, the market share of electric vehicles based on pure electric vehicles (BEV), plug-in hybrid electric vehicles (PHEV) and hybrid electric vehicles (HEV) will reach 30% of total vehicle sales. And the sales of HUD in electric vehicles will account for 16% of the total sales of HUD. In addition, SUVs and autonomous vehicles are also potential “customers” of HUD. In 2023, once more L4 self-driving cars are launched, the market penetration rate of HUD will further rise.

Until 2025, China will continue to dominate the global HUD market

Compared with low-end cars, mid-range and high-end cars are more likely to use HUD. In China, sales of the latter two cars are steadily increasing. Therefore, during the forecast period, China is likely to dominate the global HUD market. In addition, China will occupy a considerable share of global electric vehicle shipments, which will benefit HUD sales in China.

Moreover, the United States and European countries are also expected to achieve good growth between 2019 and 2025. Among the rest of the world (RoW), Brazil, Canada, Mexico and the UAE will contribute more.