Favorable government regulations and technology upgrade in ADAS is driving the market
The age of autonomous cars is coming. Thanks to recent technologies and tech-savvy modern aids for drivers, the advanced driver assistance systems ensuring safety to drivers and enhance overall comfort. Technologies covered by ADAS, in general, are developed by automakers to be specific for each vehicle integrator. ADAS technologies and sensors broadly consists of comfort aids and safety aids are not limited to Light Detection and Ranging (LiDAR) sensor, crash warning systems, lane-keeping systems, adaptive cruise control, drowsiness monitor system, autonomous parking technology and night vision systems.
Some of these technologies have already been around for a long time such as GPS navigation. But innovations in the automobile market is constantly upgrading ADAS technology with driver-assist features aimed at the domain of capability and functionality. One of the primary technologies that has emerged in Advanced Driver Assistance Systems (ADAS) is LiDAR, which finds immense application in adaptive cruise control, accident avoidance and mitigation and external object detection. These along with other sensors types such as radar, ultrasound and cameras enable the driver to know the vehicle's positioning and information on road environments, and a combination of these sensors are useful even in case of poor visibility such as foggy conditions. The most dominant market for adoption of ADAS is the European region followed by North America while Asia-Pacific region would witness a significant growth rate of adoption of ADAS with a CAGR of 29.54%, as per a recent report by Allied Market Research titled “Global Advanced Driver Assistance Systems (ADAS) Market (Component and Geography)”. A rise in purchasing power and increasing favorable government initiatives ae the prime drivers of ADAS market in APAC region.
The automobile industry is witnessing ADAS technology as a precursor of self-driving vehicles and autonomous cars which acts as a major driving factor in the growth of ADAS market worldwide. Already a number of favorable government regulations in various countries is providing growth momentum to the ADAS market. In Europe, the European New Car Assessment Program (NCAP), established by the government, through its five-star safety rating system has imposed stringent regulations on car manufacturers to comply with road safety and vehicle security. The prospective customers have the rating system at their disposal to make better choices while buying cars. NHTSA has undertaken similar initiatives in the United States which has made advanced driver assist technology (ADAS) a central technology focus for many automakers.
Robert Bosch GmbH, or Bosch, a German multinational engineering and electronics company based in Gerlingen offers innovative products and technology solutions revolutionizing ADAS market. Recently, at 2015 International Consumer Electronics Show in Las Vegas, Bosch showcased various ADAS features such as iBooster and eClutch and traffic jam assistant technology which will help the company to achieve new milestone in autonomous driving. Another North American company Texas Instruments (TI) recently announced the availability of its Vision Software Development Kit (SDK) offers developers comprehensive set of hardware device drivers and tools for the implementations of advanced driver assistance systems (ADAS) along with embedded vision engine and DSP libraries. These developments will broaden the technological offerings for TI.
As mentioned in the report, the global Advanced Driver Assistance Systems (ADAS) market is expected to garner a revenue of $60.14 billion by the end of 2020, growing at a CAGR of 22.8% amid the forecast period 2014 - 2020.
Research Analyst at Allied Market Research
Ranjan has over 4 years of experience in market research and consulting across multiple domains which include technology, FMCG and durable consumer goods, heavy machinery, and automotive. He has hands on expertise in predictive and exploratory research projects for studying regional and global demand potential, market estimation & forecast, perceptions; analyzing macro and micro markets in terms of key gaps and opportunities. Ranjan is part of multiple consulting as well as syndicated report assignments and is actively involved in all the stages of project completion from planning, execution to delivery as per clients satisfaction.
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