Artificial Intelligence in Automotive Market by Offerings (Hardware, Software), Technology (Computer Vision, Context Awareness, Deep Learning), Process, Functionality, Application - Global Forecast 2024-2030

Artificial Intelligence in Automotive Market by Offerings (Hardware, Software), Technology (Computer Vision, Context Awareness, Deep Learning), Process, Functionality, Application - Global Forecast 2024-2030

The Artificial Intelligence in Automotive Market size was estimated at USD 4.85 billion in 2023 and expected to reach USD 6.11 billion in 2024, at a CAGR 26.98% to reach USD 25.87 billion by 2030.

Automotive artificial intelligence (AI) uses AI technology to develop intelligent vehicle systems. These AI systems empower vehicles with advanced capabilities, such as autonomous driving, safety features, and smart connectivity. It facilitates the development of self-driving cars, automated fleet management, advanced safety features, and intuitive user interfaces. One of the most significant advancements in this domain is the introduction of AI-powered automotive cockpits. These advanced systems serve various functions that enhance both driver and passenger experiences. AI automotive cockpit integrates voice-activated assistants and advanced driver assistance systems (ADAS) to help drivers interact with their vehicles without taking their hands off the wheel or eyes off the road, significantly improving safety while offering convenience. Artificial intelligence's application in the automotive industry has significantly impacted the construction of in-vehicle user experience and security, resulting in a growing demand for AI technology within the automotive sector. Government regulations, the adoption of ADAS, and the increasing preference for autonomous vehicles have further fueled the implementation of AI in the automotive space. While there are growth opportunities, particularly in the premium segment cars, the cybersecurity concerns associated with AI-enabled vehicles pose a significant challenge in the market. Moreover, the development of advanced AI platforms for autonomous driving is expected to create a lucrative market o[opportunity in the forecasted period.

Regional Insights

The Americas has a significant landscape in artificial intelligence in the automotive market owing to the increasing development of autonomous technology and the presence of several tech giants and automotive companies investing heavily in AI research and development. Europe has a robust automotive industry with established automakers and suppliers actively exploring AI applications. Technological advancements in the automotive industry by key market vendors have accelerated the market demand in the region. Europe has well-defined regulations and standards for AI applications and autonomous vehicles in the automotive sector. Clear guidelines and support from regulatory bodies create a conducive environment for AI adoption, fostering the demand for AI-driven automotive technologies in Europe. APAC has a growing landscape in artificial intelligence in the automotive market due to the large and fast-growing automotive manufacturing hub and significant demand for smart and connected vehicles, which fuels the adoption of AI technologies in the automotive sector in the region.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Artificial Intelligence in Automotive Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

• Rising demand for the advanced convenient features and enhanced user experience
• Increasing government regulations for vehicle safety coupled with the adoption of ADAS technology by OEMs
• Growing adoption of autonomous vehicle globally

Market Restraints

• Expensive implementation of artificial intelligence in automotive

Market Opportunities

• Increasing preference for premium segment vehicles
• Development of advanced AI platform for autonomous driving

Market Challenges

• Cybersecurity concern associated with the vehicles

Market Segmentation Analysis

• Offerings: Significant adoption of software platforms owing to their versatile, scalable, and user-friendly interfaces
• Technology: Growing utilization of Deep Learning technology as it helps vehicles learn complex patterns and adapt to dynamic environments
• Process: Increasing preference for data mining process for enhancing streamlining of design and manufacturing processes
• Application: Evolving usage of AI in Automotive is in Human–Machine Interface as it gives personalized suggestions based on the driver's habits and preferences

Market Disruption Analysis

• Porter’s Five Forces Analysis
• Value Chain & Critical Path Analysis
• Pricing Analysis
• Technology Analysis
• Patent Analysis
• Trade Analysis
• Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Artificial Intelligence in Automotive Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Artificial Intelligence in Automotive Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

AI-based self-driving tech start-up Minus Zero unveils India’s first fully autonomous vehicle

Minus Zero, a Bengaluru-based AI start-up, recently unveiled zPod, India's first-ever autonomous vehicle. This fully electric prototype is equipped with an advanced camera-sensor suite, enabling it to operate in diverse environmental and geographical conditions with Level 5 autonomy capabilities.

Ford launches automated driving unit Latitude AI months after winding down Argo

Ford Motor Co recently established a subsidiary called Latitude AI, specializing in automated driving systems. Latitude AI aims to enhance Ford's existing BlueCruise technology, enabling hands-free highway driving in select models.

XPENG launches AI platform for autonomous driving and robot features

XPeng's unveiled its next-generation neural network-based perception architecture, XNet, at its fourth annual Tech Day in Guangzhou. This event showcased various cutting-edge technologies, including data management platforms, closed-loop AI, voice and smart cabin technologies, and the latest advancements in their mobility ecosystem, including the latest robotaxi, flying cars, and robotics projects.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Artificial Intelligence in Automotive Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Artificial Intelligence in Automotive Market, highlighting leading vendors and their innovative profiles. These include Advanced Micro Devices, Inc., Alphabet Inc., Aptiv PLC, Audi AG, Baidu Inc., Bayerische Motoren Werke AG, Continental AG, General Motors Company, Harman International Industries, Inc., Honda Motor Co., Ltd., Intel Corporation, International Business Machines Corporation, Mercedes-Benz Group AG, Micron Technology, Inc., Microsoft Corporation, NVIDIA Corporation, Optimus Ride, Qualcomm Inc., Rivian Automotive, Inc.,, Robert Bosch GmbH, Tesla, Inc., TomTom, Toyota Motor Corporation, Velodyne Lidar Inc., Volkswagen AG, Volvo Car Corporation, and Xpeng Inc..

Market Segmentation & Coverage

This research report categorizes the Artificial Intelligence in Automotive Market to forecast the revenues and analyze trends in each of the following sub-markets:

• Offerings
• Hardware
• Neuromorphic Architecture
• Von Neumann Architecture
• Software
• Platforms
• Solutions
• Technology
• Computer Vision
• Context Awareness
• Deep Learning
• Machine Learning
• Natural Language Processing
• Process
• Data Mining
• Image Recognition
• Signal Recognition
• Functionality
• Adaptive Climate Control
• Advanced Driver Assistance Systems (ADAS)
• Full-Cabin Monitoring
• Gesture Control
• Predictive Maintenance Alerts
• Vehicle Occupancy Detection
• Voice Recognition
• Application
• Autonomous Vehicle
• Human–Machine Interface
• Semi-Autonomous Driving
• Region
• Americas
• Argentina
• Brazil
• Canada
• Mexico
• United States
• California
• Florida
• Illinois
• New York
• Ohio
• Pennsylvania
• Texas
• Asia-Pacific
• Australia
• China
• India
• Indonesia
• Japan
• Malaysia
• Philippines
• Singapore
• South Korea
• Taiwan
• Thailand
• Vietnam
• Europe, Middle East & Africa
• Denmark
• Egypt
• Finland
• France
• Germany
• Israel
• Italy
• Netherlands
• Nigeria
• Norway
• Poland
• Qatar
• Russia
• Saudi Arabia
• South Africa
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year