Strategy Analytics sees indirect TPM capturing 50% market share by ‘13

April 10, 2008
A new indirect tire pressure monitoring system from NIRA Dynamics, slated for installation on Audi vehicles in the U.S., has prompted Strategy Analytics to publish a revised TPMS market forecast.

A new indirect tire pressure monitoring system from NIRA Dynamics, slated for installation on Audi vehicles in the U.S., has prompted Strategy Analytics to publish a revised TPMS market forecast.

Industry analyst Kevin Mak notes that the TPMS market is currently dominated by direct systems that use pressure sensors on each tire. Direct systems have been the only systems able to meet the legislative requirements of the United States TREAD Act, which mandates TPMS installation.

Direct systems are more costly to implement than indirect systems, in which tire pressure is estimated by comparing the rotational speed of the wheel, measured by sensors fitted to an existing anti-lock brake or stability control system.

Mak said Strategy Analytics’ "TPMS Market Update: Indirect Systems Meet TREAD Act Requirements," offers an updated market forecast because NIRA Dynamics claims that its indirect system, which also measures tires’ resonant frequency, matches direct systems’ ability to identify the faulty tire and the deflation in many tires at similar rates, while maintaining the cost advantage of an indirect system.

"If the claims by NIRA Dynamics hold true, then indirect systems are set to compete against, if not completely overhaul, direct systems,” Mak said. “In this scenario, low segment car models will be the vanguard for installation of indirect systems. This will be accentuated by the growing demand for compact cars as fuel prices increase. Thus, with the growing concern for carbon dioxide emissions, Europe will champion indirect systems over direct."

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