The Marine Electronics Industry is a $182 billion market, with growth rates of 43% in 2021 and 61% from 2018 to 2021. The U.S. is the leading market for marine electronics with a 41% share. China, Germany and France also have prominent positions in the market. However, the share of North America has been on the rise from 17% in 2014 to 24% in 2019. This fast-paced growth is due to the numerous advantages that the U.S. offers in this industry, such as a low cost of land and labor, access to raw materials and an abundance of skilled labor. Moreover, the market for marine electronics is growing much faster than the market for automobiles and other machinery. This is because boats, submarines, hovercrafts and other vessels are becoming increasingly sophisticated. They must communicate with each other and with other assets such as ships, planes and other boats.
The current growth and the rate of change in the market will impact its development in the coming years. The key factors that are likely to impact the market growth in the coming years are:
Shifting preferences toward greener and more environmentally-friendly products
A growing number of marine vessels are using more efficient engines, transmission systems, and lighting systems. As a result, emissions generated by the boats are being reduced. The overall fuel efficiency of the boats is expected to rise by 50% between now and 2026. This means that the market for marine electronics has the potential to grow by 50% between now and 2026.
Improved user experience
The Internet of Things has become more widespread among boats thanks to the growth of smart navigation systems, underwater locators, and other devices. Customers want to be able to connect their boat to the Internet via a cellular connection or Wi-Fi. This can improve the boat’s navigation system, as well as allow for various types of telemedicine. These features can also be integrated into the boat’s equipment to create a seamless user experience.
Rise inazaki technology
A major breakthrough in the field of marine electronics was achieved in 2014 with the development of the hybrid drive by Isuzu. This technology has found many applications in the automotive and industrial sectors, but has found a niche in the marine industry. This drive system can use both internal and external power sources, which saves space and improves engine performance. It also allows the use of alternative fuels.
Better marine safetyrecord
The year 2016 was significant for the marine industry in general, as the largest marine fatality ever recorded took place. A fire broke out on a boat operated by One Ocean Logistics in South Korea, which killed 52 people and injured dozens more. Most notably, the Great East Japan Earthquake caused massive damage to the seaport and Ohinet’s electronics infrastructure. As a result, many marine electronics companies invested heavily in safety and security. They also made efforts to improve the onboarding of new employees, in particular, by providing better training and retraining, as well as by implementing hiring practices based on meritocracia, or equality before the law.
Better ability to integrate advanced electronics
Most boats today have at least some type of navigation system. However, many have no GPS, no depth sounder, and only rudimentary sonar. These boats are vulnerable to navigation problems because they don’t have a GPS. GPS navigation is accurate to a few meters, which is far from accurate in rough seas. Moreover, even with good navigation, many boats go aground while sailing southward around the globe.
Constant drive for innovation
As the market for marine electronics grows, so does the need for innovation. New standards and technologies must be developed to meet the increasing demands from the growing number of users. As a result, the electronics industry is constantly pushing the frontiers, trying to improve its products and solutions. This drive for innovation is essential to the market’s continued success.
Effect of government regulations
As can be seen from the above, the growth of the market is mainly due to three factors: the low cost of land and labor, the access to raw materials, and the abundance of skilled labor. However, there are also factors that will likely impact the market but are currently under-exploited: the growing number of remote employees, the need for better bonding between managers and employees, and the effect of cyber security threats on business operations.
The Marine Electronics Market is a $182 billion industry with $70 billion of annual sales. The market is forecast to grow at a rate of 43% from 2021 to 2021. The market is expected to be dominated by three countries: the U.S., China, and Germany. However, growth is expected to occur in both North America and Europe.