It’s not surprising that online retailing continues to grow rapidly – estimated to reach $3.551 trillion globally by 2019 – given the ease of buying goods without having to endure malls with their limited parking, hordes of shoppers or the inconvenience of transporting bulky purchases home.
The goods do have to be delivered though, and despite media hype about aerial drones, the overwhelming majority will be delivered by truck, van and even passenger car. And accommodating the growth in e-commerce means more of these vehicles will be needed.
As working vehicles, they will lead harsh lives full of frigid and snow-laden winters, summers with triple digit temperatures, an infinity of potholes and the occasional fender-bender. Consequently, automakers engineer these vehicles for durability and reliability and require all components to be sufficiently ruggedized, particularly the electrical components, which we play a significant role in.
For five decades, Fairchild has been at the forefront of semiconductor innovation for automotive applications. We are truly a one-stop shop offering comprehensive lines of automotive-grade IGBTs, MOSFETs, ignition IGBTs, injector drivers, gate drivers and power modules. We are a market leader and our customers include many of world’s largest automakers and their top parts suppliers, positioning us for greater success. However, we’re not the only company to benefit from the growth in online retailing as it represents as major an opportunity for automakers and auto parts suppliers as it does for Fairchild.
Demand for new delivery vehicles will naturally be generated by the biggest players in global e-commerce shipping – UPS, Fedex, DHL, the U.S. Postal Service, TNT Express and DPD – which obviously maintain large vehicle fleets, but they’re not the only players. For example, there are also many other smaller parcel shippers that serve specific regions, such as OnTrac, LaserShip, Eastern Connection and Courier Express in the U.S. The fleets of these shippers are typically comprised of big rigs (also known as ‘lorries’ outside North America) for transporting goods from warehouses to outlying fulfillment centers and smaller trucks and vans for delivery to the home.
Traditional shipping companies are not the only potential vehicle buyers as other companies are adding delivery to the services they offer. Most notably e-retailing juggernaut Amazon.com, which has traditionally relied on UPS, Fedex and various regional shippers, has been quietly testing and expanding its own delivery service. Google has also launched its own delivery service and has expanded the reach of Google Express to include San Francisco, Silicon Valley, New York, Los Angeles, Chicago, Boston and Washington, D.C.
We’re poised to help automakers and their parts suppliers win more than their fair share of the growing market for delivery vehicles. Our automotive-grade semiconductor solutions are proven to operate with the highest levels of reliability in even the most extreme temperature ranges and harshest environments.
You can learn more about how Fairchild plays in transportation at fairchildsemi.com/transportation. You can also download our solutions guide that details automotive-grade products for transportation applications. Visit Fairchild’s page to find more information on automotive solutions.
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