The Automotive SoC Market is projected to grow to $43.25 billion by 2030, expanding at a CAGR of 8.6%

The Business Research Company

The Business Research Company's Automotive SoC Market Report 2026 – Market Size, Trends, And Global Forecast 2026-2035

LONDON, GREATER LONDON, UNITED KINGDOM, February 6, 2026 /EINPresswire.com/ -- "The automotive system-on-chip (SoC) market has been experiencing strong momentum lately, driven by rapid advancements in vehicle electronics and increasing demands for smarter, more connected cars. As the automotive industry evolves with new technologies, the SoC segment is positioned to play a critical role in enabling enhanced vehicle performance and safety features. Let’s explore the market’s size, key drivers, leading regions, and future outlook.

Current and Projected Size of the Automotive SoC Market
The automotive SoC market has witnessed significant growth in recent years. It is expected to rise from $28.72 billion in 2025 to $31.13 billion in 2026, registering a compound annual growth rate (CAGR) of 8.4%. This expansion during the historical period is mainly due to the increasing integration of automotive electronics, the rising complexity of infotainment systems, early adoption of advanced driver-assistance systems (ADAS), more semiconductor integration, and growing demand for connected vehicles.

Looking ahead, the market is poised for continued robust growth, reaching $43.25 billion by 2030 with an anticipated CAGR of 8.6%. Factors driving this growth in the forecast period include advancements in autonomous driving technologies, the rise of software-defined vehicles, incorporation of edge AI, growing needs for high-performance computing, and extensive vehicle data analytics. Noteworthy trends shaping the market include expanding ADAS processing capabilities, integration of AI accelerators, growth of in-vehicle networking, adoption of centralized vehicle architectures, and increased popularity of connected vehicle platforms.

Download a free sample of the automotive soc market report:
https://www.thebusinessresearchcompany.com/sample.aspx?id=9523&type=smp

Understanding Automotive SoCs and Their Role
Automotive SoCs are sophisticated semiconductor devices designed to execute complex algorithms by utilizing multiple specialized processing units embedded on a single chip. These chips serve as the “brains” of the vehicle, enabling communication both internally and externally, and facilitating the seamless transfer of critical data—whether related to commercial functions or vehicle safety and management.

Rising Electric Vehicle Demand as a Major Growth Factor
One of the key forces propelling the automotive SoC market is the surging demand for electric vehicles (EVs) worldwide. EVs are powered entirely or partially by electric motors instead of traditional combustion engines, requiring advanced SoC technology to enhance their efficiency, interactivity, and safety. The increase in EV sales is therefore directly boosting the need for automotive SoCs. For instance, a report from the International Energy Agency (IEA) in April 2023 highlighted that over 10 million electric cars were sold globally in 2022. Moreover, sales are expected to grow by 35% this year, reaching 14 million units. This rapid expansion has raised the EV share of the total car market from roughly 14% in 2022 to an anticipated 18% in 2023. The IEA also projects that battery manufacturing capacities will be sufficient to meet EV demands through 2030 according to its Net Zero Emissions by 2050 Scenario. This sustained growth in EV adoption strongly supports the expanding automotive SoC market.

View the full automotive soc market report:
https://www.thebusinessresearchcompany.com/report/automotive-soc-global-market-report

Additional Drivers Supporting Market Growth
Apart from electric vehicle adoption, other key drivers include the increasing complexity of vehicle electronics, demand for enhanced vehicle connectivity, and the integration of AI-powered features. These factors collectively push automotive manufacturers to rely more on advanced SoC solutions, which offer improved computing power and efficiency required to support modern vehicle functions.

Dominant Geographic Region in the Automotive SoC Market
In terms of regional presence, Asia-Pacific stood out as the largest market for automotive SoCs in 2025. The report analyzes various regions, including Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa, providing a global perspective on market dynamics. The prominence of Asia-Pacific reflects the region’s strong automotive manufacturing base, increasing EV adoption, and supportive government policies fostering innovation in automotive electronics.

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