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IPod Interfaces for Autos to Reach 73 Million Worldwide by 2011

MINNEAPOLIS – The proliferation of automotive interfaces for portable music players is creating a new competitive landscape driven by music listening and device preferences. From iPod to MP3/WMA solutions, there are hundreds of aftermarket suppliers to meet the growing demand for device integration.

“The rapid ramp up of available solutions from automotive OEMs is a stark contrast to the normal five-year product development cycle in the automotive industry,” says Phil Magney, founder and principal analyst for Telematics Research Group (TRG). “The variety of solutions reflects the swiftly changing landscape of the mobile audio market where branded audio solutions, surround sound and mobile device integration are driving market growth.” According to TRG data, 39 models from major auto brands currently sell vehicles into the U.S. market with iPod adapters or auxiliary-input jacks.

According to TRG Forecasts, demand is such that by 2011, 28 million cars in the U.S. and 73 million cars worldwide will be equipped with iPod integration solutions of one kind or another. Automotive auxiliary inputs will expand to about 60 million cars in the U.S. and 150 million globally by 2011. Meanwhile, other technologies, such as Bluetooth A2DP, will emerge to support audio device integration in the years to come. TRG predicts Bluetooth A2DP audio interfaces will be installed in 8.5 million cars in the U.S. and 25 million worldwide by 2011.

Emerging Car Audio Interfaces – OEM and Aftermarket Cumulative Sales (Units in Millions)

USA: Autos in-use with: 2005 2008 2011
iPod Integration 0.5 8.2 28
Aux Input 3 18 60
Bluetooth A2DP 0.8 8.5
Worldwide: Autos in-use with: 2005 2008 2011
iPod Integration 0.9 19 73
Aux Input 6 40 150
Bluetooth A2DP 2 25

Fact: By year-end 2005, cumulative Apple iPod sales will top 34M units, which could reach 60M or more at the end of 2006.

About TRG: TRG (Telematics Research Group, Inc.) tracks, analyzes, and forecasts the market for automotive telematics, including in-vehicle wireless devices, navigation and digital entertainment. TRG continuously surveys the global markets to better understand technology adoption rates in automobiles and in the aftermarket. TRG publishes this information through reports and on-line research tools.

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