AUTOMOTIVE COLLISION AVOIDANCE SYSTEM MARKET ANALYSIS

Global Automotive Collision Avoidance System Market size was valued at US$ 62.7 Billion in 2022, exhibiting a compound annual growth rate (CAGR) of 6.9% from 2023 to 2030.

Collision avoidance systems are safety systems that are used for reducing the severity of an accident. These systems are increasingly being deployed in various applications such as aerospace, marine, industrial robotics, and unmanned autonomous vehicles to ensure enhanced safety. Collision avoidance system primarily integrates radar, rear and front-mounted cameras, and ultrasonic sensors to constantly monitor the vehicular traffic ahead and behind the vehicle immediately. The system constantly scans the immediate surroundings of the vehicle and alerts the driver if it detects any impending collision or if the vehicle veers off the road. If the driver fails to respond, it may deploy emergency brakes to avert a collision. Increasing installation of sensor technology in automotive vehicles and increasing road accidents are some of the major factors driving the growth of the global automotive collision avoidance system market.

Global Automotive Collision Avoidance System Market- Regional Insights

Europe and North America accounted for a major share in terms of revenue and is expected to maintain their position over the forecast period. According to regulations of the European New car assessment program, vehicles are required to install emergency braking system for improvement of safety. Stringent government rules and regulations by various countries in these regions is a key factor driving the growth of the target market. The market in Asia Pacific is expected to register lucrative growth in terms of revenue in the near future. Increasing demand for luxury cars, coupled with increasing focus on road safety and government regulation in developing countries(germany,china,and others) are factors fueling the growth of the target market in this region. In addition, rising disposable income and increasing standards of living are also factors anticipated to support the growth of the collision avoidance system in Asia Pacific over the forecast period.

Figure 1. Global Automotive Collision Avoidance System Market Share (%), By Region, 2022

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Global Automotive Collision Avoidance System Market- Impact of Coronavirus (COVID-19) Pandemic

Global Automotive Collision Avoidance System Market is quickly reaching its pre-COVID levels and a healthy growth rate is expected over the forecast period driven by the economic revival in most of the developing regions such as North America, Europe and others. Frequent suspension of public transport systems coupled with the highly contagious nature of the virus propelled the need for passenger cars leading to the derived demand for Automotive Collision Avoidance System products.

Global Automotive Collision Avoidance System Market- Drivers

Growing Consumer Demand for Safety Features:

With rising awareness about road safety, consumers are increasingly prioritizing safety features when purchasing vehicles. Collision avoidance systems, such as forward collision warning, lane departure warning, and blind spot detection, are becoming popular among car buyers, driving the demand for these systems. For instance, various initiatives by government of different countries to improve the safety systems onboard a car are being considered major growth factors. For instance, the National Transportation Safety Board (NTSB) of the United States released a list of the 10 most wanted transportation safety improvements at the beginning of 2021. This list suggests incorporating technologies that can be equipped to the vehicles for passenger safety.

Increasing Adoption of Autonomous Vehicles:

The development and deployment of autonomous vehicles are on the rise, and collision avoidance systems are a critical component of their safety systems. As autonomous driving technology progresses, collision avoidance systems will play an even more significant role in ensuring the safety of both passengers and pedestrians.However,many companies are investing in autonomous cars and vehicles,for instance,In September 2021, General Motors Co's venture capital arm announced an investment in a startup Oculii based in the US. Which develops software for radar sensors for Autonomous / Self-driving cars . This investment will allow GM to use Oculli's low-cost software to boost the resolution of radars and scale up its partially automated vehicles and fully Autonomous / Self-driving cars .

Overall, the global Global Automotive Collision Avoidance System Market is primarily driven by the need for improved road safety, consumer demand for safety features, technological advancements, and the growth of autonomous vehicles, insurance incentives, increasing accidents, and cost-effectiveness. These factors are expected to continue shaping the market and driving its expansion in the coming years.

Global Automotive Collision Avoidance System Market- Opportunities

Growing Demand for Connected Cars:

The increasing popularity of connected cars and the Internet of Things (IoT) in the automotive industry create opportunities for collision avoidance systems. Connected cars can leverage real-time data from various sources such as other vehicles, traffic infrastructure, and cloud-based platforms to enhance collision detection and prevention capabilities. For instance, HARMAN, audio electronics company has announced HARMAN Savari MECWAVE, an ultra low-latency edge-based compute platform for turn-key connectivity. MECWAVE speeds up the deployment of vehicle-to-everything (V2X) communications, such as hazard alerts, and highthroughput connectivity experiences like interactive infotainment and video streaming. MECWAVE also extends V2X capabilities to vehicles and devices that are not V2X capable, such as bikes and scooters, as well as mobile and wearable devices.

Expansion in Emerging Markets:

Emerging economies, such as China, India, and Brazil, are witnessing a rapid increase in vehicle sales. As the automotive market in these regions grows, there is a significant opportunity for collision avoidance system manufacturers to expand their presence and tap into the rising demand for advanced safety technologies.

In May 2022, Toyota Group, automotive company revealed plans to invest INR 48 billion (USD 624 million) in India to manufacture electric vehicle components.

Overall, the global Global Automotive Collision Avoidance System Market offers numerous opportunities driven by increasing safety awareness, regulatory support, technological advancements, the growth of connected cars and autonomous vehicles, expansion in emerging markets, and collaboration among industry players. Companies that can capitalize on these opportunities are likely to experience substantial growth in the market. The market for collision avoidance systems would also expand as premium cars and sports utility sales rise. Improvement of vehicle safety systems is a goal of several government projects.

