The global Automotive RADAR market is estimated to be valued at US$ 6.61 billion in 2022 and is expected to exhibit a CAGR of 23.81% over the forecast period of 2022-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Automotive RADAR, an abbreviation for Radio Detection and Ranging, is a technology that uses radio waves to detect the presence and distance of objects around the vehicle. Its primary function is to assist in collision avoidance and enable various Advanced Driver Assistance Systems (ADAS) features such as adaptive cruise control, blind-spot detection, and automatic emergency braking. The market for Automotive RADAR is experiencing significant growth due to the rising focus on passenger safety and the increasing demand for ADAS solutions in vehicles.
Market Dynamics:
With the growing concerns over road accidents and fatalities, governments worldwide have introduced stringent safety regulations. Automotive RADAR systems, being a crucial component of ADAS, help in reducing accidents by providing real-time information about the surrounding environment. For instance, the European Union made it mandatory for new vehicles to be equipped with ADAS technologies, including RADAR systems, from 2022 onwards. This regulatory push is expected to drive the adoption of Automotive RADAR systems in the coming years.
The rising consumer awareness about vehicle safety and the increasing preference for enhanced driving experience have contributed to the growing demand for ADAS solutions. Automotive RADAR systems play a vital role in providing accurate and reliable information to these ADAS features, ensuring a safer driving experience. The integration of RADAR technology enables vehicles to detect and respond to potential collision threats, pedestrian detection, and lane departure warnings, among other functionalities. As a result, the demand for Automotive RADAR systems is anticipated to witness substantial growth in the forecast period.
Segment Analysis:
Among the segments in the Automotive RADAR market, the Short-Range Radar (SRR) segment is expected to dominate the market. SRR is utilized in various ADAS applications, such as autonomous emergency braking and blind-spot detection. It offers improved performance in close proximity applications, making it a preferred choice for automotive manufacturers.
PEST Analysis:
Political: Governments worldwide are implementing stricter safety regulations, driving the adoption of Automotive RADAR systems.
Economic: The growing automotive industry, coupled with the rising disposable income of consumers in emerging economies, is positively impacting market growth.
Social: Increasing consumer awareness about vehicle safety and the demand for an enhanced driving experience are driving the adoption of ADAS solutions and, subsequently, Automotive RADAR systems.
Technological: Advancements in RADAR technology, such as the development of millimeter-wave RADAR, are improving the accuracy and range of detection, further fueling market growth.
Key Takeaways:
- The global Automotive RADAR market is expected to witness high growth, exhibiting a CAGR of 23.81% over the forecast period, due to increasing safety regulations and the growing demand for ADAS.
- North America is expected to be the fastest-growing and dominating region, driven by the presence of key market players and strong consumer demand for advanced safety features.
- Key players operating in the global Automotive RADAR market include Continental AG, Denso Corporation, Robert Bosch GmbH, Infineon Technologies AG, Valeo, NXP Semiconductors, HELLA KGaA Hueck & Co., Texas Instruments Incorporated (TI), Autoliv Inc., and ZF Friedrichshafen AG.
In conclusion, the Automotive RADAR market is set to experience significant growth due to the increasing focus on passenger safety and the demand for advanced driver assistance systems. With the implementation of safety regulations and advancements in RADAR technology, this market offers promising opportunities for key players to capitalize on.
