ADAS and AV software and hardware revenues ‘to exceed US$35 billion by 2020’

A new study from Juniper Research forecasts that the advanced driver assistance systems (ADAS) and autonomous vehicle (AV) market will reach a total global value of US$35 billion in 2020, before representing a fourfold increase to reach US$144 billion in revenues by 2025.
January 9, 2017 Read time: 2 mins

A new study from 7194 Juniper Research forecasts that the advanced driver assistance systems (ADAS) and autonomous vehicle (AV) market will reach a total global value of US$35 billion in 2020, before representing a fourfold increase to reach US$144 billion in revenues by 2025.

The research, Autonomous Vehicles & ADAS: Adoption, Regulation & Business Models 2016-2025, found that whilst ADAS still lacks significant mass market penetration, its adoption is set to increase rapidly over the next five years driven by a number of factors:

Safety agency specifications will become more stringent, particularly with respect to vulnerable road users such as pedestrians. Juniper recommends that OEMs will need to invest in more sophisticated ADAS systems to obtain the coveted 5* ratings.

There is also increasing interest in AV by governments around the world due to safety and environmental reasons. In addition, the research found that commercial companies such as ride-sharing service providers will lead adoption of AV technology, enabling them to significantly reduce their operating costs.

Reduction in hardware costs, particularly sensors, will lead to commoditisation of ADAS systems.

The research found that although issues concerning performance and reliability exist today, increased sensor integration and the widespread adoption of sensor-fusion will lead to system redundancy and improved safety and reliability. Juniper believes that standardisation of components will accelerate this process.

Location Based Systems

Related Content

  • Biometric wearables ‘to disrupt the automotive industry’
    November 18, 2016
    Advances in biometrics will radically transform the driving experience, health wellness and wellbeing (HWW) and security of vehicles by 2025, according to Frost and Sullivan. As one in three new passenger vehicles begin to feature fingerprint, iris, voice and gesture recognition, heart beat and brain wave monitoring, stress detection, fatigue, eyelid and facial monitoring and pulse detection, these will be driven by built-in, brought-in and cloud enabled technologies, the automotive biometrics network wi
    Read More
  • Lidar more use in ADAS than AVs, says Cepton
    September 18, 2020
    Silicon Valley start-up says it is already deploying Lidar with automotive manufacturers
    Read More
  • Can ADAS impact middle-income countries?
    September 20, 2013
    Recent research by SBD shows that road-related fatalities are the eighth leading cause of death globally with more than a million people dying each year. Middle income countries, which include most ASEAN economies, account for 72 per cent of the world’s population and contribute to about 80 per cent of road traffic fatalities.
    Read More
  • Global automotive aftermarket boosted by eRetailing, telematics, says research
    July 25, 2017
    Global Automotive Aftermarket Outlook, recent research from Frost & Sullivan, indicates that penetration of eRetailing in the automotive aftermarket is increasing significantly and is expected to cross US$21 billion globally by the end of 2017. The study provides an overview of the global automotive aftermarket and its growth opportunities. Main industry trends, growth prospects, VIO, eRetail dashboards, country snapshots, and opportunities in North America, Europe, China, India and Latin America are provid
    Read More

Highlighted Content