Driver Monitoring Systems Market Report 2026

The driver monitoring systems market size has grown strongly in recent years. It will grow from $1.9 billion in 2025 to $2.07 billion in 2026 at a compound annual growth rate (CAGR) of 8.9%. The growth in the historic period can be attributed to driver distraction incidents, adoption of interior cameras, safety feature differentiation by oems, growth of premium vehicles, regulatory focus on driver attention.

The driver monitoring systems market size is expected to see strong growth in the next few years. It will grow to $2.94 billion in 2030 at a compound annual growth rate (CAGR) of 9.2%. The growth in the forecast period can be attributed to mandatory driver monitoring regulations, autonomous driving readiness, ai vision advancements, growth of electric vehicles, connected vehicle ecosystems. Major trends in the forecast period include expansion of in-cabin camera systems, adoption of AI-based driver monitoring, growth of regulatory compliance solutions, integration with adas platforms, demand for real-time driver insights.

The increasing adoption of electric vehicles is expected to propel the growth of the driver monitoring systems market going forward. Electric vehicles (EVs) refer to a vehicle that can be propelled by an electric motor that draws power from a battery and can be charged externally. Driver monitoring systems in electric vehicles enhance safety by monitoring the driver's attentiveness and facilitating a smooth transition between manual and autonomous driving modes. For instance, in April 2024, according to the International Energy Agency (IEA), a France-based intergovernmental organization, reported that in 2024, the number of new electric car registrations in China reached 8.1 million in 2023, representing a 35% increase compared to 2022. Therefore, the increasing adoption of electric vehicles is driving the growth of the driver monitoring systems market.

Major companies operating in the driver monitoring systems market are increasing their focus on introducing artificial intelligence (AI) safety solutions such as DMS metric to maximize revenue in the market. DMS metric is designed to monitor and analyze a driver's behavior and attentiveness while operating a vehicle. For instance, in June 2023, Smart Eye AB, a Sweden-based system software company, launched a new DMS metric to improve road safety and driver health. The new DMS feature remotely monitors the driver's heart and respiration rates by analyzing multiple physiological signals. Smart Eye's DMS technology incorporates in-car cameras, computer vision, and artificial intelligence to provide insights into the driver's state and behavior. The DMS technology in modern cars utilizes AI-powered, multimodal software to deliver smart safety features that detect the driver's behavior and state.

In June 2025, HARMAN International, a US-based electronics company, acquired Cipia for an undisclosed amount. With this acquisition, HARMAN aims to accelerate its in-cabin sensing roadmap and strengthen its driver/occupant monitoring system (DMS/OMS) portfolio, enabling faster deployment of AI-driven cabin monitoring features across global automaker customers. Cipia is an Israel-based company that specializes in providing driver monitoring and occupant monitoring systems.

Major companies operating in the driver monitoring systems market report include Ford Motor Co., Robert Bosch GmbH, Hitachi Ltd., Panasonic Corporation, ZF Friedrichshafen AG, Continental AG, Magna International, Aisin Seiki Corporation Limited, Magneti Marelli S.p.A, Faurecia SE, NVIDIA Corporation, Valeo SA, Texas Instruments Inc., Aptiv plc, Delphi Automotive plc, Intel Corporation, Renesas Electronics Corporation, DENSO Corporation, Autoliv Inc., Visteon Corporation, Veoneer Inc., Netradyne Technology India Pvt. Ltd., Mobileye N.V, Tata Elxsi Ltd., Plessey Semiconductors Ltd., Seeing Machines, Stonkam Co. Ltd., Cipia Vision Ltd., Jungo Connectivity Ltd., Fastree3D, UES Inc.

Asia-Pacific was the largest region in the driver monitoring systems market in 2025. North America was the second largest region in the global driver monitoring systems market share. The regions covered in the driver monitoring systems market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the driver monitoring systems market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The driver monitoring systems market consists of sales of camera, detectors, and sensors. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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