Automotive Radar Market

Automotive Radar Market Outlook for 2023 to 2033

The global automotive radar market is anticipated to rise from a valuation of US$ 5 billion in 2023 to US$ 12 billion by the end of 2033, Expanding at a CAGR of 9.1%.

The use of automotive radars in passenger vehicles is increasing due to the high demand for cars with better safety, comfort, and driving features.

Automotive radar is a term used to describe a technology placed in cars to measure the speed and distance of objects around the vehicle. It uses a transmitter to send out a receiver, which then receives radio waves that strike the object and bounce back to the receiver to determine the object's distance, speed, and direction.

This enhances the vision-based camera-sensing system and aids in collision avoidance, pedestrian and cyclist detection, and both.

A range of radiofrequency (RF) technologies are used by modern vehicle comfort and safety systems to increase driving safety and automation. RF signals are employed for safety features such as blind-spot detection, adaptive cruise control, and forward-collision warning, and radar sensors are increasingly being installed in cars.

These sensors make it possible to quickly and precisely measure the distance, speed, and direction of nearby vehicles. As a result, they are widely employed in advanced driver assistance systems, which support drivers and work to lower accident rates.

Automotive radars so improve safety, reduce the risk of road accidents, and aid in traffic management, which in turn influences vehicle manufacturers to incorporate advanced radar systems in automobiles. Thus, it is anticipated that these factors will fuel the growth of the automotive radar market over the coming years. Additionally, the expansion of the market is being positively impacted by technological innovations in the automotive industry, such as the invention of high-performance compact radars with low manufacturing costs.

Currently, consumers favor comfort when driving. To make driving more comfortable for drivers, manufacturers are adding safety technologies that make use of automotive radars in high-end vehicles, such as adaptive trip control and parking aid systems.

Other technologies, such as those that help the driver with lateral vehicle control and night vision systems, are still under development. These systems use automotive radar to precisely and accurately monitor the environment around the car.

Modern-day automotive radar systems have already crossed the hurdle of limits in the field of view and range, with multiple antennas, thus giving way to adaptive cruise control. Self-driven vehicles however need something that not only overcomes weather interferences but also an automotive radar that is more compact.

Automotive radars are smaller, spherical, and similar to radars used in fighter aircraft. When these radars are placed on self-driven vehicles, they offer a 360-degree view of the landscape with astonishingly consistent performance.

Report Attributes	Details
Market Size in 2023	US$ 5 Billion
Projected Market Value (2033)	US$ 12 Billion
Global Market Growth Rate (2023 to 2033)	9.1% CAGR
Market Share of Medium-range Automotive Radar	60%
Key Companies Profiled	Robert Bosch GmbH; Continental AG; Autoliv Inc.; Valeo Group; Delphi Technologies; SaberTek, Inc.; Analog Devices, Inc.; Infineon Technologies AG; Veoneer, Inc.

Why are Sales of Automotive Radars Surging across the World?

“Increasing Frequency of Road Accidents Driving Adoption of Automotive Radars”

The increasing frequency of road accidents, which has forced the need for safety measures in vehicles for safer transportation, is the main factor driving the worldwide automotive radar market. Automotive radars are being chiefly deployed to give the driver a safe navigational experience and also to mitigate risks associated with road fatalities, casualties, and accidents.

Radar-based safety systems are expected to become more widely used as a result of strict government restrictions and support initiatives in the field of radar systems that have encouraged the development of vehicle safety systems. The use of automotive radar is also likely to be supported by the decreasing costs of vehicle electronics and advancements in automotive technology. With its use, objects can be accurately detected and improved vehicle safety is guaranteed.

The advent of automotive radar technology will fulfill the prime objective of zero fatalities on the roads. The proliferation of advanced driver assistance systems (ADAS) has been possible due to improvements in radar technology. ADAS systems are also predicted to become government-mandated over the coming years with recently introduced legislations such as emergency brake assist and the increased adoption of rear-view facing cameras.

Automotive radar-based safety systems are paving the way for blind spot and side impact detection along with radars that have mid-range and long-range features for adaptive cruise control. This has been made possible with the help of embedded technology.

For instance, new and improved embedded MCUs (microcontrollers) and 77 GHz mm-wave integrated circuits are specifically designed for radar uses and applications. Thus embedded technology is acting as a force multiplier to the already existing arsenal of intriguing ADAS solutions.

“Emergence of 4D Imaging Radars to Plug Loopholes in Automotive Radar Technology”

Most autonomous vehicles have sensing suites that have three types of sensors, including Lidar, radar, and camera. Each of these systems has its unique functionalities and limitations.

For instance, both Lidar and the camera lose their potency in overcoming stark environmental conditions such as darkness, pollution, snow, rain, and fog. Radar on the other hand has immense potential in maintaining its functionality in sub-par weather and lighting conditions.

However, its low resolution puts it at a significant disadvantage making it unable to identify small objects and also enhancing its susceptibility to false alarms. By innovating and introducing ultra-high resolution techniques such as 4D imaging, the missing link can be overcome thus revolutionizing autonomous vehicle development.

