The automotive semiconductor market is showing continuous growth as the levels of advanced driver assistance systems (ADAS) and electrification increase. Despite a relatively flat light vehicle market, the market for semiconductor chips is expected to increase from $44B in 2021 to $80.7B in 2027 at a compound annual growth rate (CAGR) of 11.1%. This represents a semiconductor chip value of ~$550/car, growing to ~$912 in 2027. It is also an increase in the number of chips per car, from ~820 chips today to ~1100 chips per car in 2027. Major changes are expected in the supply chain related to electrification. For that, vertical integration is becoming popular among OEMs and can work out in multiple ways: full integration down to the component level, system integration and subcontracting build-to-print parts, strategic cooperation/direct investments with key component suppliers, etc. Supply chain management will change as OEMs will need to negotiate directly with chip manufacturers, learn from the consumer industry, and keep “buffer stock”. They must work closer with the chip manufacturers on volume forecasts and long-term orders. Just-in-time manufacturing, pioneered by Toyota in the 1960s, no longer works with chip manufacturers in the current geopolitical climate. This presentation will give an overview of the semiconductor content in cars, and highlight the impact of electrification and ADAS trends on the automotive industry. Finally, the presentation will present how the supply chain, related to semiconductors, is expected to change.