The European ADAS Market was valued at USD 6 billion in 2021, and it is expected to reach USD 21 billion by 2027, registering a CAGR of around 17% during the Forecasts period (2021-2027).
The COVID-19 crisis had a substantial impact on the European ADAS market due to the halt of manufacturing industries and restrictions imposed by governments to contain the spread of the virus. The pandemic acted as massive restraint on the European ADAS market as supply chains were disrupted and consumption declined due to lockdowns imposed by governments across the region.
However, the market is expected to regain its growth as manufacturers are likely to adjust production to prevent bottlenecks and plan production according to demand from OEMs and tier 1 manufacturers.
Rising concern among the population toward road safety and favorable government regulations are supporting the growth of the ADAS market in the region. For instance, the European Union has announced to install advanced safety systems in all new cars from mid-2022 to reduce the number of road fatalities.
This new regulation has mandated the adoption of advanced driver distraction warning systems, tire pressure monitoring, and intelligent speed assistance, among others, for all ranges of vehicles, adding an opportunity for the advanced driver assistance system market growth.
The innovations and developments in the automotive sector of Germany are propelled by the significant investment by the German automotive industry. The country leads in the European region in terms of connected car revenue in the safety and driver assistance segment.
In addition, the legislative body of the Netherlands has granted automotive players to test their autonomous vehicles on the road. The local players of the Netherlands are also working on launching ADAS in the market.
The global ADAS sensor system market is expected to be valued at around 33 billion U.S. dollars by 2025. RADAR, LiDar, and Cameras are the most significant segments. Of all the three, LiDAR sensors have the largest market. It can scan an area in 3-D to produce high-resolution maps of the surrounding locations.
With advancements in AI and IoT and with ever-growing dependence, the demand for automobiles is no longer limited to electric vehicles. ADAS software will become the driving factor for the future of the automotive industry.
The age of autonomous cars due to the recent advancements in technology and tech-savvy modern demands for drivers as well as passengers will be the main driving factor. Although Autonomous Driving applications are still in their early days, they eventually become the main feature of differentiating automotive brands. Also, they will become one of the most important revenue sources for major car manufacturers.
These same technologies enable the creation of fully autonomous vehicles, which have now also become a significant focus of research and development to high-tech players like Tesla, Microsoft, and Google. Many semiconductor companies like non-traditional ones are also participating in the automotive sector - now offer autonomous driving products or are developing them.
According to the World Health Organization (WHO), over 1.35 million people have lost their lives in road traffic crashes annually. The road safety performance is evaluated in terms of deaths and serious injuries, which are usually linked to driver negligence like not using a seat belt, overspeeding, and inadequate experience.
Autonomous vehicles will be equipped with features like electronic stability control, alcohol interlocks for repeat offenders and fleet drivers, anti-lock braking for motorcycles and events, and journey data. Autonomous Driving will provide safety measures to both the driver and pedestrians.
By 2025, due to the growing demand for increased regulatory norms by the European Union for safety and environmental reasons, companies will see a rise in demand for mandatory features for cars to be equipped with an Autonomous Driving system for all upcoming vehicles. This aim to implement the plan on all new vehicles to reduce the road casualty rate, which is one of the highest amongst any developed countries.
The European Advanced Driver Assistance Systems Market is moderately fragmented with international and regional players, such as Autoliv AB, Bosch Group, and Continental AG. Also, to have the edge over their competitors, the major rental companies are making joint ventures, partnerships to launch newer products. For instance,
This product will be delivered within 2 business days.
The COVID-19 crisis had a substantial impact on the European ADAS market due to the halt of manufacturing industries and restrictions imposed by governments to contain the spread of the virus. The pandemic acted as massive restraint on the European ADAS market as supply chains were disrupted and consumption declined due to lockdowns imposed by governments across the region.
However, the market is expected to regain its growth as manufacturers are likely to adjust production to prevent bottlenecks and plan production according to demand from OEMs and tier 1 manufacturers.
