Autonomous Vehicles Market Report by Component (Hardware, and Software and Services), Level of Automation (Level 3, Level 4, and Level 5), Application (Transportation and Logistics, and Military and Defense), Region and Company Analysis 2024-2032

Autonomous Vehicles Market Report by Component (Hardware, and Software and Services), Level of Automation (Level 3, Level 4, and Level 5), Application (Transportation and Logistics, and Military and Defense), Region and Company Analysis 2024-2032

Global Autonomous Vehicles Market will reach US$ 211.86 billion by 2032, up from US$ 33.41 billion in 2023, with a CAGR of 22.7% during 2024–2032.

Autonomous Vehicles Definition

Autonomous Vehicles have capabilities to perceive their surroundings and maneuver on the road without the input of the driver. It also involves the use of software and hardware to create the dynamic driving task which includes perception, recognition of objects and events, response to objects and events, creation of maneuvers, control of steering, turning, lane keeping and changing, and controlling acceleration and deceleration. This technology lets the autonomously to drive and negotiate road situations independently and operate the car at any point without a human hand.

In July of 2023, new investments in driverless car technology and manufacturing automotive ADAS by ZF in Mexico, indicating that Mexico’s autonomous car industry will expectedly expand, and the advanced demand for the growing autonomous and self-driving truck.

Driving Factor in the Autonomous Vehicles Industry

Technological Advancements: This becomes possible due to the availability of the state-of-the-art technologies such as Artificial Intelligence, sensors, cloud computing, and analytics in the development of self-driving cars. They enable the creation of smarter cars that can analyze their environments, make decisions, and navigate safely with no input from the drivers. Constant advancements are required for the self-driving vehicles to be reliable, safer and performant on the road.

Economic Benefits: Self-driven vehicles are widely used mainly due to economic factors involved in their implementation for market that own a number of cars. Removing the need for human operators brings cost reduction in form of not having to pay salaries, train employees, provide other employee perks, and the cost of compensating for accidents that might occur on the wheel. It improves operational efficiencies for line functions and opens up new avenues for revenue streams such as, the provisioning of ride hailing services and delivery solutions.

Safety Improvements: Self driving cars or self-driving vehicles aims at averting human intervention in decision making process since most of the vehicle accidents occur as a result of human faults. The driving task that has been taken over by autonomous cars has the capacity to save a lot of lives as well as reduce accident related unfortunate incidences thereby enhancing road safety for all. This aspect focuses on one of the major social values that augmented mobility can bring apart from the anticipation of comfort.

Insurance Innovations: As global market, new and quite exciting opportunities can be seen from the angle of self-driving cars and new insurance products. Insurance for self-driving cars can be made with insurance plans tailored by manufacturers of cars with management responsibilities of the technology and data derived from it with the aspects of driving behaviors. This capacity puts them in a better position compared to ordinary insurance firms and creates new ways of preventing risks and offering individualized insurance solutions.

Market Dynamics and Consumer Acceptance: The reasons are the presumed high level of caution that consumers will want to exercise when dealing with auto-pilot systems to ensure their safety and privacy. But the long term which should be the objective for mass utilization is present and the terms present in the development of this innovative technology. Automobiles self-driving market is expected to expand, and such a change might be evolutionary in nature, with manually operated and self-driven automobiles sharing the roads. For example, in September 2023, Volvo Autonomous Solutions (V. A. S.), signed a deal with Boliden AB to achieve the idea of self-driving haul trucks in Boliden’s streams. This comprised of creation of self-driving car at the Bolidens open-pit mine Garpenberg in Sweden.

As of now, Level 2 and Level 3 are the most popular options for the global market of automobile Driving autonomously. On the other hand, a higher degree of adoption is expected for Level 4 and Level 5, which are employing SAE classification by 2030. Hence, it’s for this reason that Level 2 and Level 3 vehicles are expected by the company to evolve even further and make a significant impact on the future of Autonomous Vehicle.

North America Autonomous Vehicles Market

North America is leading in hybrid and electric vehicle investment and production due to more production and investors in the region. In the United States specifically, there have been cases of relatively new and growing industries in the automobile market such as self-driving cars due those formed joint ventures and government investment on infrastructural transformation. The University of Michigan got $9.85 million in federal grants from this US Department of Transportation Federal Highway Administration. The funds are aim to further the research on connected vehicle technology and will be released in May 2023 as a part of the federal government’s plans to enhance infrastructure developments.

