Vehicle Cameras Market Analysis

Market Overview

Vehicle cameras are onboard devices used in private cars, rental & commercial vehicles, and law enforcement vehicles. These cameras provide constant video recording, which could be used as evidence in the event of an accident or criminal activity. These cameras are available at a price ranging from less than US$ 100 to more than US$ 400. These cameras also help drivers for parking, gather critical evidence, assist for parking, and also for night vision.

The global vehicle cameras is estimated to account for US$ 2,671.4 Mn in terms of value by the end of 2027.

Market Dynamics- Drivers

1. Government encouragement for installation of vehicle cameras is expected to drive growth of the global vehicle cameras market during the forecast period

Public safety against road accidents remains a major concern for national governments worldwide. Thus, various governments are focused on reducing road crimes and accidents, in order to enhance road safety. For instance, in November 2014, the Transport and Infrastructure Council of Australia endorsed a three-year plan called the National Road Safety Action Plan 2015–2017. This plan was devised to improve road safety, especially through strategic investment in infrastructure safety. The vehicle camera is impactful in numerous ways for gathering evidence for the prosecution of crime and incidents related to vehicles. These cameras can be used to record the entire journey and monitor surroundings when the vehicle is stationary. Furthermore, law enforcement authorities in many countries such as the U.S. and the U.K. use in-car cameras in their vehicles to record and monitor road accidents in real-time. Therefore, these factors are expected to drive growth of the global vehicle cameras market during the forecast period.

2. Wide range of vehicle cameras available is expected to propel the global vehicle cameras market growth over the forecast period

The demand for vehicle camera depends upon the cost of installation, maintenance cost, robustness, and ease of installation. Therefore, key players in the market are providing a vast range of vehicle cameras, in order to cater to varying demands from consumers. Manufacturers of vehicle cameras focus on offering high video quality at the lowest possible prices. Vehicle cameras are available in a price range from US$ 20 to more than US$ 400. These cameras are available in different configurations, namely as front-view, rear-view, and dual-view cameras. As a result of this, vehicle cameras are affordable for all classes of vehicles. Moreover, these cameras are available under various types namely and purpose-built cameras. Thus, such factors are expected to propel the global vehicle cameras market growth over the forecast period.

Statistics:

Europe held dominant position in the global vehicle cameras in 2019, accounting for 42.6% share in terms of value, followed by APAC, North America and RoW respectively.

Figure 1: Global Vehicle Cameras Market Share (%), in terms of Value, By Region, 2019

Market Dynamics- Restraints

1. Stringent government sanctions on vehicle cameras in European countries are expected to restrain growth of the global vehicle cameras market during the forecast period

Although vehicle cameras are permitted in numerous countries, a lot of European countries have imposed sanctions on the use of vehicle cameras. These major countries include Germany, Switzerland, Austria, Portugal, and Sweden. The regulations restricting the use of vehicle cameras are in reference to data protection and other privacy laws in Europe. In Germany, although video recording in public places is allowed, posting of such videos on the internet is prohibited, as it violates privacy laws. Furthermore, presenting video footage from vehicle cameras is impermissible in the courts in Germany and Internet sharing of the videos recorded on vehicle cameras is subject to a fine of over US$ 379,500 in Germany as of October 2014.  Hence, these factors are expected to restrain growth of the market during the forecast period.

2. Limitations related to real-time image processing in surround view system are expected to hinder the global vehicle cameras market growth over the forecast period

There are several limitations when it comes to real-time image processing in the surround view system. It hinders the image quality, potentially hampering the primary function of vehicle cameras. As a result of this, the demand for a vehicle camera is being hindered. Hence these factors are expected to hamper the global vehicle cameras market growth over the forecast period.

Vehicle Cameras Market Report Coverage

Report Coverage	Details
Base Year:	2019	Market Size in 2019:	US$ 1,136.8 Mn
Historical Data for:	2016 to 2019	Forecast Period:	2020 to 2027
Forecast Period 2020 to 2027 CAGR:	11.3%	2027 Value Projection:	US$ 2,671.4 Mn
Geographies covered:	North America: U.S., Canada Latin America: Brazil, Argentina, Mexico, Rest of Latin America Europe: Germany, U.K., Spain, France, Italy, Russia, Rest of Europe Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, Rest of Asia Pacific Middle East: GCC Countries, Israel, Rest of Middle East Africa: South Africa, North Africa, Central Africa
Segments covered:	By Prices: Affordable, Mid-range, High-end. By End-user: Law Enforcement and Defense Vehicles, Private Vehicles, Transportation Vehicles, Others.
Companies covered:	Qrontech Co., Ltd. (Lukas), S. Will Industrial, Ltd., AIPTEK International, Inc., Hyundai MnSOFT, GoPro, Inc., Pittasoft Co., Ltd., DCS Systems Ltd. (RoadHawk UK), Garmin International, Inc., and Transcend Information, Inc.
Growth Drivers:	Government encouragement for installation of vehicle cameras Wide range of vehicle cameras
Restraints & Challenges:	Stringent government sanctions on vehicle cameras in European countries Limitations related to real-time image processing in surround view system

