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

For more information on companies in this article

Related Content

  • Iteris first quarter 2015 revenues up
    October 17, 2014
    Iteris has reported total revenues of US18.1 million for its fiscal first quarter 2015, up six per cent over the same quarter a year ago. This was primarily driven by a 20 per cent increase in roadway sensors. iPerform revenues were also up 15 per cent, while transportation systems revenues were down seven per cent, but added US$10.1 million in new contracts The increase in roadway sensors revenues was largely attributable to the success of various growth initiatives, including increases in the distribut
    Read More
  • Government targets ‘too conservative’ as 1 in 5 plan to embrace electric cars
    July 20, 2017
    Electric vehicle uptake may increase over the next few years to levels far above UK Government targets. In research undertaken by Baringa Partners, nearly a fifth of people said they would consider buying an electric vehicle for their next car, double the Government goal for electric cars to make up nine per cent of the fleet by 2020. However, concerns over purchase price and range mean nearly a third of people believe electric cars will never overtake petrol and diesel vehicles. Baringa is urging the Gover
    Read More
  • Traffic management market ‘to surpass US$22 billion by 2021’
    May 9, 2016
    Increasing traffic congestion, rising vehicle fleet size and growing technological advances will drive global traffic management market through 2021, according to the latest TechSci Research report, Global Traffic Management Market by Transportation Mode, By System Type, By Region, Competition Forecast and Opportunities, 2011-2021. According to the research, the global market for traffic management is projected to surpass US$22 billion by 2021, due to rising demand for traffic management in roadways, ra
    Read More
  • Pedestrian detection tech is big in Japan - and now coming to US
    June 13, 2024
    Sumitomo Pedestrian Detection sensor will be integrated into Iteris ClearMobility platform
    Read More

Highlighted Content