The U. S. intends to mobilize $200 billion for infrastructure financing in other countries through a concept called PGII approach with an aim of attaining $600 billion funding from the U. S. and other G7 countries and international financial institutions as well as private capital by 2025. Furthermore, connected and autonomous vehicles (CAVs) are expected to eliminate traffic accident rates as a result of human interventions and to provide optimized traffic patterns, less occurrence of traffic congestion, better usage of facilities and management of the roads as a result of real time analysis and AI techniques.

The PGII approaches that the U. S. strategy is aiming at is to triples total investment from its $200 billion current level by the year 2025, investing in global infrastructure projects for the PGII approach. This investment is expected to come from the G7 countries and other private players.

Global Autonomous Vehicles Market

The prominent players in the autonomous vehicle market include Ford Motor Company, AB Volvo, AUDI Aktiengesellschaft (Volkswagen Group), General Motors, Tesla Inc., Toyota Motor Corporation, Uber Technologies Inc., and BMW AG.

Global Autonomous Vehicles Company Analysis

In February 2024, Mobileye partnered with Project 3 Mobility (P3) to explore a new mobility service using Mobileye Drive technology.

Volkswagen Group of America, Inc. commenced autonomous vehicle testing in Austin in July 2023 with a fleet of 10 all-electric IDs and Buzz vehicles equipped with autonomous driving technology developed by Volkswagen Group and Mobileye.

In August 2023, GTMC will provide Pony.ai battery electric vehicles branded by Toyota for Level 4 autonomous driving research and development. Pony.ai's technology will be incorporated into these vehicles for use on the PonyPilot + robotaxi network platform.

In July 2023, Tesla invested USD 1 billion in Project Dojo to manage large volumes of data, focusing on video feeds from Tesla vehicles for autonomous driving software.

Here are 6 frequently asked questions (FAQs) about the global autonomous vehicles market:

Question: What is the current size of the global autonomous vehicles market?

Answer: The global autonomous vehicles market was valued at approximately $33.41 billion in 2023 and is projected to reach $211.86 billion by 2032.

Question: How many autonomous vehicles are expected to be on the road by 2032?

Answer: The number of autonomous vehicles globally is projected to increase significantly from 2023 to 2032, although exact figures vary depending on the source and definition of ""autonomous"".

Question: What are the projected global sales of autonomous vehicles from 2023 to 2032?

Answer: Sales of autonomous vehicles are expected to grow substantially from 2019 to 2030, reflecting the increasing adoption of this technology.

Question: What are the key challenges facing the autonomous vehicles market?

Answer: Challenges include regulatory hurdles, ethical considerations, data privacy issues, and the need for extensive testing and validation to ensure safety.

Question: What are the key benefits of autonomous vehicles?

Answer: Benefits include improved safety through reduced human error, increased efficiency in transportation, and the potential for new mobility services like ride-sharing and delivery.

Question: What are the major players in the autonomous vehicles market?

Answer: Major players in the autonomous vehicles market include Ford Motor Company, AB Volvo, AUDI Aktiengesellschaft (Volkswagen Group), General Motors, Tesla Inc., Toyota Motor Corporation, Uber Technologies Inc., and BMW AG., among others. These companies are investing heavily in autonomous technology and are at the forefront of developing and deploying self-driving cars.

Component –Market is divided into 2 Viewpoints

1. Hardware
2. Software and Services

Level of Automation - Market is divided into 3 Viewpoints

1. Level 3
2. Level 4
3. Level 5

Application - Market is divided into 2 Viewpoints

1. Transportation and Logistics
2. Military and Defense

Geography – Market breakup of 25 Countries Covered in the Report:

North America

• United States
• Canada

Europe

• France
• Germany
• Italy
• Spain
• United Kingdom
• Belgium
• Netherlands
• Turkey

Asia Pacific

• China
• Japan
• India
• Australia
• South Korea
• Thailand
• Malaysia
• Indonesia
• New Zealand

Latin America

• Brazil
• Mexico
• Argentina

Middle East & Africa

• South Africa
• Saudi Arabia
• United Arab Emirates

Company have been covered from 4 Viewpoints:

1. Overviews
2. Recent Developments & Strategies
3. Product Portfolio & Product Launch in Last 1 Year
4. Revenue

Key Players Analysis

1. Ford Motor Company
2. AB Volvo
3. AUDI Aktiengesellschaft (Volkswagen Group)
4. General Motors
5. Tesla Inc.
6. Toyota Motor Corporation
7. Uber Technologies Inc.
8. BMW AG