Global Automotive Collision Avoidance System Market- Trends

Increasing Demand for ADAS

The advanced driver assistance system (ADAS) market is expected to register huge growth during the forecast period. Increasing safety campaigns by different organizations and large-scale OEMs are significant factors for the increased public awareness of vehicle safety. Rising awareness among customers is leading to a growth in the demand for vehicles with autonomous and advanced safety features. Government norms and policies are also boosting the sales of the ADAS market. US and European authorities have made installing automotive emergency braking (AEB) and forward collision avoidance/warning systems mandatory up to a certain level in both passenger cars and all commercial vehicles from 2020.

In January 2021, Aptiv PLC launched its next-generation ADAS platform. It formalizes the interfaces for sensors and feature functions. The platform enables extensive reuse of base

software components, lowering development costs. It works flawlessly with a zonal

architecture in which I/O and compute are separated.

Global Automotive Collision Avoidance System Market- Restraints

Sales of collision avoidance systems are being hampered by a number of issues, including high cost, poor awareness, privacy concerns, and security. Installing collision avoidance technology is expensive, especially in old and small cars.  Their high cost could limit market growth and prevent widespread adoption. Technical problems with them, such as poor accuracy and false alerts, limit the use of current collision avoidance technologies. Standards for collision avoidance systems still cannot be agreed upon by various countries and regions. It would be difficult for manufacturers to design new systems that can be sold everywhere. Integrating collision avoidance systems with other vehicle systems is challenging. Another barrier to market expansion is a lack of knowledge about collision avoidance systems and their benefits, particularly in developing countries.

Figure 2. Global Automotive Collision Avoidance System Market Share (%), By Segment, 2022

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Global Automotive Collision Avoidance System Market- Segmentation

The Global Automotive Collision Avoidance System Market report is segmented into technology, device and region.

Based on technology, the market is segmented into LiDAR, Radar, Ultrasonic, and Camera. Among technology, radar segment accounted for share of 40.03% in 2022, and is expected to witness significant growth during the forecast period. The radar technology helps in safe driving.Thus, companies are investing to produce radar sensors. For instance,  In August 2020, Continental manufactured 30 million radar sensors to support safe driving by using collision avoidance systems.

Based on Device type, the market is segmented into Adaptive Cruise Control (ACC), Autonomous Emergency Braking (AEB), Blind Spot Detection (BSD), Driver Monitoring System (DMS), Electronic Stability Control (ESC), Lane Departure Warning (LDW), Night Vision (NV), Tire Pressure Monitoring System (TPMS).

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America, Middle east and asia.

Global Automotive Collision Avoidance System Market: Key Developments

In April 16, 2020 Infineon Technologies AG announced today the closing of the acquisition of Cypress Semiconductor Corporation. The San Jose-based company has become part of Infineon effective as of the Closing.

In November 2020, Infineon Technologies AG, Germany's largest semiconductor manufacturer and GT Advanced Technologies (GTAT), producer of silicon carbide and sapphire crystal materials for expanding markets such as electric vehicles, power electronics, aerospace and 5G telecom have signed a supply agreement for silicon carbide (Sic) boules. The contract has an initial term of five years. With this supply contract, the German semiconductor manufacturer adds a further element to secure its growing base material demand in this area.

In May 2021, Toyota Motor Corp, a Japanese multinational automotive manufacturer has announced a partnership agreement with ZF and Mobileye to develop and supply advanced driver assistance systems (ADAS) for use in upcoming multiple vehicle platforms for the Toyota Group.

In April 2022, Hyundai Mobis, a South Korean car parts company has introduced brainwave technology to avoid accidents caused by driver negligence. Using driver monitoring technologies based on brain waves might reduce risky circumstances.

In January 2023, the Delco Remy 150MT starter was launched by Borgwarner Inc., an American automotive supplier at Heavy-duty Aftermarket 2023. The high-performance power pack of Delco Remy 150MT enhances performance for quick engine starts. It further facilitates battery loading and various vehicle power sources. The 150MT covers practically every 12-volt and 24-volt application. It takes the help of an adjustable flange design. The integrated over-crank protection is a built-in circuit breaker that safeguards the starter from heat damage. It will also be available to aftermarket consumers.

Global Automotive Collision Avoidance System Market: Key Companies Insights

Companies operating in the Automotive Collision Avoidance System business are strategizing moves to enhance their market share highlighting their USP(Unique selling proposition) statements, diversifying product portfolio, and adding attractive features being a few of the key winning strategies.

Key players operating in the global automotive collision avoidance system market are Alstom SA, Autoliv, Inc., Denso Corporation, General Electric Company, Hexagon AB, Honeywell International, Inc., Robert Bosch GmbH, Rockwell Collins, Inc., Siemens AG, and Wabtec Corporation.

*Definition: Collision avoidance systems are safety systems that are used for reducing the severity of an accident. These systems are mostly implemented in the automotive, construction, and mining sectors among others. The collision avoidance system uses a laser, camera, radars, LIDAR, and sensors to detect a forthcoming crash and alerts the driver about an imminent collision. Sometimes, it automatically takes the action without the input of the driver. Collision restraint arrangements are consolidated within cars by significant automobile manufacturers globally, such as Audi, BMW, Cadillac, Fiat, Hyundai, Mitsubishi, Nissan, Toyota, Volkswagen, Mercedes-Benz, Ford, Honda, and General Motors among others.