The global autonomous cars market
was valued at US $9.91 billion in 2017, and is expected to increase to US $86.85 billion by 2026, registering a CAGR of 36.6% over the forecast period from 2018 to 2026, according to Autonomous Cars Market Report, by Level of Automation (Level 1, Level 2, Level 3, Level 4, and Level 5), by Application ( Passenger Cars, Public Transportation, Commercial Applications, and Air Taxis), and by Region (North America, Europe, Asia Pacific, Latin America, Middle East, and Africa) published by
Increasing demand for cars with advanced safety, comfort, and convenience systems is expected to contribute towards growth of the autonomous cars market. The demand for autonomous cars is expected to increase in emerging countries such as India and China, owing to increasing urbanization, huge customer base, and growing infrastructure suitable for driving autonomous cars in these countries. This in turn is expected to boost growth of the autonomous cars market. Autonomous cars can also offer cost effective public and commercial transportation including transportation of goods. Moreover, increasing use of autonomous air taxis is also expected to beneficial for medical emergencies.
Major restraining factors for the growth of the global autonomous cars include, high cost of these cars and their embedded systems and cyber security. Moreover, stringent government norms regarding the use of autonomous vehicles for public use are also expected to hamper the market growth. For instance, in May 2016, a Tesla Model S car was involved in an accident in Central Florida, U.S., leading to the death of the user. This led to several countries including the U.S. and New Zealand implementing regulations for autonomous vehicle testing.
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Browse 150 market data tables* and 90 figures* on “Autonomous cars” - Global forecast to 2026.
Key Takeaways of the Global Autonomous Cars Market:
- North America held dominant position in the global autonomous cars market in 2017, and is projected to retain its dominance throughout the forecast period. This is owing to government initiatives and increasing disposable income in this region. For instance, in 2016, the U.S. Department of Transportation's National Highway Traffic Safety Administration officially announced that automakers in the U.S. have to make the autonomous emergency braking system a standard feature for all cars and trucks by 2022.
- Asia Pacific is expected to be the fastest growing market throughout the forecast period, owing to rapid urbanization and industrialization in various emerging economies such as India and China due to increasing GDP. For instance, according to World Bank Group, in 2017, per capita income of China increased from 6.7% in 2016 to 6.9% in 2017. This in turn indicated increasing disposable income, leading to high expenditure on luxury vehicles.
- Among level of automation, the level 1 segment held dominant position in the market in 2017, and level 4 segment is expected to be the fastest growing segment during the forecast period. Increasing demand for fully automated vehicles is the major reason for growth of these segments.
- Among application, passenger car segment is expected to be the fastest growing segment throughout the forecasted period. This is owing to increasing preference of autonomous cars for personal use these vehicles offer mobility to individuals who cannot drive and do not have ready access to a car.
- Major players operating in the global autonomous cars market include, General Motors Company ,Alphabet, Inc., Volkswagen Group, BMW AG, Renault SA, Tesla, Inc., Aptiv, Plc., Audi AG, Hyundai Motor Company, Honda Motor Company, Ltd, Toyota Motor Corporation, Daimler AG (Mercedes Benz),Kia Motor Corporation, and others.