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Autonomous (Driverless) Car Market Size (2024 - 2029)

The autonomous vehicle market is poised for significant expansion, driven by advancements in technology and increasing regulatory focus on road safety. The market's growth is supported by the development of Level 2 and Level 3 autonomous cars, with expectations for broader acceptance of Level 4 and Level 5 vehicles by 2030. North America is anticipated to be a key region for market growth, with substantial investments from automakers and tech companies, while the Asia-Pacific region is also expected to experience growth due to rising demand in countries like China, Japan, India, and South Korea.

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Market Size of Autonomous (Driverless) Car Industry

Autonomous Driverless Cars Market Size
Study Period 2019 - 2029
Market Size (2024) USD 41.10 Billion
Market Size (2029) USD 114.54 Billion
CAGR (2024 - 2029) 22.75 %
Fastest Growing Market Asia-Pacific
Largest Market North America
Market Concentration Medium

Major Players

Autonomous Driverless Cars Market Major Players

*Disclaimer: Major Players sorted in no particular order

Autonomous Vehicle Market Analysis

The Autonomous Car Market size is estimated at USD 41.10 billion in 2024, and is expected to reach USD 114.54 billion by 2029, growing at a CAGR of 22.75% during the forecast period (2024-2029).

The COVID-19 pandemic has impacted the overall automotive sector, compelling automakers to reduce the output at their production plants. The pandemic has also affected the operations of many OEMs, ranging from production to R&D, and created short-term disruptions that have delayed autonomous cars' deployment and rollouts.

Due to increasingly stringent government regulations focusing on increasing road safety, more autonomous cars are being developed with highly advanced technologies integrated with smartphones and creating opportunities for market players to attract customers. The recent technological advancements in the fields of artificial intelligence, machine learning, and other sensors like RADAR, LIDAR, GPS, and computer vision, have enabled manufacturers to increase self-driving capabilities in cars.

At present, Level 2 and Level 3 autonomous cars are most prominent in the market, while Level 4 and Level 5 (as scaled by SAE) are expected to reach wider acceptance by 2030. As a result, the growth of these Level 2 and Level 3 cars is expected to propel the market during the forecast period.

North America is expected to play a significant role in the market, followed by Asia-Pacific and Europe. Major automaker companies, technology giants, and specialist start-ups across North America have started investing in developing autonomous vehicle (AV) technology. As demand for self-driving cars is picking up across countries like China, Japan, India, and South Korea, the Asia-Pacific region is also expected to witness growth over the forecast period.

Autonomous Vehicle Industry Segmentation

Autonomous or driverless cars can maneuver independently or with human assistance by sensing their nearby environment. The report covers the latest trends, the COVID-19 pandemic's impact, and technological developments in the market. The autonomous/driverless car market covers segmentation based on type and geography.

By type, the market is segmented into semi-autonomous vehicles and fully-autonomous vehicles. By geography, the market is segmented into North America, Europe, Asia-Pacific, and the Rest of the World. For each segment, market sizing and forecast have been done on the basis of value (USD billion).

By Type
Semi-autonomous Vehicles
Fully-autonomous Vehicles
By Geography
North America
Europe
Asia-Pacific
Rest of the World
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Autonomous (Driverless) Car Market Size Summary

The autonomous vehicle market is poised for significant growth, driven by advancements in technology and increasing demand for safer driving systems. The market is experiencing a surge in the development of semi-autonomous vehicles, particularly those with Level 2 and Level 3 capabilities, which are currently the most prevalent. These vehicles are being integrated with advanced technologies such as artificial intelligence, machine learning, and various sensors, enhancing their self-driving capabilities. The market's expansion is further supported by stringent government regulations aimed at improving road safety, which encourage the adoption of autonomous driving technologies. North America is expected to lead the market, with substantial investments from major automakers and technology companies, while the Asia-Pacific region is also witnessing growing demand, particularly in countries like China, Japan, India, and South Korea.

The market landscape is moderately consolidated, with significant collaboration and investment activities among key players, including automakers, hardware and software firms. Partnerships and strategic collaborations are becoming increasingly common as companies strive to develop and deploy autonomous vehicle technologies. Notable companies in the market include Volkswagen, Toyota, General Motors, Ford, Nissan, Daimler, BMW, Volvo, and Tesla, all of which are actively working on enhancing their autonomous driving offerings. The presence of established automotive clusters and technology hubs, particularly in North America, is facilitating the growth of the market. As the industry continues to evolve, the focus on developing fully autonomous vehicles is expected to intensify, with Level 4 and Level 5 vehicles anticipated to gain wider acceptance by the end of the decade.

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Autonomous (Driverless) Car Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Drivers

    2. 1.2 Market Restraints

    3. 1.3 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.3.1 Threat of New Entrants

      2. 1.3.2 Bargaining Power of Buyers/Consumers

      3. 1.3.3 Bargaining Power of Suppliers

      4. 1.3.4 Threat of Substitute Products

      5. 1.3.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Type

      1. 2.1.1 Semi-autonomous Vehicles

      2. 2.1.2 Fully-autonomous Vehicles

    2. 2.2 By Geography

      1. 2.2.1 North America

      2. 2.2.2 Europe

      3. 2.2.3 Asia-Pacific

      4. 2.2.4 Rest of the World

Autonomous (Driverless) Car Market Size FAQs

The Autonomous (Driverless) Car Market size is expected to reach USD 41.10 billion in 2024 and grow at a CAGR of 22.75% to reach USD 114.54 billion by 2029.

In 2024, the Autonomous (Driverless) Car Market size is expected to reach USD 41.10 billion.

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Autonomous Vehicle Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)