May 28, 2024

The Autonomous Car Market Growth is projected to driven by rising demand for sustainable transportation

Autonomous cars use an array of sensors like cameras, radars, and LiDAR to detect their surroundings and navigate independently on roads. Advanced control systems then interpret the sensory information to identify appropriate navigation paths, as well as detect and respond to obstacles or unexpected situations. Some key advantages of autonomous cars include enhanced road safety, reduced traffic and congestion, improved mobility for elderly and disabled people, optimized transportation efficiency, and lesser requirement of vehicle parking spaces.

The global autonomous car market size is estimated to be valued at US$ 170.07 Mn in 2024 and is expected to exhibit a CAGR of 5.0% over the forecast period of 2024 to 2030 owing to the opportunity for sustainable transportation solutions.

Key Takeaways
Key players operating in the autonomous car market are Kitchen Magic, Rev-A-Shelf, Knape & Vogt Manufacturing Company, Enclume Design Products, ShelfGenie Franchise Systems, LLC, Old Dutch International, Anchor Hocking, LLC, Blum Australia Pty Ltd, Inter IKEA Systems B.V., Flywell International Corp, Masterclass Kitchens, and Others..
The autonomous car market is witnessing high demand due to growing need for advanced safety features and the convenience of independent driving and navigation without human effort. Moreover, the demand for self-driving cars is boosted by increasing road traffic accidents caused by human errors of judgment or distraction.
Technological advancements in sensors, radar systems, computer vision, deep learning, and connectivity solutions are improving the reliability and sensing range of autonomous vehicles. Ongoing research and testing are focused on developing advanced algorithms to interpret sensory inputs in complex traffic scenarios and maneuver correspondingly.

Market Trends
Connectivity solutions and V2X communication systems allow autonomous vehicles to share data with other vehicles, road infrastructure, and traffic operators in real-time in order to navigate smoothly through traffic. This leads to optimized road usage and traffic flow control.
Over-the-air software updates ensure that autonomous cars have the latest control logics and mapping data for safer navigation. Frequent updates are key to addressing challenges from changing road conditions and unexpected scenarios.

Market Opportunities
Rising government investments are boosting the development of self-driving technologies and supporting policies for autonomous vehicle testing and commercialization. This will drive large-scale adoption.
The autonomous car market sees opportunities for sustainable mobility solutions as self-driving electric vehicles can optimize energy-efficiency of transportation. Connected fleets of autonomous EVs are expected to emerge as smart solutions for ride-sharing and last-mile delivery services.

Impact of COVID-19 on Autonomous Car Market
The sudden onset of COVID-19 has impacted the growth of the autonomous car market. Travel restrictions and social distancing norms enforced due to the pandemic dealt a major blow to the market as testing and deployment of autonomous vehicles were hampered. Auto companies had to temporarily suspend operations impacting the development of self-driving technologies. Supply chain disruptions also affected the availability of key components such as LiDAR sensors, cameras, and radar sensors required for autonomous driving capabilities. Furthermore, decreased disposable incomes and economic uncertainties reduced consumer spending on luxury features like autonomous driving technology in cars.

However, post pandemic there are opportunities for the autonomous car market to grow. Social distancing trends are expected to drive demand for driverless vehicles that allow contactless mobility. Auto companies are focusing on building testing facilities to accelerate development of autonomous vehicles at controlled environments which were not possible during the pandemic. Government support through initiatives to develop smart road infrastructure and adoption friendly regulations will help faster commercialization of autonomous cars. Technology companies are making significant investments in artificial intelligence and 5G networks crucial for autonomous driving. If supply chain issues are addressed, the market forecast to expand at a faster pace compared to the pre-pandemic estimates. Future strategies need to focus on infrastructure and regulatory framework to realize the safe deployment of autonomous cars.

In terms of value, North America is the largest market for autonomous cars concentrated in the United States. Technological advancements, high consumer spending on luxury features and development friendly government policies are major factors for the regional dominance. However, Asia Pacific is poised to be the fastest growing market, led by China and Japan. Significant government investments to build smart transportation networks and increasing domestic demand for self-driving vehicles are fueling the regional market. Countries like India are also emerging as promising destinations with major tech firms testing autonomous driving technologies.

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