The global semi-autonomous vehicle market demand is anticipated to reach 60.1 million units by 2028, exhibiting a CAGR of 20.8% over the forecast period, according to a new report by Grand View Research, Inc. The rapid growth can be attributed to the rising adoption of driver-assisted technologies, thereby enhancing the driving experience. The confluence of abilities such as electronic braking, adaptive cruise control, and obstacle detection; and continuous technological innovations happening in driving technologies offer an impetus to market growth. Semi-autonomous cars also promise drivers the ability to practice safer driving over the forecast period, thus driving higher adoption. The availability of forwarding collision and lane assistance and progressive learning models in cars helps to remove human error, thus reducing accidents.
Key Insights & Findings:
The level 3 automation segment is expected to emerge as the fastest-growing segment over the forecast period. Level 3 automation offers technological advancement with environmental detection capabilities, capable of making informed decisions such as overtake slow-moving vehicles, traffic maneuverability, and smart obstacle detection
- The commercial vehicle segment is expected to register the highest CAGR over the forecast period. The deployment of semi-autonomous driving solution in commercial vehicles ensures safe movement of products and goods, thus allowing the driver to maintain good health and posture
- The Asia Pacific region is expected to dominate the market over the forecast period. This can be attributed to the presence of the AI hubs in countries such as China, Japan, Singapore, and India; which offers a conducive environment for the semi-autonomous market
The rising technological development of semi-autonomous cars has increased integration with connected technologies, thus increasing efficiency by minimizing human error. Semi-autonomous vehicles can increase the efficiency of vehicles as they would offer real-time traffic updates, enhanced driving assistance systems, and connected cars. Semi-automatic cars also offer the ability to indulge in intelligent driving, thus helping in changing routes accordingly. Thus, the vehicles would be more efficient and secure as they would not result in the wastage of fuel in traffic jams and ensure passenger safety.
Artificial Intelligence (AI) offers promising growth opportunities to the semi-autonomous cars market due to its applications in several use cases within automotive. The implementation of Ai-models aids in pattern and obstacle recognition, which helps understand verbal sounds, non-verbal cues, and gestures. There has been an increasing trend in the adoption of AI for steering mechanism which simplifies driving effort, enhances engine performance, and increase fuel efficiency.
The Asia Pacific region is expected to witness the fastest CAGR of 22.7%, followed by the Middle East and Africa and South America. The high growth rate can be attributed to a strong AI hub in China, Japan, Singapore, and India, enabling automotive players to gain easy access to automotive-specific AI programs and services. The rising economy of Middle Eastern countries also offers promising growth opportunities to the MEA region. This can be accredited to the rising disposable income of people in the region, increasing interest of people to leverage semi-autonomous vehicles for commercial and personal uses, and favorable government regulations which help in regulating market growth.