eCompass Market

E-compass Market Outlook (2023 to 2033)

The global eCompass market is valued at US$ 2.6 billion in 2023 and is projected to reach US$ 11.9 billion by the end of 2033.

This huge jump in market valuation is because worldwide sales of electronic compasses are predicted to increase at a high-value CAGR of 16.5% over the next 10 years.

A magnetic field's direction and strength can be determined using an e-compass or eCompass, an electric device. To improve its global positioning capabilities, eCompass technology has been integrated into a majority of mobile devices. It is widely utilised in various applications, including surveying, travel, aerospace & military, and others, for navigational purposes.

Rising demand for consumer electronics such as smartphones, computers, laptops, and smart wearable technologies can be directly linked to the growth of the eCompass market. Consumer electronics are in more demand as a result of factors such as quick urbanization, increasing spending power, economic globalization, and shifting consumer lifestyles.

Demand for eCompass is expanding as more and more high-tech eCompass sensors, namely high grade 1 and grade 2 axis eCompass sensors, are being used in the aviation, defense, marine, and aerospace industries. Significant research and development as well as the ongoing requirement for better equipment improvements can be credited for the quick adoption of eCompass sensors in the aforementioned sectors.

Based on technology, eCompass tech is segmented into hall-effect, fluxgate, and magnetoresistive.

• Sales of hall-effect-based eCompasses are expected to surge at a CAGR of 17.5% from 2023 to 2033. This is primarily due to their cost-effectiveness.

A hall sensor is a sensor that uses the hall-effect to measure the magnetic flux density and outputs a voltage proportional to the magnetic flux density. It is simple to use and is commonly used in contactless switch applications such as laptops and computers.

Report Attributes	Details
Market Size (2023E)	US$ 2.6 Billion
Forecasted Market Value (2033F)	US$ 11.9 Billion
Global Market Growth Rate (2023 to 2033)	16.5% CAGR
China Market Growth Rate (2023 to 2033)	21% CAGR
Japan Market Growth Rate (2023 to 2033)	12% CAGR
Germany Market Growth Rate (2023 to 2033)	13% CAGR
Canada Market Growth Rate (2023 to 2033)	14.5% CAGR
Key Companies Profiled	Aichi Steel Corporation Asahi Kasei Microdevices Corporation Bosch Sensortec GmbH Honeywell International Inc. Invensense Inc. Magnachip Semiconductor Mcube Inc. Memsic Inc. NXP Semiconductors N.V. Oceanserver Technologies Inc. PNI Sensors Corporation ST Microelectronics N.V. Truenorth Technologies Ltd.

Which Dynamics are Expected to Generate Growth Opportunities in the eCompass Market?

“Rapidly Growing Travel & Tourism Sector”

The rapidly developing travel & tourism field is boosting the demand for electronic compasses. The availability of various attractions (also known as points of interest, or POIs), plus the complexity of urban public transportation systems make tour planning a difficult process for anyone travelling to unknown tourist locations.

Several online and mobile tourist city guides already offer individualised tour suggestions. Nevertheless, they only take into account walking tours, which compromises the perception of the proposed tours' overall attractiveness by failing to encourage travellers to take public transportation to reach far essential POIs.

The only commercial or research-based tour planner that helps travellers navigate public transportation is eCompass. To derive near-optimal sequencing of POIs along suggested tours and reduce waiting times at transit stations, eCompass integrates multimodality into its routing logic. This goes well beyond simply providing directional assistance.

By allowing users to specify arbitrary start/end locations rather than selecting from a predetermined list of places, eCompass advances the state of the art. eCompass can also help to plan lunch breaks at economical restaurants that are ideally situated along the suggested tours.

The implementation of the aforementioned distinctive features of eCompass is based on modelling and resolving a challenging optimization problem that takes into consideration a sizable number of variables and restrictions.

“Increasing Use of eCompass Sensors in Vehicles for Navigation Purposes”

Around 2,000 years have passed since the invention of magnetic sensors. Early applications focused on navigation or direction finding. Although numerous new applications have emerged where magnetic sensors are still used as a fundamental form of navigation today.

Demand for greater sensitivity, lower size, and compatibility with electronic systems has propelled advancements in magnetic field sensor technologies. Anisotropic magnetoresistive (AMR) sensors are integrated circuit-based magnetic sensor that is designed for usage in the earth's magnetic field. The emphasis is on applications for AMR magnetic sensors.

The fact that monitoring magnetic fields is typically not the main goal makes employing magnetic sensors distinctive. Typically, a secondary parameter is desired, such as wheel speed, magnetic ink presence, vehicle detection, or heading estimation. eCompass in vehicles aids in direction detection with the help of magnetoresistive e-compass sensors.

A permanent magnet that follows the magnetic field of the earth is included in an electronic compass for vehicles such as cars, together with four hall-effect sensors that detect the orientation of the magnet at positions that correspond to the cardinal compass points.

Nowadays, several navigation systems have been designed to provide drivers with the necessary information, such as the location of their car, the direction they should be going, and their final destination. Such navigation systems usually include an electronic compass as a part of their design.

Which Challenges Should Manufacturers of eCompass Technologies Focus On?

“High Cost of Advanced Technologies in This Space”

Leading companies are developing advanced e-compass sensors, according to need and demand from end-use sectors. The advancements in technologies are increasing the costs. This aspect may hamper sales of eCompass technologies.

