Growing regulations toward deploying driver assistance systems to mitigate road accidents and the surge in the adoption of advanced driver assistance systems (ADAS) in small cars are anticipated to boost the global ADAS market's growth to reach $ 58.7 billion by 2030.
According to the recent report on the global ADAS market, published by Grand View Research, the market is expected to grow at a CAGR of 18.2% from 2022 to 2030.
Key Insights & Findings
The autonomous emergency braking system segment is estimated to expand at a CAGR of 21.0% over the forecast period. The response for ADAS processors is predicted to grow at a considerable rate over the forecast period. The Asia Pacific market is anticipated to witness substantial growth due to several developments across major economies, especially China. The regional market is projected to expand at a CAGR of 19.6% from 2022 to 2030, the research report said.
Market Growth & Trends
According to the Grand View Research, increasing levels of technological innovation and surge in the initiatives undertaken toward self-driving cars and vehicle automation have elevated the demand for driver safety and assistance systems over the past decade. For instance, the European Union has mandated automotive manufacturers to fit ADAS systems, including Autonomous Emergency Braking Systems (AEBS) and Lane Departure Warning Systems (LDWS), in all heavy commercial vehicles that weigh over 7,000 kilograms.
The demand for ADAS technologies such as road sign recognition systems, drowsiness monitoring systems, and night vision systems is expected to increase considerably over the forecast period. In addition, Tyre pressure monitoring systems are also projected to have substantial penetration in the overall market due to their easy aftermarket availability and low prices, the report said.
Adaptive cruise control offers better driver safety and aids in avoiding fatal road accidents. All these factors are expected to propel market growth by 2030.
The sensor segment accounted for the largest market share of more than 30% in 2021. The automotive industry is witnessing an increase in self-driving vehicles on the road. These vehicles demand a blend of a large number of sensors such as Lidar, cameras, ultrasonic sensors, and radar for accomplishing different operations accurately. Thus, the demand for sensors is projected to increase significantly over the forecast period. Among the various sensor types, Lidar sensors are expected to gain high traction by 2030 owing to their crucial function in self-driving cars.
The key players operating in the ADAS market include Aisin Seiki, Autoliv, Continental, Denso, Garmin and Harman International. These players emphasise adopting various strategies, including business expansions, mergers and acquisitions, and product expansions. These strategies assist the companies in expanding their business and product portfolio, the research company noted.
Courtesy: Grand View Research. NB: Photo is representational; courtesy: Continental.