Automatic Number Plate Recognition Market

The growing use of ANPR systems in security and surveillance, and traffic enforcement applications is driving the market growth

Market CAGR for automatic number plate recognition (ANPR) is being driven by the rising use of ANPR services in security, and surveillance, and traffic implementation applications. The adoption of ANPR systems in this field has grown to monitor terrorist, criminal offenses, and fraud. It plays a crucial role in locating stolen vehicles and vehicles that are involved in criminal offenses, have been on the defaulter's list for toll collection, has violated traffic laws, and have expired insurance policies. Increased funding by the government for intelligent transport systems plays a vital role in boosting market growth.

The ANPR systems are installed above the roof of the car, allowing them to read at high speeds and can process the information processed in a dedicated black box that is installed in the trunk of the vehicle. This advanced technology helps the car of patrol police to extract, detect, and research number plates on the go. In order to get real-time and large-scale monitoring and effective research for incidents that are related to terror or crime, the ANPR cameras are placed in fixed locations across the cities.

The US and the UK are the developed nations that are actively utilizing fixed and mobile ANPR services for security and surveillance and traffic enforcement applications. These systems can be used in tracking traveling criminals and terrorist organized crime groups. In order to collect the proof and lines of inquiry in investigating crime, law enforcement agencies utilize automatic number plate recognition services. The end users make use of ANPR service to make sure better security, traffic regulations, and surveillance.

These systems have high demand in government organizations, law enforcement, defense, and security, and commercial as well as private business. The government and traffic regulations initiatives to improve road safety by using ANPR have increased. A large number of manufacturers are investing in their R&D activities to come up with software that will read and document the license plates without the need for operation by humans. The ANPR industry is experiencing a drastic transformation because of proliferating automation. The manufacturing facilities against malicious activities of criminal is safeguarded with the access control of unauthorized vehicles.

The manufacturers are also innovating in ANPR-integrated parking ticketing systems through AI and cognitive intelligence technologies. Thus, boosting the Automatic Number Plate Recognition (ANPR) market revenue.

The Global Automatic Number Plate Recognition (ANPR) Market Industry experiences a surge in demand for efficient traffic management solutions. Governments and municipalities are increasingly adopting ANPR systems to monitor traffic flow, reduce congestion, and enhance road safety. For instance, cities like London have implemented ANPR technology to manage congestion charges effectively. This trend is expected to contribute to the market's growth, with projections indicating a market value of 4.5 USD Billion in 2024. The integration of ANPR with smart city initiatives further underscores its relevance in contemporary urban planning.

By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The European Automatic Number Plate Recognition (ANPR) market area dominates the market due to the rapid industrialization of different traffic monitoring devices on bridges, tunnels, and highways. The IoT-enabled solution for configuring ANPR equipment with a traffic monitoring device is gaining popularity. The rapid digitization of traffic monitoring systems is boosting the market.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: The AUTOMATIC NUMBER PLATE RECOGNITION (ANPR) MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

North American Automatic Number Plate Recognition (ANPR) market accounts for the second-largest market share due to the strict government rules related to traffic enforcement and the availability of a huge number of market players in the region. Further, the US Automatic Number Plate Recognition (ANPR) market has the highest market share, and the Canadian Automatic Number Plate Recognition (ANPR) market was the fastest-growing market in the region.

The Asia-Pacific Automatic Number Plate Recognition (ANPR) Market is expected to grow at the rapid CAGR from 2023 to 2032. This is due to the increasing demand of the ANPR technology and growing public infrastructure, and high construction activities. Moreover, China’s Automatic Number Plate Recognition (ANPR) market has the largest market share, and the Indian Automatic Number Plate Recognition (ANPR) market was the fastest-growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development in order to spread their product lines, which will help the Automatic Number Plate Recognition (ANPR) market grow even more. Market participants are also undertaking a various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Automatic Number Plate Recognition (ANPR) industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in Automatic Number Plate Recognition (ANPR) industry to benefit clients and increase the market sector. In recent years, the Automatic Number Plate Recognition (ANPR) industry has offered some of the most significant advantages to safety.

Major players in the Automatic Number Plate Recognition (ANPR) market, including Q-Free ASA, Genetec Inc., Honeywell Automation India, Kapsch TrafficCom, TagMaster, Siemens AG, Conduent Inc., Axis Communication, ARH Incorporation, Bosch Security Systems, Digital Recognition Systems Ltd, ELSAG North America LLC, HikVision, and others, are attempting to increase market demand by investing in research and development operations.

Genetec Inc., founded in 1997, is headquartered in Montreal, Canada, provides the AutoVu automatic license plate recognition (ALPR) system, and serves enterprise and government organizations through an integrated network of resellers. It develops open-platform software, cloud-based services, and hardware for the security and public safety industry. The company deals with different applications, including law enforcement and municipal and commercial organizations. The company provides IP video surveillance, access control, and automatic number plate recognition solutions together in a single platform called Security Center. It also manufactures and provides security equipment.

In October 2019, the next-generation mobile automatic license plate recognition solutions were introduced by Genetec Inc. Integrated with Intel's Vision processing unit technology.

Q-Free ASA, founded in 1984, and headquartered in Trondheim, Norway, provides products relating mainly to electric toll collection for congestion charging, truck-oiling, road financing, and parking/access control. Q-Free, for effective, eco-friendly, and safe transportation, was developed depending on modern technology and open platforms. In May 2020, vehicle analytic solutions were developed for its automatic number plate recognition portfolio for vehicle color, class, model, etc., to be recognized.