ADAS Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028F

ADAS Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028F

Segmented By Vehicle Type (Passenger Cars and Commercial Vehicles), By Sensor Type (Radar, Ultrasonic, Camera and LiDAR), By Level of Autonomy (Level 1, Level 2, Level 3, Level 4 and Level 5), By Function (Collision Avoidance, Adaptive Cruise Control, Lane Departure Warning System, Rear Cross Traffic Assistance, Emergency Braking, Intersection Assistance, Automatic Speed Limit, Park Assistance and Others) and By Region, Competition

The global ADAS market was valued at USD40.66 billion in 2022 and is forecast to register a CAGR of 7.08% to reach USD60.10 billion in the year 2028. The Advanced Driver Assistance System, also known as the (ADAS) is a key feature for the safety of modern vehicles. ADAS helps in monitoring, braking, warning, and steering tasks, which reduces the chance of road accidents and protects the driver. In the coming years, it is anticipated that demand for advanced driver assistance systems (ADAS), which assist with monitoring, warning, braking, and steering activities, will rise in the coming years, driven mostly by consumer and regulatory interest in safety applications that safeguard drivers and lower collision rates. For example, by 2020, both the European Union and the United States required that all vehicles have autonomous emergency braking and forward collision warning systems. According to a recent survey, ADAS applications that enhance comfort and efficiency, such as those that help with parking or monitor blind spots, are becoming even more popular with car purchasers.

Even though ADAS applications are still in their infancy, original equipment manufacturers (OEMs) and their suppliers are aware that they may one day serve as the primary characteristic that distinguishes automobile brands and serve as one of their most significant sources of revenue. And since completely autonomous vehicles are already a key area of research and development at OEMs as well as high-tech businesses that have just lately entered the automotive sector, like Google, the same technology that enables today's ADAS solutions might also be utilized to produce them. Therefore, any ADAS system that receives early support may benefit when self-driving cars are commercially available.

Market Overview

Global ADAS Market Drivers

Given the rapid technical advancements occurring in the connected and autonomous vehicle ecosystem, intelligent transportation systems and connected infrastructure are now necessary for testing autonomous vehicles. Automotive OEMs, tier 1 component suppliers, and governments from numerous countries are currently investing heavily in the development of connected and autonomous vehicle infrastructure. Developed nations, including the U.S., Germany, and the U.K., among others, are providing sizable financing for the creation of intelligent transportation networks for autonomous vehicles.

Numerous developments have occurred in the commercial vehicle market, especially in terms of higher profit margins and acceptance of new technologies like telematics and autonomous driving. Due to the swift changes in laws, regulations, and transportation infrastructure to accommodate the growing freight movement, modern vehicles now feature ADAS components. In the upcoming years, new opportunities are anticipated to be created by the increasing sales of commercial cars and the OEMs' growing demand for ADAS components.

To improve the performance of the vehicle, governments from many nations are focusing on developing and implementing standards for ADAS features and their related specifications. For instance, considering the increasing availability of ADAS on contemporary autos, the Chinese government recently unveiled three new regulations that specifically address ADAS. Over the course of the forecast period, it is anticipated that demand will increase because of new legislation being adopted by governments all over the world, which is expected to encourage users and increase awareness of the benefits of ADAS systems in automobiles.

Global ADAS Market Trends

The introduction of autonomous vehicles is expected to alter how people commute, and the market for ADAS players is expected to expand as more businesses work to develop these technologies. The use of ADAS features will be crucial in the development of fully and partially autonomous vehicles over the coming years, which is expected to boost business for companies engaged in the worldwide ADAS market. Automakers, including Tesla, Volkswagen, Ford, Toyota, General Motors, and Waymo, intend to introduce fully autonomous vehicles in the upcoming years, and some of these firms have already introduced products into the market. As a result, the global ADAS market will experience growth over the forecast period.

The importance of road safety is rising, which has increased demand for ADAS technologies. The benefits of ADAS in reducing accidents are becoming more widely known among consumers as governments and regulatory bodies adopt stringent safety rules. ADAS significantly relies on several sensors, including cameras, radar, LiDAR, and ultrasonic sensors, to gather data about the area surrounding the vehicle. Constant advances in sensor technology, such as higher-resolution cameras and improved radar systems, are enhancing the precision and scope of ADAS features. Advanced driver assistance systems (ADAS) may greatly increase road safety. They operate by alerting or assisting drivers to prevent or decrease crashes. Every year, more vehicles with these systems fitted are sold.

Global ADAS Market Challenges

The total expense of ADAS systems in vehicles is significantly influenced by the cost of manufacturing electrical and ADAS parts. For the time being, this complicates ADAS regulations. Overall, the high maintenance costs and component costs are causing the price of automobiles with ADAS capabilities to rise. A variety of data sources, such as automotive imaging, RADAR, LiDAR, image processing, computer vision, and vehicle networking, are used as inputs by ADAS. Due to the increased costs associated with these premium amenities in cars, prices have increased. Overall, all these obstacles are predicted to impede market expansion.