Rising concern among the population toward road safety and favorable government regulations are supporting the growth of the ADAS market in the region. For instance, the European Union has announced to install advanced safety systems in all new cars from mid-2022 to reduce the number of road fatalities.
This new regulation has mandated the adoption of advanced driver distraction warning systems, tire pressure monitoring, and intelligent speed assistance, among others, for all ranges of vehicles, adding an opportunity for the advanced driver assistance system market growth.
The innovations and developments in the automotive sector of Germany are propelled by the significant investment by the German automotive industry. The country leads in the European region in terms of connected car revenue in the safety and driver assistance segment.
In addition, the legislative body of the Netherlands has granted automotive players to test their autonomous vehicles on the road. The local players of the Netherlands are also working on launching ADAS in the market.
Key Market Trends
Increased Adoption of ADAS will Drive the Future Growth of the Automotive Sector
The global ADAS sensor system market is expected to be valued at around 33 billion U.S. dollars by 2025. RADAR, LiDar, and Cameras are the most significant segments. Of all the three, LiDAR sensors have the largest market. It can scan an area in 3-D to produce high-resolution maps of the surrounding locations.
With advancements in AI and IoT and with ever-growing dependence, the demand for automobiles is no longer limited to electric vehicles. ADAS software will become the driving factor for the future of the automotive industry.
The age of autonomous cars due to the recent advancements in technology and tech-savvy modern demands for drivers as well as passengers will be the main driving factor. Although Autonomous Driving applications are still in their early days, they eventually become the main feature of differentiating automotive brands. Also, they will become one of the most important revenue sources for major car manufacturers.
These same technologies enable the creation of fully autonomous vehicles, which have now also become a significant focus of research and development to high-tech players like Tesla, Microsoft, and Google. Many semiconductor companies like non-traditional ones are also participating in the automotive sector - now offer autonomous driving products or are developing them.
Growing Demand for Safer Road Transport
According to the World Health Organization (WHO), over 1.35 million people have lost their lives in road traffic crashes annually. The road safety performance is evaluated in terms of deaths and serious injuries, which are usually linked to driver negligence like not using a seat belt, overspeeding, and inadequate experience.
Autonomous vehicles will be equipped with features like electronic stability control, alcohol interlocks for repeat offenders and fleet drivers, anti-lock braking for motorcycles and events, and journey data. Autonomous Driving will provide safety measures to both the driver and pedestrians.
By 2025, due to the growing demand for increased regulatory norms by the European Union for safety and environmental reasons, companies will see a rise in demand for mandatory features for cars to be equipped with an Autonomous Driving system for all upcoming vehicles. This aim to implement the plan on all new vehicles to reduce the road casualty rate, which is one of the highest amongst any developed countries.
Competitive Landscape
The European Advanced Driver Assistance Systems Market is moderately fragmented with international and regional players, such as Autoliv AB, Bosch Group, and Continental AG. Also, to have the edge over their competitors, the major rental companies are making joint ventures, partnerships to launch newer products. For instance,
- In August 2020, Veoneer, Inc. spin-off of Autoliv's electronics and automated driving divisions, and Qualcomm Technologies, Inc. have decided to collaborate on the delivery of scalable Advanced Driver Assistance Systems (ADAS), Collaborative and Autonomous Driving (AD) solutions powered by Veoneer’s next-generation perception and driving policy software stack and Qualcomm® Snapdragon Ride™ ADAS/AD scalable portfolio of System on a Chip (SoC), and Accelerators.
Additional Benefits:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
This product will be delivered within 2 business days.
Table of Contents
1 INTRODUCTION
4 MARKET DYNAMICS
5 MARKET SEGMENTATION
6 COMPETITIVE LANDSCAPE
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- Autoliv AB
- Bosch Group
- Continental AG
- Delphi Automotive
- Harman International
- Hella KGaA Hueck & Co.
- Hyundai Mobi
- Panasonic Corporation
Methodology
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