Autonomous Cars Market Size, Share Global Analysis Report, 2022 – 2030

Industry Insights

[230+ Pages Report]  According to the report published by Facts and Factors, the global autonomous cars market size was worth around USD 25.15 billion in 2021 and is predicted to grow to around USD 197 billion by 2030 with a compound annual growth rate (CAGR) of roughly 25.75% between 2022 and 2030. The report analyzes the global autonomous cars market drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the autonomous cars market.

Market Overview

An autonomous car is a self-driving car that can effectively sense its environment and operate depending on the data collected without the need for human intervention. Autonomous cars do not require human passage to operate their mechanisms at any time. It works just like traditional cars and can visit places that conventional cars visit and can conduct all activities that a trained human driver can do.

The functioning of autonomous cars depends on actuators, sensors, machine learning systems, and complex algorithms. They are equipped with powerful processors to execute the data collected by the software. The cars work by creating and maintaining a map of objects, people, and the surroundings around them based on sensors located at various parts of the vehicle.

Key Insights

• As per the analysis shared by our research analyst, the global autonomous cars market is estimated to grow annually at a CAGR of around 25.75% over the forecast period (2022-2030)
• In terms of revenue, the global autonomous cars market size was valued at around USD 25.15 billion in 2021 and is projected to reach USD 197 billion, by 2030.
• The market is projected to grow at a significant rate due to the several benefits associated with the use of autonomous cars
• Based on vehicle type segmentation, passenger cars was predicted to show maximum market share in the year 2021
• Based on component segmentation, radar sensor was the leading mode in 2021
• On the basis of region, North America was the leading revenue generator in 2021

Growth Drivers

• Potential advantages promised by autonomous cars to drive market demand

The global autonomous cars market is projected to register a high CAGR given the futuristic approach of the vehicle due to several commercial and environmental benefits associated with autonomous cars. Since it can function without the help of a human passenger, it works best for elderly citizens or differently-abled people who may find driving conventional cars problematic or they may need extra assistance. It is expected to help people gain more independence in terms of vehicular dependence.

Apart from the commercial benefits, one major reason why autonomous cars can expect a high demand is the growing inclination among the population toward environment-friendly transportation means. Autonomous cars can potentially assist in the reduction of carbon dioxide (CO2) emissions as a recent study has concluded that smart and concurrent adoption of autonomous vehicles can help in unleashing the true potential of cars. Factors like vehicle electrification, vehicle automation, and drive-sharing can lead to a reduction in traffic congestion, reduce transportation costs, improve livability and walkability, and free parking spots in urban areas. All of this can be achieved at a high rate by 2050.

Restraints

• Managing weather sensitivity to restrict market expansion

The primary concern of players operating in the global market currently stands with improving the weather sensibility of autonomous cars. For instance, the efficiency of the cars may drastically reduce in case the car is driving through weather causing heavy precipitation or through a thick layer of snow. It is difficult for the sensors to detect road dividers since they may disappear under such circumstances. If the road markings are covered by debris, oil, water, or ice, the sensors and cameras may fail to function.

Opportunities

• Growing research and development to open doors for higher growth

There is no doubt that autonomous cars are the key to a sustainable future along with other technological advances. This is the main reason why investors from the public and private domains have consistently increased funding for developing cars that can function with minimum human intervention. The world has already reached a place where self-driving cars have become a reality and as the investments continue to be directed toward viable growth, the global market can expect to benefit from this funding. The research activities are currently being carried out to develop better software systems, highly sensitive radars, and sensors, along with quicker information processing.

Challenges

• Lack of supportive infrastructure to act as a major challenge

One of the key challenges faced by the global autonomous cars market players is the absence of supportive or reinforcing infrastructure required to develop fully automated cars. Factors like harmonized regulations, excellent roads, crash barriers, on-road telematics, a set standard for road renovation and construction, and signage are some of the prerequisites for making autonomous cars a reality. However, many countries lack these features as they struggle with political and economic problems.

Segmentation Analysis

The global autonomous cars market is segmented based on vehicle type, type, component, application, and others

Based on vehicle type, the global market is segmented into passenger cars and commercial vehicles.

• The passenger cars segment is expected to lead with the global market growth by the end of the forecast period as the general population is changing its preference for environment-friendly vehicles.
• Urban cities are facing major problems in terms of traffic congestion, unavailability of parking spots, high car maintenance prices, and inadequate space in general. The problems are expected to increase further as the migration rate in urban areas is rising at an alarming rate. These factors could encourage more people to opt for cars that act as a helping aid as opposed to becoming a burden.
• In a recent survey by StudyCorgi, around 40% of motorists claimed that they do not drive to shops because of parking issues.

Based on components, the global market is divided into infrared sensors, ultrasonic sensors, Lidar, radar sensors, and camera units.

• Every sensor plays a significant role in making autonomous cars safe and drivable. For instance, radar sensors are required to monitor the position of nearby vehicles, and video cameras are essential for detecting other vehicles, reading road signs, detecting traffic lights, and looking for people walking nearby.
• Lidar or light detection and ranging assists in bouncing off light pulses from the surrounding like road edges and identifying road markings. The current radar systems and Lidar can detect objects ranging at a distance of a few meters and more than 200 meters.

Recent Developments:

• In January 2023, Foxconn, a components manufacturer, and NVIDIA Corporation announced a partnership aimed at the development of a platform for autonomous or self-driving vehicle manufacturers. The platform is expected to help its user lower costs and increase production capacity
• In November 2022, the Indian Institute of Technology-Hyderabad (IITH) developed a new autonomous driving technology in collaboration with Suzuki Motor Corporation (SMC). The new technology aligns with the requirements of Indian traffic scenario and uses an Advanced Driver Assistance System (ADAS)

Report Scope

Regional Analysis

• North America to lead with the highest growth rate

The global autonomous cars market is projected to register the highest growth in North America with the US emerging as the dominant region. The country is known for its tremendous technological growth for many decades. The US has been at the forefront of developing modern-day systems including autonomous or self-driving cars, the prime example is the launch of Tesla with Full Self-Driving Capability where the autosteer feature of the car allows it to self-park, stay in lane, or change lanes automatically.

Although the critics are currently analyzing the efficiency of the feature, it is an improvement from all the previous versions. The regional growth may further be driven by the growing investments in the field. For instance, in May 2022, Hyundai Motor announced that it will be investing USD 5 billion in the US by 2025 that are to be directed toward the development of autonomous robotics and driving. The investment is expected to be a part of the larger plan by Hyundai to encourage mobility electrification.

Competitive Analysis

• Toyota 
• Volvo Car Corporation 
• Nxp Semiconductors 
• Waymo 
• Daimler Ag 
• Audi AG 
• Ford Motor Company 
• Google LLC.

The global autonomous cars market is segmented as follows:

By Vehicle Type Segment Analysis

• Passenger Cars
• Commercial Vehicles

By Type Segment Analysis

• Fully Autonomous
• Semi-Autonomous

By Component Segment Analysis

• Infrared Sensors
• Ultrasonic Sensors
• Lidar
• Radar Sensor
• Camera Unit

By Application Segment Analysis

• Civil
• Construction
• Defense
• Transportation & Logistics

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Nordic Countries
    • Denmark
    • Sweden
    • Norway
  • Benelux Union
    • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America