Stringent Government Policies

In the world, there are various organizations that are involved in ensuring vehicle safety. These organizations have been steadily incorporating more and more ADAS-related protocols and standards. In Europe, North America, and other parts of the world, these organizations are mandating automotive safety measures and defining and refining regulations. One such organization is the “Society of Automotive Engineers” (SAE), which is the international authority that releases the standards which are used by 120,000 members all around the world in the automotive and aerospace domains. According to this organization, there are some standards related to automated driving and ADAS, which are J3016 Taxonomy and Definitions for Terms Related to On-Road Motor Vehicle Automated Driving Systems, J3134 ADAS Equipped Vehicle Signal and Marking Lights (Work in Progress).

Recent Developments

Due to an increase in adaptation of the ADAS in the vehicle, many investors are investing in this technology; companies like ZF Friedrichshafen AG ("ZF"), which is a Germany-based automotive technology supplier, have recently invested in StradVision company by taking its 6% stake in the company. StradVision is developing AI-powered computer vision technology for autonomous vehicles and advanced driver assistance systems (ADAS). In May 2022, BlackBerry announced that it is going to team up with Magna International MGA for the development of next-generation Advanced Driver Assistance Systems (ADAS) solutions for next-generation automotive manufacturers.

Market Opportunity

The growing demand for advanced vehicles equipped with different technology is expected to generate new opportunities for ADAS-making companies in the market in the forecast years. Many regional governments are influencing the adoption of electric vehicles by providing subsidies and incentives. As electric vehicles nowadays come with equipped ADAS technology in the vehicle, also vehicle manufacturing companies in the market are looking for ADAS-making companies, which is an opportunity for the ADAS sensors and software-making companies to grow their market share by doing tie-ups with vehicle manufacturing companies. Therefore, the rise in advanced vehicle sales is expected to become a big opportunity for ADAS companies.

Company Insights

In addition to six airbags, three-point seatbelts, reminders for all seats, and all-wheel disc brakes, Hyundai has just verified Level 2 ADAS features for the brand-new Verna, as we had previously reported. Hyundai has been slowly releasing additional Verna information leading up to its global debut in March 2021. Previously, Hyundai also gave a sneak peek at Verna's all-new infotainment screen and digital instrument panel. Undoubtedly, one of the most prominent talking points about the new Verna has been ADAS. To provide Level 2 ADAS capability, Hyundai has now disclosed that the Verna will be fitted with front and back radars, sensors, and a front camera. This means that in addition to detecting obstructions, Verna will also send out warnings and corrective measures. According to Hyundai, the technology will function in all weather. A few of the features in the ADAS suite are forward collision warning, blind spot collision warning, blind spot collision-avoidance assist, lane keeping assistance, lane departure warning, driver attention warning, adaptive cruise control with stop and go, lane following assistance, leading vehicle departure alert, and rear cross-traffic collision-avoidance assist.

Market Segmentation

The Global ADAS Market is segmented into vehicle type, sensor type, level of autonomy, function, region, and competitive landscape. Based on vehicle type, the market is divided into passenger cars and commercial vehicles. Based on sensor type, the market is divided into radar, ultrasonic, camera, and LiDAR. Based on level of autonomy, the market is divided into level 1, level 2, level 3, level 4, and level 5. Based on function, the market is divided into Collision Avoidance, Adaptive Cruise Control, Lane Departure Warning System, Rear Cross Traffic Assistance, Emergency Braking, Intersection Assistance, Automatic Speed Limit, Park Assistance, and Others.

Company Profiles

Robert Bosch GmbH, Continental AG, Autoliv Inc, ZF Friedrichshafen AG, DENSO Corporation, Aptiv Global Operations Limited, Magna International Inc, Valeo, Ambarella Inc, and Aisin Corporation are the leading companies operating in the global ADAS market.

Report Scope:

In this report, the global ADAS market has been segmented into the following categories, in addition to the industry trends, which have also been detailed below:

• ADAS Market, By Vehicle Type:
• Passenger Cars
• Commercial Vehicles
• ADAS Market, By Sensor Type:
• Radar
• Ultrasonic
• Camera
• LiDAR
• ADAS Market, By Level of Autonomy:
• Level 1
• Level 2
• Level 3
• Level 4
• Level 5
• ADAS Market, By Function:
• Collision Avoidance
• Adaptive Cruise Control
• Lane Departure Warning System
• Rear cross Traffic Assistance
• Emergency Braking
• Intersection Assistance
• Automatic Speed Limit
• Park Assistance
• Others
• ADAS Market, By Region:
• Asia-Pacific

China

Japan

South Korea

India

Thailand

Indonesia

Malaysia

Vietnam

• North America

United States

Mexico

Canada

• Europe & CIS

Germany

Spain

France

United Kingdom

Slovakia

Italy

Russia

• South America

Brazil

Argentina

Colombia

• Middle East & Africa

Turkey

South Africa

Iran

Egypt

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in Global ADAS Market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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