February 28, 2024
Drive By Wire Market

Autonomous Driving Technology Is Revolutionizing The Automotive Industry

Drive by wire technology allows vehicle functions like steering, throttle, and braking to be controlled electronically rather than through conventional mechanical linkages. This enables fully autonomous driving capabilities and new driver assistance features. Systems like brake-by-wire and steer-by-wire improve safety by eliminating mechanical failures and adding redundancy. Vehicle manufacturers are rapidly adopting this technology to develop self-driving cars with advanced driver assistance systems. Drive-by-wire systems use actuators, sensors, electronic control units and wiring harnesses to replicate the function of existing mechanical systems. This provides more flexibility to automakers in vehicle design while improving fuel economy.

The global drive by wire market is estimated to be valued at US$ 27.65 Billion in 2023 and is expected to exhibit a CAGR of 21% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the major trends in the drive by wire market is the development of 5G technology. 5G networks will support the massive data transfers and near-instant response times required for autonomous vehicles to communicate with each other and roadside infrastructure. This could accelerate the adoption of fully self-driving cars. Automakers are partnering with telecom companies to test 5G-enabled vehicles and develop solutions for vehicle-to-everything (V2X) communication. Additionally, the application of artificial intelligence and machine learning is helping to improve the perception, decision making and control functions of autonomous vehicles. Drive by wire system manufacturers are leveraging AI to enhance the reliability, safety and functionality of their products.

Porter’s Analysis

Threat of new entrants: The drive by wire market requires huge capital investments in R&D which poses a high barrier for new players. Bargaining power of buyers: Individual buyers have low bargaining power due to the specialized nature of drive by wire systems however fleet owners and OEMs enjoy moderate power. Bargaining power of suppliers: Key component suppliers enjoy moderate bargaining power due to the differentiated technological expertise required. Threat of new substitutes: There exists a low threat of substitution as drive by wire systems provide safety, efficiency and environment friendly benefits not replicable. Competitive rivalry: The market comprises major auto component manufacturers competing on the basis of technology, innovation and cost.

Key Takeaways

The Global Drive By Wire Market Demand is expected to witness high growth over the forecast period supported by stringent emission regulations mandating fuel efficiency and electric drive systems.

Regionally, Asia Pacific dominates currently supported by a thriving automotive industry led by China, India and Japan. Europe and North America are also significant markets expected to grow at an appreciable pace.

Key players operating in the drive by wire market are Continental, Robert Bosch GmbH, ZF Friedrichshafen, Nexteer Automotive, Thyssenkrupp, Mobil Elektronik GmbH, Kongsberg, Ficosa, Curtiss-Wright, Orscheln Products, Dana, Federal-Mogul, MacLean Precision and Optimal Automation. Regional analysis comprises Drive by wire technology is witnessing increased adoption in Asia Pacific with China emerging as a major hub for automotive R&D and manufacturing. Countries like India and Japan are also expanding their automotive sectors rapidly driving regional market growth. In Europe, countries like Germany, UK, France, Italy hold a significant share owing to presence of leading automakers and component suppliers. North America represents an appreciable share of the global market supported by automobile production centers in the US and Canada.

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