AUTONOMOUS CAR MARKET ANALYSIS

There are several technological challenges currently inhibiting the mass adoption of autonomous vehicles. Sensors need to become more accurate at interpreting situations like construction zones and emergency vehicles. Software must be able to handle any road conditions and anticipate unexpected movements of pedestrians, cyclists and other vehicles. High definition maps still need improvements to provide fully driverless capabilities in new areas. Public perception of safety remains an obstacle as well, as does the issue of high development costs which has made autonomous technologies available only in premium models so far.

Market Opportunities: Reduction in accidents and associated insurance cost

However, the potential for growth in this industry is enormous. As the technology becomes more advanced and the costs decrease due to maturing sensors and software, there will be opportunities to expand into mainstream brands and models. Ride-sharing networks and delivery fleets are potential early adopters. For many, particularly the elderly and disabled, autonomy opens the door to independent transportation. Automakers see a future of mobility services as a new revenue stream.