Mine did the same a few years ago, yamaha 200hp HPDI, if you look closely at the bar the motor tilts on you may see a small plastic ring with a screw fitting, on that ring it has a tab, on the motor side is a small potentiometer with a small arm which when the outboard is tilted down will just touch this tab, as the outboard is tilted up it moves the small arm and hence a reading is displayed on the guage, these plastic ring and tab can break or if your not careful and over tilt the outboard up it can just slip off, replacements may be same plastic or metal, easy job to fix but a tad fiddly, if the plastic ring and tab are in place and the small arm is touching and working ok then it might be the potentiometer which needs replacing, you can also test the potentiometer with a multi meter. But first check the ring hasnt broken, it may have fallen off completely. I will look for a picture for you.
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