by The autonomous car, also known as the driverless or self-driving car, uses numerous technologies such as sensors, cameras, radars and artificial intelligence to operate independently without any human intervention. Autonomous cars are designed with advanced driver assistance systems such as lane keep assist, adaptive cruise control and automatic emergency braking which aid the driver in various driving tasks. These driver assistance technologies embedded in autonomous vehicles provide safety, convenience and comfort to drivers and passengers alike.
The global autonomous car market is estimated to be valued at US$147.63 Billion in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends driving growth in the autonomous car market is the rising demand for semi-autonomous vehicles with advanced driver assistance systems. As autonomous technologies continue to evolve with each passing year, vehicle manufacturers are focused on incorporating more semi-autonomous features in mainstream vehicles to give drivers partial autonomy and aid their driving. For example, features such as adaptive cruise control, lane centering, automatic emergency braking, blind spot monitoring and parking assistance are becoming common in mid-range and luxury vehicles. As consumers become more comfortable with driver assistance systems handling certain driving tasks, their confidence in full self-driving capabilities will continue to rise over time, thereby boosting the future prospects of the autonomous car industry.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as the autonomous car market requires huge R&D investments and testing. However, new tech and automotive companies can enter through acquisitions or partnerships.
Bargaining power of buyers: The bargaining power of buyers is moderate to high as autonomous vehicles are still at a nascent stage and buyers have options to choose traditional vehicles. Safety concerns also impact buyer choices.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as key autonomous driving technologieslike sensors, radars, and hardware come from a few specialized suppliers globally. Suppliers can impact prices.
Threat of new substitutes: The threat of new substitutes is low as autonomous driving is focused on self-driving cars. Public transit is not a close substitute currently.
Competitive rivalry: The competitive rivalry is high among key players like Tesla, GM, Ford, Volkswagen investing heavily in R&D and testing to launch advanced self-driving cars. Partnerships are also prevalent to gain scale and technology.
Key Takeaways
The Global Autonomous Car Market Demand is expected to witness high growth. The global autonomous car market is estimated to be valued at US$147.63 Billion in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030.
Regional analysis comprises the North American and European regions currently dominate the autonomous car market due to presence of key players like GM, Ford, Tesla, Volkswagen. However, the Asia Pacific region is expected to grow at the fastest pace during the forecast period led by China owing to government initiatives and increasing vehicle production.
Key players operating in the autonomous car market are Tesla, GM, Ford, Volkswagen, Toyota, Honda, BMW, Audi, Mercedes Benz. Tesla is a clear leader in the fully autonomous driving space. Meanwhile, automakers like GM, Ford are focusing on commercializing self-driving taxis and trucks in the near future. Partnerships between automakers and tech firms are also shaping the competitive landscape to gain scale and tech capabilities for product development.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