Market Opportunities

1. Partnership with automobile manufacturers can present major business opportunities

Vehicle cameras are expected to witness high demand in the near future, owing to increasing awareness regarding the use of vehicle cameras in major countries worldwide. Vehicle cameras are presently available as additional vehicle safety and security accessories. These cameras are purchased by the vehicle owners based on their needs. However, vehicle camera manufacturers are expected to find immense opportunities through partnerships with automobile manufacturers. Governments of different countries are focused on issuing regulations related to the mandatory use of vehicle cameras to ensure public safety on roads.

2. Untapped potential in emerging markets can provide lucrative growth opportunities

Vehicle cameras are majorly popular in few countries such as Russia, South Korea, Japan, and others. Countries such as Australia and the U.S. have stringent regulations and restrictions regarding automobile safety. Most of the recent regulations and automotive safety plans include clauses related to the installation of vehicle cameras in private as well as commercial vehicles. Thus, the penetration of vehicle cameras is expected to rise significantly in these countries during the forecast period.

Figure 2: Global Vehicle Cameras Market Value (US$ Mn), 2017 - 2027

The global vehicle cameras was valued at US$ 1,136.8 Mn in 2019 and is forecast to reach a value of US$ 2,671.4 Mn by 2027 at a CAGR of 11.3% between 2020 and 2027.

Market Trends

1. Vehicle cars with superior features

Vehicle camera manufacturers focus on the delivery of different real-time features along with video recording. The latest vehicle cameras are equipped with G-sensors, GPS, and other features. G-sensors are used to measure the movement of vehicles across all three axes, namely vertical, horizontal, and transverse. Vehicle cameras use G-sensors to detect sudden movement of vehicles and automatically save the footage. This helps to preserve records of any genuine incidents, ranging from vehicle collisions to intense braking and swerving. It can also be triggered by speed bumps, potholes, and other minor incidents.

2. Vehicle cameras with night vision is another trend

Vehicle cameras are designed to record various road incidents as a matter of evidence. However, most of the low-priced cameras are incapable of digital recording, especially under poor light conditions. The vehicle camera with infrared sensors is a compact thermal imaging camera that significantly helps in reducing the hazards of driving at night. Infrared-sensor-based cameras enable drivers to detect various hazards on the road, thereby reducing the risk of casualty.

Value Chain Analysis

Tier 1 Suppliers

Basic raw materials required for vehicle cameras are chipsets for video processing, batteries, image sensors, liquid crystal display (LCD) screens, etc. Vehicle camera manufacturers procure these raw materials from different tier 1 suppliers for production of vehicle cameras. Image sensors for vehicle cameras are usually bought from companies such as Sony Corporation and Samsung Electronics Co. Ltd. However, most vehicle cameras are equipped with the image sensors manufactured by Sony Corporation. Further, Ambarella, Inc. is among the common suppliers of video processing chipsets for these cameras. SanDisk Corporation and Samsung Electronics Co. Ltd. are popular suppliers of memory cards for vehicle cameras.

Global Vehicle Cameras - Impact of Coronavirus (Covid-19) Pandemic

Due to Covid-19 pandemic, many industries witnessed significant shift in their business. The automotive & transportation industry is amongst the most exposed verticals due to ongoing COVID-19 outbreak. COVID-19 is expected to have a significant impact on the supply chain and product demand in the automotive sector. The industry's concern has moved on from being centered on supply chain disruption from China to the overall slump in demand for automotive products. The demand for commercial vehicles is expected to slow down due to shutdown of all non-essential services. Furthermore, changes in consumer buying behavior owing to uncertainty surrounding the pandemic may have serious implications on the near future growth of the industry. Meanwhile, liquidity shortfall and cash crunch have already impacted the sales of fleet operators, which is further expected to widen over the next few months.

Competitive Section

Key players involved in the global vehicle cameras market are Qrontech Co., Ltd. (Lukas), S. Will Industrial, Ltd., AIPTEK International, Inc., Hyundai MnSOFT, GoPro, Inc., Pittasoft Co., Ltd., DCS Systems Ltd. (RoadHawk UK), Garmin International, Inc., and Transcend Information, Inc.

Key Developments

1. Major market players are focused on partnership and collaboration, in order to enhance the market presence. For instance, in January 2019, Hyundai MnSOFT partnered with Netradyne on HD map development for autonomous vehicles.
2. Key companies are involved in product launches, in order to expand the product portfolio. For instance, October 2019, GoPro, Inc. launched Hero8 Black and GoPro Max with dual lens 360⁰.