The LiDAR for ADAS market was valued at US$299.887 million in 2020 and is expected to grow at a CAGR of 36.30% over the forecast period to reach a total market size of US$2,620.726 million in 2027.
In the automotive applications of LiDAR technology, most of these sensors are installed on the top of the vehicle. LiDAR Sensors continuously rotate and generate thousands of laser pulses every second. These high-speed laser beams from LIDAR are continuously emitted in the surroundings of the vehicle at a 360-degree scope and are reflected by the objects in the way. With the use of complex machine learning algorithms, the data received through this activity is then converted into real-time 3D graphics, which are often displayed as either 3D images or 3D maps of the surrounding objects.
The market for LiDAR for advanced driver-assistance systems (ADAS) is increasing on account of the increasing demand for autonomous cars. LiDAR helps in road scanning to understand vehicle surroundings with precise and real-time 3D digitization and makes them an essential building block in ADAS. Several benefits offered by LiDAR such as facilitating object detection and tracking, free space detection, road profile measurement, and localization capabilities are further boosting demand for LiDAR for ASAD. Geographically, North America will have a significant market share on account of the progression towards autonomous vehicle technology in commercial cars, robust technology, and early adoption of ADAS. Factors such as technical limitations related to range and resolution and the higher cost of LiDAR sensors are hampering the growth of the market. Moreover, increasing investments in R&D to make cheaper, smaller, and more reliable sensors with fewer moving parts will growth opportunities for the market.
Growing autonomous vehicles
The improvements in technology, like adaptive algorithms, high-definition mapping, sensor processing and enhanced infrastructure, have been prompting various companies to expand the production of autonomous vehicles, which use the LiDAR technology for their functioning, thus catalysing the demand for these sensors. The market has a huge range of products and systems that make the autonomous vehicle infrastructure. Autonomous cars enable independent mobility for non-drivers and people suffering from disabilities. It allows travellers to travel with more comfort and also offers the flexibility to read, rest, or even work while travelling, thus, increasing their efficiency. Other benefits like increased safety with reduced crash risks and increased road capacity with reduced costs are expected to significantly drive the adoption of these vehicles in the market, which in turn is projected to propel the market for LiDAR sensors used in these vehicles.
Several key players have been working towards enhancing the experience of using autonomous vehicles, with the help of developing technologies. For instance, in 2019, Volkswagen announced its collaboration with Ford to invest in the AI vendor Argo AI. The partnership's aim was to introduce autonomous vehicle technology in the US and Europe. The company decided to invest more than USD 4 billion through 2023 to develop and enhance its autonomous services. Further, Audi became the first company to develop a Level 3 autonomous car by launching its Audi A8 in the market. Furthermore, in 2022, German automaker Mercedes Benz became the world's first to gain internationally valid regulatory approval for producing vehicles capable of Level 3 autonomous driving. Mercedes Benz's updated Drive Pilot system is capable of taking over the driving chores while the vehicle is travelling at the legally permitted speed of 37 miles per hour. All these developments innovations in the automobile sector are thus expected to drive the sales for autonomous vehicles, conversely augmenting the market for LiDAR sensors for ADAS.
The COVID-19 pandemic had a severely negative impact on the overall automotive industry, compelling automakers to cut down on their output at their production plants. The pandemic also impacted many OEM operations, from production to R&D, which created short-term disruption and delayed autonomous vehicle development and rollouts. Following these events, The China Association of Automobile Manufacturers revised its predictions for the year 2020, projecting a 10% drop in sales for the first half of 2020 and 5% for the entire year on account of the COVID-19 pandemic. Further, according to predictions by the SMMT, car output was estimated to fall by 18% in 2020 as a result of COVID-19 closing all the major UK plants. Thus, all this conversely caused a decline in the market for LiDAR for ADAS as well.
|Market size value in 2018||US$177.448 million|
|Market size value in 2024||US$2,127.070 million|
|Growth Rate||CAGR of 51.28% from 2018 to 2024|
|Forecast Unit (Value)||USD Million|
|Segments covered||Product Type, And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||Continental AG, XenomatiX N.V., Ibeo Automotive Systems GmbH, DENSO CORPORATION, LeddarTech Inc., Quanergy Systems, Inc., Velodyne Lidar, Inc., Magna International Inc., TETRAVUE, INC., Ouster, Inc.|
|Customization scope||Free report customization with purchase|
Frequently Asked Questions (FAQs)
Q1. What will be the LiDAR for ADAS market size by 2024?
A1. LiDAR for ADAS Market is projected to reach a total market size of US$2,127.070 million by 2024.
Q2. What are the growth prospects for the LiDAR for ADAS market?
A2. The LiDAR for ADAS market is projected to grow at a CAGR of 51.28% during the forecast period.
Q3. What is the size of the global LiDAR for ADAS market?
A3. The global LiDAR for ADAS market is evaluated at US$177.448 million for the year 2018.
Q4. Which region holds the largest market share in the LiDAR for ADAS market?
A4. Geographically, North America will have a significant market share on account of the progression towards autonomous vehicle technology in commercial cars, robust technology, and early adoption of ADAS.
Q5. What factors are anticipated to drive the LiDAR for ADAS market growth?
A5. The market for LiDAR for advanced driver-assistance systems (ADAS) is increasing on account of the increasing demand for autonomous cars.
1.1. Market Overview
1.2. Covid-19 Scenario
1.3. Market Definition
1.4. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Driver
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of End-Users
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. LIDAR FOR ADAS MARKET, BY PRODUCT TYPE
5.2. MEMS LiDAR
5.3. Optical Phase-Array LiDAR
5.4. Flash LiDAR
6. LIDAR FOR ADAS MARKET, BY GEOGRAPHY
6.2. North America
6.2.1. United States
6.3. South America
6.5. Middle East and Africa (MEA)
6.5.1. Saudi Arabia
6.6. Asia Pacific
6.6.3. South Korea
7. COMPETITIVE ENVIRONMENT AND ANALYSIS
7.1. Major Players and Strategy Analysis
7.2. Emerging Players and Market Lucrativeness
7.3. Mergers, Acquisitions, Agreements, and Collaborations
7.4. Vendor Competitiveness Matrix
8. COMPANY PROFILES
8.1. Continental AG
8.2. XenomatiX N.V.
8,3. Ibeo Automotive Systems GmbH
8.4. DENSO CORPORATION
8.5. LeddarTech Inc.
8.6. Quanergy Systems, Inc.
8.7. Velodyne Lidar, Inc.
8.8. Magna International Inc.
8.9. TETRAVUE, INC.
8.10. Ouster, Inc.
Ibeo Automotive Systems GmbH
Quanergy Systems, Inc.
Velodyne Lidar, Inc.
Magna International Inc.
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