Skip to main content

Level 4/5 autonomous driving will be possible in the next five years, says research

Growing consumer preference for convenience-enhancing technologies and automobiles-as-a-service options helped double the adoption of vehicles with automated driving features in 2016, says Frost & Sullivan’s mobility team. Going forward, large-scale investments from original equipment manufacturers (OEMs) will refine the use of artificial intelligence (AI) and cognitive cloud-based technology solutions even further, enabling level 4/5 autonomous driving within the next five years. Retrofitted automated driv
May 9, 2017 Read time: 2 mins
Growing consumer preference for convenience-enhancing technologies and automobiles-as-a-service options helped double the adoption of vehicles with automated driving features in 2016, says 2097 Frost & Sullivan’s mobility team.


Going forward, large-scale investments from original equipment manufacturers (OEMs) will refine the use of artificial intelligence (AI) and cognitive cloud-based technology solutions even further, enabling level 4/5 autonomous driving within the next five years. Retrofitted automated driving solutions and deployment in shared mobility (taxi) platforms will experience robust growth.

“With the introduction of automated driving taxis to support shared mobility business models, the commercial entry of level 4 vehicles is expected by as early as 2020,” said mobility senior analyst Anirudh Venkitaraman. “In the European and North American markets, the introduction of level 3 automation by 2018, driven by over-the-air updates from 8534 Tesla, will strengthen the initial take rates for the technology. Pilot offerings from 2125 Audi, 1731 BMW, and Mercedes-Benz will soon follow, taking the product into the premium market.”

The report, Global Autonomous Driving Market Outlook 2017, finds that the global autonomous driving market will be worth US$83 billion by 2025. The study examines the top trends in the automated driving market, including developments like growing usage of driver assistance, new solutions, robot taxis, cognitive cloud computing, and adoption of mechanical light detection and ranging (LiDAR) for perception improvement.

“Concerns surrounding legislation, system reliability issues, and incompatible infrastructure limit the opportunities for OEMs looking at automated driving,” noted Venkitaraman. “Nevertheless, the journey from human-operated to completely autonomous cars is a progression, and pioneering semi-automated vehicles will be an important milestone toward achieving level 5 automated vehicles.”

Related Content

  • April 22, 2015
    Long-range electric vehicles ‘set to gain popularity globally’
    According to new analysis from Frost & Sullivan, the global electric vehicles (EV) market has made huge progress, with more than 55 models now available globally. Currently, over 70 per cent of the models on the market are battery EVs (BEVs) and approximately 25 per cent are plug-in hybrid EVs (PHEVs). Nevertheless, the number of PHEVs is likely to increase over the next three to four years. The market will see greater demand for longer-range vehicles that allow customers to drive up to and past the pure EV
  • April 7, 2017
    EV manufacturers to focus on range, recharging and inductive charging
    The electric vehicle (EV) market is booming, according to Frost & Sullivan researchers. Approximately 25 new electric vehicle models are likely to be launched later this year with Chevrolet Bolt and Tesla Model 3 being the most anticipated. The availability of incentives and subsidies in the market, significant investment by original equipment manufacturers, new entrants, and lower battery prices are factors propelling double-digit growth. However, the lack of standardisation in charging technology, absence
  • November 9, 2015
    Driver monitoring systems ‘will use inward-looking camera-based technology’
    New analysis from Frost & Sullivan, Original Equipment Manufacturer (OEM) Strategies for Driver Monitoring Systems in Europe, indicates that, as the loss of driver attention due to fatigue or drowsiness is a common cause of road accidents worldwide, there is a clear need for driver monitoring systems (DMSs) globally. DMSs can analyse driver behaviour or detect patterns tending towards micro-sleep to issue appropriate warnings and help revive the driver’s focus. Several original equipment manufacturers (O
  • December 15, 2016
    Self-learning AI poised to disrupt automotive industry
    Self-learning artificial intelligence (AI) in cars is the key to unlocking the capabilities of autonomous cars and enhancing value to end users through virtual assistance, according to Frost & Sullivan. It offers original equipment manufacturers (OEMs) fresh revenue streams through licensing, partnerships and new mobility services. Simultaneously, the use-case scenarios of self-learning AI in cars are drawing several technology companies, Internet of Things (IoT) companies and mobility service providers to