The global automotive radar market is experiencing significant growth as consumers and governments prioritize vehicle safety amid rising road traffic fatalities. According to the World Health Organization, road traffic accidents claim the lives of 1.35 million people annually, with the African region having the highest fatality rate. In response to this alarming statistic, automakers are turning to advanced radar technology to enhance safety features in vehicles, particularly in regions with the greatest need.
Increasing Awareness Fuels Demand for Safety Features
With a growing awareness of the need for vehicle safety, consumers are demanding advanced safety features in their automobiles. This trend is further accelerated by improved consumer spending capacity and evolving lifestyle preferences. As a result, the automotive radar market is experiencing rapid growth.
Financial Schemes Drive Demand for Premium Vehicles
Financial institutions are offering attractive financing options for premium segment cars, leading to a surge in demand for these vehicles. Banks are providing up to 100% funding for new car loans, contributing to the increased adoption of automotive radar systems in premium vehicles.
Urbanization and Hub-and-Spoke Architecture Fuel Growth
Urbanization and the development of hub-and-spoke transportation networks have led to a significant increase in commuting between rural and urban areas. This shift has driven the registration of millions of new vehicles, many of which are equipped with advanced safety features like adaptive cruise control and autonomous emergency braking.
Technological Innovations Enhance Safety
Technological advancements and the integration of Artificial Intelligence (AI) in electronic components have led to safer vehicles. Features such as lidar, automotive radar with cloud storage, and wireless communication are creating a safer driving environment. Applications like adaptive cruise control, blind spot detection, and lane change assist are gaining popularity, driving the growth of automotive radar systems.
Challenges in Price and Complexity
While demand for automotive radar systems is rising, challenges remain. The installation of premium applications like radar can increase the overall price of vehicles, deterring some consumers. Additionally, the complexity of these systems requires skilled workers for servicing, posing another challenge to adoption. The COVID-19 pandemic and resulting lockdowns have also impacted the automotive industry and temporarily slowed demand for radar and similar technologies.
Government Regulations Drive Europe’s Dominance
Stringent regulatory frameworks in Europe, aimed at improving vehicle safety, are expected to drive the growth of the automotive radar market in the region. The expansion of the premium vehicle segment in Europe is further boosting the market. Meanwhile, Asia Pacific is seeing notable developments, driven by rising vehicle sales and increased consumer awareness in developing countries.
Long-Range Radar with Autonomous Emergency Braking in Demand
The automotive radar market is categorized based on radar sensor range, frequency, vehicle type, and application type. Long-range radars, used for adaptive cruise control, are expected to see increased adoption, particularly in mid- and entry-level cars. Radar with a frequency of 79 GHz is expected to dominate the market due to its capabilities in blind spot monitoring and comprehensive vehicle surroundings mapping. Autonomous emergency braking is anticipated to be the most in-demand application, supported by government initiatives and investments from automakers.
Industry Players Focus on Compact and High-Performance Radars
Key players in the automotive radar market, including NXP Semiconductors, Robert Bosch GmbH, Autoliv Inc, and Continental AG, are investing in the development of compact and high-performance radar systems, driven by the electrification of vehicles. Inter-country partnerships and collaborations are becoming more common, enhancing the growth of the global automotive radar market. Premium automaker partnerships are also expected to accelerate the adoption of automatic radar systems in the future.
Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2023-2030 – By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Africa) https://www.fairfieldmarketresearch.com/report/automotive-radar-market
Fairfield Market Research is a UK-based market research provider. Fairfield offers a wide spectrum of
services, ranging from customized reports to consulting solutions. With a strong European footprint, Fairfield operates globally and helps businesses navigate through business cycles, with quick responses and multi-pronged approaches. The company values an eye for insightful take on global matters, ably backed by a team of exceptionally experienced researchers. With a strong repository of syndicated market research reports that are continuously published & updated to ensure the ever-changing needs of customers are met with absolute promptness.
Fairfield Market Research
UK +44 (0)20 30025888
USA (Toll-free) +1 (844) 3829746
This press release first seen on Brilad