Thanks to advancements in sensors, artificial intelligence (AI), and machine learning (ML), autonomous driving technology is gaining immense traction. As per the latest analysis, the global autonomous vehicle industry is projected to record a robust CAGR of 39.9% during the forecast period, totaling a valuation of US$ 1,529.69 billion by 2030.
Top autonomous vehicle manufacturers, including Audi AG, General Motors, Tesla, Inc., Nissan Motor Company, BMW AG, Ford Motor Company, and Daimler AG are employing different strategies to stand out from the crowd. For instance, they are constantly striving to develop prototypes of fully self-driving cars integrated with advanced technologies like AI and ML.
Many companies are using tactics like acquisitions, partnerships, and mergers to gain a competitive edge. Further, new autonomous vehicle manufacturing facilities are being opened in attractive regions to capitalize on emerging opportunities in the self-driving car space.
Recent Developments
In October 2024, Tesla unveiled much-awaited robotaxi, Tesla Cybercab. The new model is planned to be fully autonomous, having no steering wheels or pedals. Tesla’s CEO Elon Musk announced that production of Tesla Cybercab will likely start before 2027. This development highlights the company’s commitment to advancing autonomous driving, creating safer roads, and transforming the transportation industry.
Similarly, in June 2024, Nissan started demonstrations of a prototype, Nissan LEAF, equipped with in-house-built, autonomous drive technologies. The new prototype comes with 14 cameras, 6 LiDAR sensors, and 10 radars, highlighting the company’s progress in the field of autonomous driving, particularly within complex urban environments.
Growth Factors and Trends Impacting Growth of Autonomous Vehicle Industry
The global autonomous vehicle industry is poised to experience robust growth during the assessment period. This is attributable to factors like growing popularity of autonomous driving and rising emphasis on improving road safety.
Increasing investments in research and development for producing fully autonomous vehicles is also expected to boost the self-driving vehicle. Similarly, introduction of new government regulations and laws to facilitate safe AV deployment will likely support industry expansion.
In recent years, there has been a spike in road accidents globally, particularly due to human error. This is creating a high need for enhanced road safety, eventually propelling sales of autonomous vehicles.
Autonomous vehicles use advanced technologies like AI and sensors to navigate without human involvement. They offer benefits such as enhanced safety, reduced traffic congestion, and greater accessibility.
A prominent trend expected to boost sales growth is the widening applications of autonomous vehicles in the commercial transport segment. Many companies are shifting their focus towards developing autonomous vehicles for logistics, ride-sharing, and delivery services.
“Ongoing innovations in AI algorithms and sensor technologies are paving the way for the development of more reliable and safe autonomous driving systems. This will positively impact the global autonomous vehicle industry in the coming years,” says a lead analyst at Coherent Market Insights.
Regional Insights
North America is anticipated to record significant growth during the forecast period owing to growing adoption of self-driving cars and rapid expansion of mobility as a service sector. Amendments in traffic regulations for incorporating autonomous cars on public roads will likely boost sales growth through 2030.
