Yano Research Institute Forecasts Automotive SoC Market to Reach $38 Billion by 2035 Driven by AI
Japanese research firm Yano Research Institute predicts the global automotive SoC market will grow from $10.8 billion in 2025 to $38 billion in 2035, with a 13.4% CAGR driven by autonomous driving and AI features.
According to the latest survey data released by Japan's Yano Research Institute, the global market for automotive System-on-Chip (SoC) is set for significant expansion. The institute forecasts that the world market size for automotive SoCs will grow from $10.8 billion in 2025 to $38 billion in 2035, representing a compound annual growth rate (CAGR) of 13.4% on a value basis.
This growth is primarily driven by the evolution of Advanced Driver Assistance Systems (ADAS), autonomous driving technologies, and the increasing intelligence of cockpit infotainment systems. As vehicle electrical/electronic architectures migrate from traditional distributed domain control to cross-domain or central computing platforms, both the number of high-performance SoCs per vehicle and their average selling prices are rising. The report indicates that the average unit price of SoCs is expected to increase from $84 in 2025 to $211 in 2035.
Regionally, rapid technological iteration in the Chinese market is influencing global trends, particularly in the adoption of L2+ and higher-level navigation assistance features, which drives demand for high-compute AI chips. Additionally, SoC products capable of hundreds of TOPS are expected to gain broader market acceptance over the next decade.