Also, accuracy and calibration plays important role in the development of technologies. Thus, errors in technologies may slower sales growth.

Country-wise Analysis

How is Demand for eCompasses Progressing in the United States?

“Emergence of Smart Devices with eCompass Technologies to Aid Travellers”

• According to the World Travel & Tourism Council (WTTC) 2022 report, the United States is considered to be the world’s biggest travel and tourism market.

Navigation plays an important role in finding the desired location, compared to manual navigation systems, electronic navigation systems are more advanced and accurate. Advancements in eCompass technologies are boosting their demand. Smartphones, smart wearable devices, or laptops are built with advanced navigation technologies. They help travellers to reach their destination without any issues.

The travel and tourism market of the United States is expected to increase at a rapid pace, which subsequently is driving demand for smart devices with advanced navigation systems such as eCompass. Thus, sales of eCompass technologies in the United States are expected to expand at a healthy pace during the forecast period.

Which Aspects are Increasing the Sales of eCompass Sensors in Germany?

“High Implementation of eCompass Sensors in Vehicles”

The market for electric vehicles in Germany is expected to progress at a rapid pace during the next 10 years. Long-term market growth for high-performance electric vehicles is anticipated to be fueled by rising environmental consciousness, declining maintenance and operating expenses, and increasing government and environmental agency measures to promote the use of electric vehicles.

• By 2030, 15 million electric vehicles are anticipated to be on German roads.

The German Federal Government aggressively promotes the usage of plug-in electric vehicles. This rapidly developing electric vehicle market is boosting demand for electronic sensor technologies. Demand for eCompass systems in Germany is predicted to evolve at a CAGR of 13% during the forecast period.

• August 2022: In advance of the IAA Transportation 2022, the Commercial Vehicle Solutions (CVS) branch of ZF Friedrichshafen AG (ZF) introduced the most recent eMobility technology. Modern control technologies are combined with a completely electric propulsion system to reimagine the dynamic, nimble, and precise mix that makes BMW M vehicles stand out as high-performance sports cars.

Why are Japan & South Korea Exhibiting High Demand for eCompass Technologies?

“Rapid Technological Advancements in Aerospace & Defense Sectors”

The rapidly advancing aerospace and military sectors in Japan and South Korea are expected to boost the demand for electronic sensor technologies. Sales of eCompasses in Japan are expected to rise at a CAGR of 12% during the next 10 years.

• With a total military budget of US$ 47.6 billion in 2019, Japan ranks tenth globally. For the fiscal year 2020, Japan spent US$ 48.8 billion on defense. The country has also declared its intention to spend over US$ 242.7 billion on defense over the next five years.

Japan is currently playing a crucial part in the development of various aircraft families, such as the B777X, B777, and B787. Also, Japanese businesses are actively involved in providing engineering services for the development and MRO of aviation engines, including the V2500, GE9X, Trent1000, GEnx, PW1100G-JM, etc.

Several engineering test satellites, marine and land observation satellites, telecommunications, broadcasting, global navigation satellites, and weather satellites including the HIMAWARI 8 and 9 have all been developed in part by Japanese companies.

North Korea's nuclear and other weapons of mass destruction pose a growing security danger to South Korea, creating an extremely tense security climate. To implement its defense reform plans and recover operational control (OPCON) of South Korean forces from the United States in times of conflict, the government must acquire the necessary skills.

• Aiming to improve military capabilities needed to respond to the nation's dynamic security environment, Defense Reform 2.0 was unveiled in 2018.
• S. Korea is currently aiming to gain ground in the global space race and has plans to spend KRW 16 trillion (US$ 13.6 billion) during the next ten years to improve its space defense capabilities. This sum comprises KRW 1.6 trillion for the development of military satellite core technology.

Category-wise Analysis

Which Sector Widely Uses eCompass Sensors?

“High Use of eCompass Technologies in Consumer Electronic Devices”

Consumer electronics, aerospace & defense, automotive, marine, and surveying are some of the applications where eCompass is used. Demand for eCompass technologies from the consumer electronics sector is predicted to increase at a rapid pace during the projected period. This can be attributed to the rising popularity of consumer electronics that use e-compass systems.

High-grade e-compass sensors are necessary for the functioning of the aerospace & military, aviation, and marine sectors; consequently, the worldwide e-compass market is increasing due to the rising investment in research and development in these industries.

Competitive Landscape

According to Fact.MR, a market research and competitive intelligence provider, key players in the eCompass market are developing advanced eCompass sensors to earn more profits. Mergers, partnerships, acquisitions, and regional expansion are some of the marketing tactics adopted by leading companies in the eCompass market.

• Bosch improved its knowledge of MEMS (micro-electro-mechanical systems) micro narrators in April 2019 and strengthened its position as a market leader in sensing keys for consumer devices with this achievement.
• Honeywell purchased US Digital Designs, Inc. in December 2021. The improvement and expansion of public safety, communications with first responders, physical processes elimination, and accelerated emergency reaction times were predicted benefits of these integrated services.

Key Segments Covered in eCompass Industry Research

• By Technology :

  • Hall-effect
  • Fluxgate
  • Magnetoresistive

• By Type :

  • 1 & 2 Axis
  • 3 Axis
  • 6 Axis
  • 9 Axis

• By Application :

  • Consumer Electronics
  • Aerospace & Defense
  • Automotive
  • Marine
  • Surveying

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • MEA