The global advanced driver-assistance systems (ADAS) market size is expected to grow from USD 25.86 billion in 2021 to USD 47.08 billion by 2027 at a CAGR of 10.5%.

Impact of COVID-19 on Global ADAS Market

The impact of COVID-19 on the global integrated automotive sector has been rapid and significant. The initial concern over the disruption of China's export-oriented parts quickly focused on major production disruptions throughout Europe. In the US, the closure of the conference industry adds to the growing pressure on the global supply of goods when companies are at risk of defaulting on contracts, which may require banks to intervene. The catastrophic shock of this epidemic is exacerbating the current decline in the world demand that will likely lead to an increase in M&A activity as opportunities for industry integration come from independent players.

Long-term reductions in consumer demand as countries operate under various conditions of closure could lead to a global economic downturn, leading to widespread loss of consumer confidence, having a significant impact on car revenue and profits for car manufacturers. Automotive companies may be forced to diversify funds to advance sustainable activities, starving R&D funding for advanced technology programs and other optional projects. Strategic decisions to exit unprofitable global markets and automotive parts may be accelerated, greatly reducing productivity as production capacity is filtered/consolidated. Providers facing credit problems may be overwhelmed by the rapidly deteriorating market conditions, resulting in widespread disruption and potentially catastrophic consequences for the automotive industry. A significant amount of restructuring can be expected in the automotive real estate sector as dealers are not able to move around quickly enough to change demand conditions.

Since the economic downturn gained in the spring of 2020, it has also risen to bring year-on-year growth in new car sales over the past few months in China, Europe, and the US. However, despite encouraging reports on progress towards the vaccine, there are many risks left and it is expected that sales in Europe and the US will not return to pre-COVID levels by 2023 initially.

Market Drivers:

More and more modern-day vehicles are equipped with technology that can help motorists avoid slipping on nearby lanes or avoid unsafe lanes. They warn drivers about other vehicles or objects behind them when they pull over. If the car in front of them suddenly stops or descends, they automatically apply brakes. These and other safety devices use a combination of hardware (sensors, cameras, and radar) and software that identifies specific safety hazards so that the driver can be alerted and take action to avoid an accident. An important technology for private car safety is LIDAR (light and range sensor). Using millions of lasers, LIDAR draws a 3D real-time image of the environment around the car. Independent vehicles have radar sensors that can measure the size and speed of moving objects. High-definition cameras can read signals and symbols. As the car moves, it combines all this data with GPS technology to plan its route.

Market Restraints:

Developed countries are at the forefront of research and use of this technology. Developing countries due to a lack of well-organized road infrastructure lag far behind in the technical race at the technical level and government/authority. Common challenges that government/authorities and the private sector face when trying to use AV in developing countries are the complete lack of road infrastructure, poorly planned roads, lack of routes and boundary roads, lack of routes and exit plans. A lack of directional, informational, and warning signs, potholes and random speed bumps, road map and areas of interest, free access to all, democracy on motorized and non-motorized roads, animals, and pedestrians. All existing algorithms currently in use and under research in the AV field require a highly organized set of road traffic/infrastructure to function as intended for use in developed countries where everything is well organized. Another common issue in developing countries like India is that there may be unemployment due to independent technology replacing the worker.

Market Opportunities:

Self-driving cars will eventually be integrated into U.S. roads. by improving the six levels of driver assistance in the coming years. This does not include automation to full control. The safety benefits of automatic vehicles are fleeting. ADS can save lives as 94 percent of serious accidents are caused by human error. Automatic vehicles eliminate human error in the crash equation, which will help protect drivers and passengers.

Market Challenges:

Autonomous vehicles utilize artificial intelligence systems, which use machine learning techniques to collect, analyze and transmit data, to make decisions that people make in conventional vehicles. These systems, like all IT systems, are at risk of an attack that could impair the proper functioning of the vehicle. Independent vehicle AI systems operate non-stop to detect road signs and road signs, detect vehicles, measure their speed, plan. Aside from unintentional threats, such as sudden malfunctions, these systems are at risk of deliberate attacks aimed at disrupting the AI system and disrupting important security functions. Adding paint to the road to divert wandering, or stickers to a stop sign to prevent its recognition are examples of such attacks. These changes can lead to the AI system sorting things out in the wrong way, and later causing the private vehicle to behave in a potentially dangerous manner.

This report on the global ADAS market includes the following segmentation:

Global ADAS Market Analysis - By System:

Adaptive Cruise Control (ACC)

Adaptive Front Light (AFL)

Automatic Emergency Braking (AEB)

Blind Spot Detection (BSD)

Cross Traffic Alert (CTA)

Driver Monitoring System (DMS)

Forward Collision Warning (FCW)

Intelligent Park Assist (IPA)

Lane Departure Warning (LDW)

Night Vision System (NVS)

Pedestrian Detection System (PDS)

Road Sign Recognition (RSR)

Tire Pressure Monitoring System (TPMS)

Traffic Jam Assist (TJA)

Global ADAS Market Analysis - By Component:

Camera Unit

LiDAR

Radar Sensor

Ultrasonic Sensor

Infrared Sensor

Radar sensors (Radio Detection and Range) make an important contribution to all autonomous driving operations: they transmit visual aids and measure their distance and speed relative to the vehicle in real-time. Both short- or long-distance radar sensors are installed throughout the vehicle and each has its unique functions. Although short-range (24 GHz) radar systems enable blind-spot monitoring, proper route maintenance assistance, and parking facilities, long-distance radar (77 GHz) sensors include automatic distance control and brake assistance. Unlike camera sensors, radar systems have no problem at all detecting objects during fog or rain.

Global ADAS Market Analysis - By Offering:

Hardware

Softawre

Global ADAS Market Analysis - By Electric Vehicle:

Battery Electric Vehicles (BEV)

Hybrid Electric Vehicles (HEV)

Plug-in Hybrid Electric Vehicle (PHEV)

Fuel Cell Electric Vehicle (FCEV)

Global ADAS Market Analysis - By Level of Autonomy:

L1

L2

L3

L4

L5

Global ADAS Market Analysis - By Vehicle Type:

Passenger Cars

Light Commercial Vehicle

Truck

Bus

The passenger car segment holds the largest share in the global ADAS market. Several countries in Europe, North America, and the Asia Pacific have introduced regulations authorizing the inclusion of different types of ADAS on the passenger component. For example, the European Union has announced Vision Zero, a move to reduce road deaths to zero by 2050. The official plans to reduce deaths and injuries by 50% by 2030. Developed countries like South Korea have approved AEB and LDW programs for all passengers. cars from January 2019.

Global ADAS Market Analysis - By Region:

North America

Europe

Asia-Pacific

Latin America

Middle East and Africa

The Asia-Pacific region had the highest number of vehicles sold in 2015. Developing countries like Japan and South Korea are present in the region, which is one of the leading markets in ADAS. In addition, strict rules imposed on safe vehicles also contribute to market growth. These regulations are as strong as the laws enacted in North America and Europe. In addition, improving the socio-economic conditions of developing countries in India, Indonesia, and Thailand generates the need for more advanced vehicles. And this increases the need for advanced driver-assistance programs in Asia-Pacific.

Key Players

The major players operating in the global ADAS market are Robert Bosch (Germany), Continental AG (Germany), Denso (Japan), ZF Friedrichshafen (Germany), Valeo (France), Aptiv (UK), and Magna International (Canada).