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We estimate that the potential market demand of Chinese automotive television terminals is more than 10 million sets, including buses, taxis, private cars and other automotive television. For one-level city, every city bus market potential demand is about 1 million units, private cars, taxis 10 million to 30 million units around. In 2007 there was only 30 million units automotive television in China, but it is expected around the end of 2008 to be 80 million, so the market space is huge. However, we also see that the current automotive television market has not yet rise, so when to 10 million scale depends on the business model and further improvement of the industrial chain.
At present, car information entertainment industry chain has fully started, whether the chip and solution providers, system integrators, or car manufacturers, all regard car information entertainment systems as the focus of future development. For example, the NXP mentioned in the 2008 Chinese market plan that, its future will particularly focus on research and development of Sirius rear seat entertainment system, cooperate with ibiquity to produce onboard multi-standard digital ground radio, carry collaboration with BMWResearch on digital radio, Car TV reception areas and develop the car keys based on NFC, and so on.
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