Radar Sensors Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

Radar Sensors Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The radar sensors market is expected to grow by registering a CAGR of 17.8% during the forecast period. The rapidly increasing automation, such as the developments toward autonomous driving and the progression of Industry 4.0, indicates the increasing demand for presence and motion detection for enhanced safety and control, driving the need for radar sensors.

Key Highlights

• The applications of radar sensors are becoming more diverse, and commercialization in the sector is accelerating, owing to significant advancements in digital and RF/microwave technologies. There are various radar applications, from traditional defense and surveillance to automotive radar for driver assistance to biomedical radar for imaging, monitoring, and treatment. The competitive environment demands rapid design cycles, system integration, prototyping, and testing for all these applications.
• Due to affordable high-frequency components, novel packaging solutions, and advanced production processes, radar sensors are no longer huge and expensive systems. They are low-cost solutions for measurement tasks that cannot be delivered with traditional optical or acoustic/ultrasound systems. The market for radar sensors is dominated by the automotive, industrial, and building automation solution segments, owing to the increasing demand for precision in detection.
• Vendors in the market offer radar sensors based on range and technology (continuous and pulsating). Long-range radar applications are based on 77-GHz frequency. However, 79GHz also gains traction for short and mid-range applications, like industrial and automotive, owing to the higher form factor with 3X smaller antennas. It also has the benefit of a wide frequency band of 4GHz (77 to 81 GHz). Furthermore, the implementation of corner radar for 360-degree surveillance of the car, supported by short- and mid-range radars of 24 GHz, is gaining traction for high-resolution tracking. This enhances target separation or objects recognition with high channel numbers for high-resolution imaging radar.
• Considering the growth potential, the vendors are increasingly focusing on launching innovative solutions to cater to various requirements of the end markets. For instance, in May 2021, HELLA put the latest 77GHz radar technology into series production for passenger cars. The radar can continually record the environment, recognize people and other traffic participants and objects in the immediate vicinity of the car, and provide accurate results regardless of lighting conditions.
• However, factors such as limited field of vision and limitations in the detection capabilities when there is a speed difference between vehicles are some of the major factors challenging the growth of the studied market.
• With the outbreak of the COVID-19 pandemic, the automotive industry has been one of the worst-hit sectors due to the high expenditure required, keeping buyers away from discretionary spending during times of global economic uncertainty. Radar Sensors firms are likely to create effective crisis-management methods, with a focus on next-generation goods and solutions, to emerge stronger from the COVID-19 disaster. Budgets for Radar Sensors R&D are being cut modestly. Constant market trend monitoring for Radar Sensors, systematic investment/divestment techniques, carefully launching marketing plans, strengthening long-term contracts, and others.

Key Market TrendsAutomotive Sector to Hold Significant Market Share During the Forecast Period

• The robust growth of the autonomous car market has been instrumental in driving the radar sensor market. For instance, according to OICA, in 2021, about 80 million motor vehicles were produced worldwide. This was an increase of about 3% compared to the previous year (2020).
• Radar sensors for cars are primarily deployed for blind spot detection (BSD), collision mitigation (CM), lane change assistance (LCA), parking aid (PA), and rear cross-traffic alert (RCTA) features. The growth in the automotive radar sensor market is attributed mainly to the increasing AEB (automatic emergency braking) applications in the 77 GHz radar market.
• The radar technology is driven by the New Car Assessment Program among OEMs, as they integrate these systems to complement camera devices for ADAS applications. Radars, combined with other sensors, provide enhanced information on safety and collision avoidance.
• With the recent focus on safety in the United States, such as the release of new federal guidance for automated vehicles- Automated Vehicles 3.0 by the NHTSA, the market potential for ADAS has been extended to mid-end cars, resulting in a production volume increase. Many brands are increasingly employing radar sensors. The factors above are significantly impacting the market for radar sensors.
• Furthermore, with the advent and demand for smart and self-driving cars, the market for radar sensors is expected to grow significantly, owing to the developments in the automotive sector. There are several vendors offering radar sensors for the automotive industry. For instance, Infineon provides a range of RASIC 77/79 GHz front-end radar sensor ICs as part of its comprehensive XENSIV family of sensors. These sensors are specifically designed for driver assistance systems, such as collision warning and adaptive cruise control.

North America to Hold Significant Share of the Radar Sensors Market

• The North American radar sensor market is driven by high-end defence applications, smartphone penetration, autonomous cars, and consumer electronic devices. The increase in FMCW applications is gaining momentum in the region, especially short-range applications, as the region has the highest defence expenditure in the world. For instance, in 2021, US military spending amounted to USD 801 billion (Source: Stockholm International Peace Research Institute).
• The North American region is a pioneer in adopting new technologies, such as smart grids, smart homes, smart water networks, intelligent transport, and infrastructure with radar sensors technology. The advancement in rada sensor technology is expected to open new use cases across these industries, creating growth opportunities for the vendors.
• The high penetration rate of smartphones is also expected to drive the demand for radar sensors as smartphone manufacturers increasingly include new sensors and features in their smartphones. According to GSMA, by the end of 2025, 5G will account for almost two-thirds of North America's mobile connections, equivalent to nearly 270 million connections.
• Considering the benefits associated with the radar sensors, several public and private organizations are increasing their R&D efforts to further improve the efficiency of radar sensors which is expected to positively impact the growth of the studied market. For instance, in June 2022, a leading automotive manufacturer in the United States, registered a new high resolution radar unit with the U.S. Federal Communications Commission (FCC).

Competitive Landscape

The radar sensors market is fragmented due to the presence of many players. Some of the prominent players in the market include Robert Bosch Gmbh, Lockheed Martin Corporation, NXP Semiconductors, and Infineon Technologies, among others. The industry has undergone several developments over the past few years that have significantly transformed the studied market. Some of the recent developments in the market include -

• July 2022 - Gapwaves, a Swedish tech company, and Bosch, a leading global automotive supplier, announced their partnership for developing and large-scale production of high-resolution radar antennas for automotive vehicle applications. As part of the joint development, Gapwaves will support with its antenna know-how, and Bosch will contribute with its know-how of radar sensors and automated driving.
• May 2022 - Infineon Technologies launched XENSIV 60 GHz automotive radar sensor (BGT60ATR24C). These sensors are designed for use in in-cabin monitoring systems (ICMS) to detect micro-movements and vital signs of left-behinds and sound the alarm. Additionally, the sensor chipset also addresses applications such as high-resolution frequency modulated continuous wave (FMCW) radars for distance measurement, front-end radar for gesture sensing, short-range sensing operations, as well as other hidden sensing applications.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support

Please note: This publisher does offer titles that are created upon receipt of order. If you are purchasing a PDF Email Delivery option above, the report will take approximately 2 business days to prepare and deliver.