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Advanced driver assistance systems market to reach $67 billion by 2024

The global market for advanced driver assistance systems market is set to reach $67 billion by 2024, according to a report by Global Market Insights.

Park assist systems accounted for 11 percent of the ADAS market share, according to GMI, which also finds that there are “substantial applications for blind spots elimination and accidental threats mitigation”.

These systems have found a significant market in the passenger and commercial vehicles sector because of their efficient detection and warning capabilities. 

Moreover, semi-autonomous parking assist system operations require the deployment and integration of park assist systems for enabling the vehicle safety.

Some of the leading automotive original equipment manufacturers have started providing built-in systems or collaborating with the technology providers to maintain their strong industry foothold.

For instance, in April 2017, Nissan partnered with BMW and Volkswagen to integrate chips and sensors developed by Mobileye.

These are utilized for mapping and autonomous driving and are likely to help the company to strengthen its automotive sales. This will provide a solid growth platform for the proliferation of the overall ADAS market revenue.

Features that include intelligent park assist system, blind spot detection, image sensors and surround view have significantly contributed towards ADAS market growth.

Moreover, driver assistance for complex and repetitive tasks to reduce human errors in complex situations will further expand the market share.

However, the operational complexity of these technologies in conjunction with and the high cost of the systems and user awareness are expected to hamper the overall advanced driver assistance systems market demand.

Light detection and ranging, or LiDAR, sensors acquired over 20 percent of the ADAS market share in 2017, and will see 12.5 percent annual growth over the forecast timeframe, says GMI.

High accuracy, fast processing, minimum human dependence, weather independence, competitive sensor costs are among the key factors driving LiDAR demand. Effective prevention from geometrical distortions including angular landscape will provide a positive outlook for the LiDAR segment in advanced driver assistance systems market size.

Based on the distribution channel, the aftermarket is expected to see the highest annual growth through the forecast period.

This can be credited to the provision of cost-effective automotive components driving the aftermarket industry growth. Easy product availability due to abundant component suppliers operating in the aftermarket will drive the advanced driver assistance systems market growth.

Moreover, higher replacement rates of the electronic sensors and related components will present strong growth potential landscape for the ADAS aftermarket.

The light commercial vehicles sector is expected to see the highest growth in demand for ADAS, says GMI.

The Asia-Pacific ADAS market is expected to witness the highest growth through the forecast period. Initiatives emphasizing on the utilization of artificial intelligence, collaboration for the development of ADAS, improved sensing systems, and faster information processing capabilities are expected to be among the major factor projected to offer strong growth platform.

For instance, in June 2018, Toyota Motor invested $1 billion to gain access to data relating to the driving patterns of the users in South East Asia, which is expected to see “exponential growth” for ADAS in the next few years.

According to GMI, the major companies in the ADAS market are:

  • Continental;
  • Robert Bosch;
  • Autoliv;
  • Magna International;
  • Texas Instruments; and
  • TRW Automotive.

Other notable industry participants include Delphi, NXP Semiconductor, Aisin Seiki, Denso, Harman International, Nvidia, and Hyundai Mobis.