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.”

For more information on companies in this article

Related Content

  • Global automotive cyber security market to be ‘worth US$31.8 million by 2021’
    July 12, 2016
    A new report from MarketsandMarkets projects the global automotive security market to grow at a CAGR of 13.3 per cent between 2016 and 2021, reaching a market size of US$31.8 million by 2021. According to the report, Automotive Cyber Security Market by Security Type, the major factors behind the growth of the global automotive cyber security market are the growing connected cars being introduced from OEMs and rising security concerns among end-users.
  • ITS Australia welcomes connected and automated vehicle trials
    August 14, 2017
    ITS Australia has welcomed the latest Victorian state government announcement of connected and automated vehicle (CAV) trials on public roads in Australia, using on the Monash-CityLink-Tullarmarine corridor in partnership with RACV, Transurban and VicRoads. The three phase trial will also include vehicle manufacturers BMW, Mercedes, Tesla and Volvo, with phase one due to be completed this year.
  • Innoviz and Harman combine to offer LiDAR to car makers
    January 17, 2019
    Innoviz Technologies and Samsung Electronics subsidiary Harman International have teamed up to offer LiDAR solutions to car manufacturers. The companies – Innoviz the manufacturer and Harman the supplier – say their partnership will support the “unstoppable move towards semi- to fully-autonomous vehicles (AVs)”. Last year, Innoviz signed a serial production agreement with BMW. InnovizOne is a solid-state LiDAR sensor designed specifically for automotive deployments, with an emphasis on what the com
  • Connected car solutions to exceed 350 million by 2017
    May 24, 2012
    OEM and aftermarket connected car systems in use are expected to grow from 66 million in 2012 to 356 million in 2017, according to a new report from ABI Research. While OEM solutions are gaining momentum rapidly across the globe in the US, Europe, Japan, and China, aftermarket solutions will continue to be used for applications such as stolen vehicle tracking, insurance telematics, infotainment, and road user charging.