February 29, 2024
Autonomous Car Market

Autonomous Car Market: Growing Demand for Self-Driving Vehicles Drives Market Growth

The global autonomous car market is estimated to be valued at US$75.43 billion in 2021 exhibiting a CAGR of 39.9% during the forecast period of 2022-2030, according to a new report published by Coherent Market Insights.

Market Overview:
The autonomous car market refers to the growing demand for self-driving vehicles. These vehicles are equipped with advanced sensors, artificial intelligence (AI), and machine learning algorithms that aid in navigation and decision-making processes. These autonomous cars offer several advantages, including enhanced safety, reduced traffic congestion, efficient fuel consumption, and improved mobility for elderly and disabled individuals. The need for autonomous cars arises from the increasing focus on road safety, growing concerns about traffic accidents, and the need for efficient transportation systems.

Market Key Trends:
One key trend in the autonomous car market is the integration of advanced driver-assistance systems (ADAS) in vehicles. ADAS technologies such as adaptive cruise control, lane departure warning, and automatic emergency braking assist drivers in navigating and avoiding potential accidents. The integration of ADAS in autonomous cars enhances their functionality and safety. Additionally, the increasing demand for electric autonomous cars and the development of smart infrastructure to support autonomous driving are also driving the market growth.

Porter’s Analysis

Threat of New Entrants: The autonomous car market poses significant barriers to entry due to intensive capital requirements and advanced technological expertise. Thus, the threat of new entrants is relatively low.

Bargaining Power of Buyers: With increasing customer expectations and demand for affordable yet advanced autonomous vehicles, the bargaining power of buyers is substantial. Buyers can effectively compare options and negotiate for favorable prices and features.

Bargaining Power of Suppliers: Autonomous car manufacturers heavily rely on suppliers for advanced technological components such as LiDAR, radar sensors, and GPS systems. As a result, suppliers hold a significant bargaining power, especially those with established reputations and superior quality offerings.

Threat of New Substitutes: The threat of new substitutes in the autonomous car market is currently moderate. However, with the integration of future transportation modes like hyperloops and drones, there is a potential for increased substitution, especially for short-distance and last-mile transportation.

Competitive Rivalry: The autonomous car market is witnessing intense competition among key players who are continuously striving to gain a competitive edge. This rivalry is driven by innovations in artificial intelligence, safety features, energy efficiency, and superior user experience.

Key Takeaways

The global Autonomous Car Market Share is poised for remarkable growth, with a projected CAGR of 39.9% during the forecast period from 2022 to 2030. This growth can be attributed to various factors, including the increasing demand for safe and efficient transportation, government initiatives promoting autonomous technology, and advancements in AI and sensor technologies. The market is expected to reach a valuation of US$ 75.43 Bn by 2021.

In terms of regional analysis, North America is anticipated to dominate the market, mainly driven by the presence of tech giants, rigorous R&D activities, favorable government policies, and high consumer acceptance of autonomous vehicles. Europe is also expected to witness significant growth due to strong automotive manufacturing capabilities and increasing investments in smart mobility solutions.

Key players operating in the autonomous car market include 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, and Poni.ai. These players are at the forefront of innovation, investing heavily in autonomous driving technologies, forming strategic partnerships, and expanding their global footprint. Collaborations with tech companies, as well as aggressive marketing campaigns, are some of the key strategies adopted by these players to gain a competitive advantage.

In conclusion, the autonomous car market is poised for exponential growth, driven by technological advancements and changing consumer preferences. With increasing competition and evolving regulations, key players need to continuously innovate and address the challenges associated with cybersecurity, infrastructure readiness, and public acceptance. As the market expands, it will revolutionize transportation while paving the way for a safer and more sustainable future.

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