July 18, 2024

Autonomous Vehicle Is The Largest Segment Driving The Growth Of Autonomous Car Market

Market Overview:

Autonomous cars or self-driving cars are vehicles capable to navigate without human input through sensors like radar, cameras and other technologies. Autonomous vehicles have potential to reduce road accidents caused by human error and provide mobility to elderly and disabled people.

Market Key Trends:

One of the key trends in autonomous car market is development and testing of autonomous vehicles for shared mobility services. Major OEMs and technology companies are working on self-driving taxis and shuttle services which can reshape the urban transportation ecosystem. Companies like Waymo, Cruise, Uber etc. are aggressively testing autonomous vehicles for shared mobility to capture major share in future mobility services market. As shared mobility reduces individual car ownership, it has potential to lower emissions and congestion in dense urban areas.

Market key trends:
The autonomous car market is witnessing increasing adoption of autonomous driving features like adaptive cruise control, advanced driver-assistance systems, parking assistance, and lane keeping assist systems. There is a growing focus on developing fully autonomous vehicles that can drive themselves without human intervention. Automakers are heavily investing in R&D to reduce costs of sensors, lasers, radars, cameras and other autonomous driving technologies to make self-driving cars more affordable. Furthermore, supportive government policies for testing and developing autonomous vehicles will help this market grow in the coming years.

SWOT Analysis

Strength: Autonomous vehicles offer improved safety as they can avoid human errors which cause majority of road accidents currently. They also provide mobility solutions for elderly and disabled.
Weakness: High R&D costs associated with developing self-driving technologies. Issues related to cyber security and privacy of user data. Public perception regarding loss of control while travelling in autonomous cars.
Opportunity: Growing demand for mobility services is opening up opportunities for autonomous ride hailing and vehicle sharing businesses. Supportive regulations in some countries allows testing of autonomous vehicles without a human driver.
Threats: Traditional automakers face competition from tech companies which have expertise in AI, deep learning and other technologies critical for self-driving. Regulations limiting fully autonomous driving in some jurisdictions poses risks.

Key Takeaways

The Global Autonomous Car Market Demand is expected to witness high growth, exhibiting CAGR of 7.7% over the forecast period, due to increasing investments by automakers as well as tech companies in self-driving technologies.

The autonomous car market size for 2023 is estimated to be US$ 147.63 Bn. North America currently dominates the market due to presence of major automakers and tech firms conducting testing and trials of autonomous vehicles. China is emerging as a high growth market for autonomous cars in the Asia Pacific region supported by testing approvals and plans to deploy self-driving vehicles across major cities.

Key players operating in the autonomous car market are Audi AG, Bayerische Motoren Werke AG, General Motors Company, Nissan Motor Co., Ltd., Tesla Motors, Inc., The Volvo Group, Toyota Motor Corporation, Uber Technologies Inc., Waymo LLC, Kia- Hyundai, Poni.ai. There is increasing collaboration between automakers and tech companies to develop full self-driving capabilities and commercialize autonomous vehicles.

Note:

  1. Source: Coherent Market Insights, Public sources, Desk research
  2. We have leveraged AI tools to mine information and compile it