MUNICH — Demand for semiconductors used in vehicles and related gear will drop 25% from its peak of $20 billion last year, a new research report asserts.

It will take until 2013 for market revenues to rebound past $20 billion, research firm Databeans adds. The market will grow at a CAGR of 8.5% through 2014, reaching $22.5 billion, the firm forecasts.

A drop in demand for autos will be partially offset by higher electronics content in each new vehicle. The average value of electronics content will rise to 14.8% by 2012, up from 13% today, boosted by telematics, infotainment and safety applications, and environmental regulation compliance.

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