Driver Assistance System Market Overview
Global Driver Assistance System Market is projected to reach USD 45 Billion by 2027, growing at 15% CAGR during the forecast period.
The driver assistance system industry is in the embryonic stage and evolving at a substantial rate. The Driver Assistance System Market is dependent on demand trends of the automobile industry in terms of safety regulations, buyer's preferences, and lifestyle. The driver assistance system plays an essential role in reducing the rate of road accidents or casualties while taking care of pedestrian safety.
Resultantly, Driver Assistance System Market witness colossal traction across the globe. Besides, continually rising economic growth worldwide, along with the increasing demand for premium passenger cars and rising vehicle & driver safety concerns, drive the market growth. The introduction of safety & environmental regulations will also help the driver assistance industry grow over the forecasted period.
Over recent years, Driver Assistance System Market have gained significant market prominence, and hence, the demand for its different types is increasing. This trend is estimated to continue for the next seven years. Various governmental approaches towards automobile, driver, and passenger safety have imposed many regulations, mandating automakers to deliver vehicles with safety features installed.
Other factors supporting the growth of the global driver assistance system market are the range of advantages offered by driver assistance system types, regulations mandating driver assistance systems, and improving economic status globally. Driver assistance systems help drivers monitoring, warning, braking & steering, and others using technologies such as human machine interface (HMI), mobile security, telematics, and others.
Automated driving and collaborative driving integrated with intelligent transportation systems (ITS), vehicle control, and vehicle to everything communications (V2X), among others, are expected to grow in popularity over the next decade. Resultantly, driver assistance systems would play an increasing role in reducing vehicle accidents, delivering quick warnings for obstacles approach and hazards such as pedestrians, lane changes, and short braking distances.
COVID 19 hit the overall automotive industry, forcing automakers to reduce the output at their production plants. The disruption caused by the epidemic at key suppliers prompted various passenger car brands to cut back production in some areas. They were working very intensively on countermeasures and alternatives in order to minimize the impact.
However, luxury vehicle manufacturers and dealers have shifted their focus from the offline lead generation model to online sales. This initiative to engage with prospective buyers through digital channels proves to be a game-changer to the market growth. Despite the coronavirus crises continue, the demand for luxury vehicles is returning to normal, and subsequently, the DAS market is too picking up gradually.
Increasing Interest towards Vehicle Automation to Drive the Driver Assistance System Market
As roads are becoming busier day by day, driving risks are increasing too. This is increasing the preference for driver assistance systems among people. As a result of the proliferating popularity of DAS, automotive players are increasingly getting interested in vehicle automation. They are continually investing in advanced technological innovations. Also, the high demand for vehicles equipped with driver assistance systems fuel the expansion of the global Driver Assistance System Market
Additionally, the rise in demand for next-generation driving assistance systems with a safe human-machine interface to minimize human errors and avoid road casualties drives the growth of the Driver Assistance System Market. The incorporation of advanced technologies in the development of DAS and the improving economy worldwide are the key factors driving market growth. Advances in various data sources such as automotive imaging, LiDAR, radar, and image processing, among others, foster market growth.
High Installation and Maintenance Cost to Impede Driver Assistance System Market Growth
Despite the high growth prospects, the Driver Assistance System Market still witnesses significant push back. High installation and maintenance costs of driver assistance systems restrict market sales. Also, growing incidences of software failures in sensors are posing major challenges in driving assistance system's adoption.
Also, increased mental under load, fatigue, and reaction times, amongst others, about safety risks associated with the role changing from driver to the operator in hands-off assistance systems would present restrictions for the market growth.
Cumulative Growth Analysis
According to the AAA Foundation for Traffic Safety, advanced truck safety technologies, including video-based onboard safety monitoring systems, lane-departure warning systems, automatic emergency braking, and air disc brakes, have the potential to minimize the rate of truck-related collisions a year.
In another development, representatives from the automotive industry have proposed, at the UNECE, to regulate Level 2 hands-off lane-keeping assistance systems, aiming to keep the vehicle in the driving lane without requiring drivers to use their hands on the steering wheel. Also, the rising governmental focus on driver training to transition to autonomous vehicles would promote DAS features.
The Driver Assistance System Market report is segmented on the basis of types, technology, and regions.
Based on type, Driver Assistance System Market has been segmented into adaptive cruise control (ACC), intelligent park assist system (IPAS), lane departure warning system (LDWS), driver drowsiness system, blind-spot detection (BSD) system, tire pressure monitoring system (TPMS), night vision, global positioning system, adaptive front lighting, and others.
