According to a new research report by the market research and strategy consulting firm Global Market Insights, the autonomous car market is set to exceed 60 million units by 2024.
The autonomous car market is driven by increasing investments in technology and the self-driving vehicle industry is promising huge profits and lucrative returns on investment for all parties involved in the manufacturing and distribution of the autonomous car.
This is encouraging large corporations and VC investors to invest in the auto-technology and to secure their share of future profits.
The autonomous car market is expected to grow at a compound annual growth rate (CAGR) of 45% during the projected period. The advancements in the automotive technology – such as the integration of artificial intelligence, GPS, and advanced electronic sensors such as radar, lidar, and ultrasonic sensors – are expected to promote market growth.
Europe holds a major share in the autonomous cars market with a share of more than 40% in 2017. The market growth is attributed to the presence of large number of auto makers. The auto manufacturers have invested significantly in autonomous vehicle technology to accelerate the innovative processes in the self-driving vehicle landscape.
The governments in the region are investing in improving the road and telecom infrastructure, enabling the self-driving vehicles to better interact with their surroundings. The Dutch government has invested more than US$100m to install new traffic lights across the nation to help self-driving cars better interact with its surroundings.
The North American autonomous car market is expected to register a high growth rate with a CAGR of more than 14% in 2017. The growth in the region can be attributed to the supportive government policies, which have allowed auto makers and tech companies in the region to conduct testing of autonomous technologies on public roads and freeways.
The major companies working on the autonomous car market are: Volkswagen, BMW, Fiat
Chrysler Automobiles, Ford, GM, Honda, Hyundai, Jaguar, Mazda, Daimler, Mitsubishi, Nissan, Subaru, Tesla, Toyota, Volvo, Bosch, Waymo, Baidu, Uber, Continental GT, Aptiv, NVIDIA, Intel, and Autoliv.
The technology players and OEMs are acquiring and forming alliances with various auto makers to develop their own self-driving vehicles. These players are also partnering with regional and technology startups to develop AI-based solutions for autonomous vehicles.