Among these, the ACC segment accounts for the largest market share. The driver drowsiness system segment accounts for the second-largest segment, which is projected to grow further at 27.69% CAGR during the forecast period. On the other hand, the IPAS segment accounted for USD 1828 million in 2018, and it is expected to post an impressive CAGR during the assessment period.
For the scope of the research, the Driver Assistance System Market report is segmented into,
APAC leads the Global Driver Assistance System Market
The Asia Pacific region dominates the global driver assistance system market, majorly due to the rapidly flourishing luxury vehicle market and increasing vehicle production. Besides, increasing awareness of the advantages of vehicle and driver safety systems impacts market growth positively. The APAC luxury vehicle market is anticipated to grow rapidly during the forecast period.
Developing economies, such as Japan, China, South Korea, and India, account for the largest market share due to the proliferating luxury vehicle demand and improving the lifestyle of the population in this region. Moreover, the well-established automobile industry in this region creates substantial opportunities for market players. Furthermore, increasing vehicle maintenance costs and safety concerns influence regional market growth.
With the mandatory regulations in the region for using certain driver assistance systems, Europe is estimated to exponentially drive the global Driver Assistance System Market during the forecast period. Additionally, the large presence of luxury car manufacturers in this region boosts the growth of the market.
Also, the increasing demand for technologically advanced vehicles and stringent passenger and vehicle safety regulations in this region creates substantial demand. The driver assistance system market in the European region is anticipated to grow significantly during the assessment period.
Highly competitive, the Driver Assistance System Market appears fragmented with the presence of several notable industry players. These players initiate strategic moves such as mergers & acquisitions, collaboration, innovation, and brand reinforcement to gain a larger competitive share.
List of Key Companies covered in this report
Dec.18, 2020 ---- Hitachi Automotive Systems, Ltd. (Japan), announced that its stereo camera, with lane keep assist & nighttime pedestrian detection features, has been adopted by Suzuki Motor Corporation for their mini passenger vehicle with enhanced safety features –XBEE, launched in October 2020.
In Japan, the Ministry of Land, Infrastructure, Transport, and Tourism (MLIT) and Ministry of Economy, Trade, and Industry (METI) are promoting widespread use of Driver Assistance System Market domestically and plan to make mandatory regulations for all new passenger vehicles to have collision avoidance brakes from 2021. In the wake of Japan's Ministry regulations, Hitachi's advanced ADAS technologies are expected to witness vast consumer demand.
Dec.17, 2020 ---- LeddarTech, a global leader in Level 1-5 advanced Driver Assistance System Market (ADAS) and automated driving (AD) sensing technology, announced a strengthened collaboration with Renesas by joining the R-Car Consortium. With the collaboration, partners would drive the development and promotion of an automotive ADAS reference platform.
The new platform combines LeddarTech's industry-leading raw data sensor fusion stack and LiDAR technology with Renesas' newly launched R-Car V3U, a best-in-class ASIL D system-on-chip (SoC) for ADAS and AD systems.
Nov. 21, 2020 ---- Luminar Technologies, the self-driving sensor startup, announced that it would supply laser-based lidar sensors for a test fleet of self-driving vehicles launched by Intel Corp's subsidiary, Mobileye, one of the world's largest suppliers of camera-based sensors used in ADAS. Mobileye is also developing high-definition maps for automated vehicles.
Dec.09, 2020 ---- GMC Sierra announced that the latest version of feature Super Cruise hands-free driver assistance technology would be available on the GMC Sierra 1500 Denali late in the 2022 model year. Super Cruise1 driver assistance technology, including the introduction of the ability to trailer while driving hands free is the industry's first true hands-free driver assistance system.
|Market Size||USD 45 Billion|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type, Technology|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Gentex Corporation (US), Delphi Automotive Plc. (UK), Autoliv Inc. (Sweden), Hitachi Ltd (Japan), Continental AG (Germany), Magna International (Canada), Hella Kgaa Hueck & Co. (Germany), Robert Bosch Gmbh (Germany), Texas Instruments Inc. (US), Renesas Electronics Corporation (Japan)|
|Key Market Opportunities||Continually rising economic growth worldwide, along with the increasing demand for premium passenger cars and rising vehicle & driver safety concerns.|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
At 22.90% CAGR, the driver assistance systems market can value at USD 112.69 Bn by 2027.
Autoliv Inc. (Sweden), Hitachi Ltd (Japan), Continental AG (Germany), and Magna International (Canada) are some reputed companies of the driver assistance system market.
The rise in need for reduction of road casualties can cause the driver assistance system market to generate high revenue.
The presence of mandatory automotive rules in Europe is expected to cause the driver assistance system market to thrive.
MRFR study estimated a valuation of above USD 45 Billion by 2027.
At 23.67% CAGR, the Europe driver assistance system market can surge in the forecast period.