These high-resolution 4D automotive radars can sense the environment in all four directions such as distance, speed, height, and depth. With the promulgation of this technology, 4D automotive radars will be the backbone of the sensor suite thus bringing about a paradigm shift in the automotive radar market. Alternatively, they will also ramp up the production of level 3 autonomous vehicles, with an automotive radar that encompasses all safety features such as risk assessment, path planning, and a frictionless driving experience for the driver and passengers.

What May Slightly Affect Global Demand for Automotive Radars?

“Security Concerns Regarding Automotive Radar Sensors and High Price of Service Installations”

Security issues related to automotive radar, such as spoofing & interference, are anticipated to restrain market growth. The high cost of automotive radar systems is the main issue impeding market expansion. As a result, automakers avoid installing radar sensors in their vehicles because doing so raises the vehicle's total cost, which has a detrimental effect on sales and overall revenue. The high price of service installations is hampering market value.

What is the Start-up Ecosystem Like in This Space?

“Emerging Market Players Making Massive Inroads with Research Initiatives”

New entrants are making heavy investments in research and development to create appealing automotive radar system solutions and gain an advantage over competitors. They are concentrating on recent advances to enhance radar technology. With innovations abounding, start-ups are promising automotive radars with infinite possibilities.

• Axon Pulse, an Israeli start-up, offers an AI-based radar perception engine that uses deep neural networks to interpret radio frequency (RF) signals. The size and weight of the sensing equipment as well as the processing components required to analyze environmental data are some of the obstacles facing autonomous vehicles. Thus, the software developed by the start-up improves radar resolution, sensitivity, and target separation while requiring less hardware.

Which Region Leads the Global Market for Automotive Radar?

“Increasing Government Policies Promoting Smart and Eco-friendly Mobility in Europe”

Europe accounts for 50% share of the global market due to the rise in government policies promoting smart and eco-friendly mobility to reduce the environmental impact.

Market growth is supported by considerable programs or incentives to help the shift to electric vehicles as well as a huge emphasis on advanced driver assistance systems by automotive OEMs. Rapid expansion in the automotive industry and the rising adoption of advanced vehicle safety systems in electric vehicles are boosting market expansion.

Country-wise Insights

What Opportunities Await Automotive Radar Suppliers in the United States?

“Growing Demand for Automotive Radars in Hybrid Electric Vehicles”

Market expansion in the United States is positively impacted by the increasing roadside deaths and strong R&D activities. Growing demand for automotive radars in hybrid electric vehicles and the stringent automotive safety regulations are boosting market value in the United States.

What is Driving Automotive Radar Demand in Germany?

“Increase in Manufacturing of Commercial & Passenger Vehicles”

Market growth in Germany is attributed to the new developments in intelligent transportation, an increase in the manufacturing of commercial and passenger vehicles, and government laws aimed at enhancing vehicle safety standards.

The market is growing as a result of increasing corner radar installation, the rising need for emergency braking systems, and the growing preference for premium, luxury, or high-end vehicles.

What Makes Japan Stand Out in the Asia Pacific Market?

“Constant Advancements in Automotive Sector in Japan”

The demand for automotive radars in Japan is being fueled by the rise in auto accidents and a growing awareness of the advantages of driving assistance technologies such as brake assist and collision warning systems.

The market in Japan experiences profitable growth during the projection period as a result of rising purchasing power and the green revolution, which is changing how people move around. Constant advancements in the automotive sector, a sharp rise in vehicle sales, and massive penetration for driverless autonomous vehicles are driving market growth in Japan.

Category-wise Insights

Why are Medium-range Automotive Radars Exhibiting High Demand?

“Surging Demand for Vehicles with Innovative Driver Assistance Features Boosting Adoption of Medium-range Automotive Radars”

By range, the market is segmented into long range, medium range, and short range. Medium-range automotive radars account for 60% share of the global market due to the rise in demand for ADAS-based vehicles and the increasing focus on the integration of more than two radars within automotive.

A car safety system makes extensive use of automotive radars. Medium-range automotive radar systems have many advantages, including park assistance, lane change assistance, and blind spot identification. Market expansion may also be fueled by significant investments in R&D, a growing trend toward autonomous vehicles, and increased use of blind-spot detection systems for improving automotive safety.

Which Application Generates the Most Revenue for Market Players?

“Adaptive Cruise Control Systems Offer Notable Advantages for Vehicle Automation & Safety”

Based on application, the market is divided into adaptive cruise control, autonomous emergency brakes, blind spot information, forward collision warning systems, intelligent park assist, and others. Adaptive cruise control systems hold 40% share of the global market due to rising consumer concerns about vehicle safety.

Growing emphasis on regulating speeding vehicles by government organizations, the prevalence of speed-related crashes, and the rise in preference for luxury vehicles are the factors boosting the demand for adaptive cruise control systems. Utilizing adaptive cruise control systems in vehicles can result in fuel savings of 10% on average. With less braking and harder acceleration, adaptive cruise control technology provides smooth driving.

Competitive Landscape

Leading companies are concentrating on quality control to enhance product standards to provide efficient automotive radar solutions. Top automotive radar producers are focusing on the development of high-performance radar systems for automotive applications.

For instance,

• In 2021, the sixth generation of long-range and surround radar was unveiled by Continental at Auto Shanghai. Both sensors utilize the same hardware and software platform, which lowers complexity and consequently costs.

Segments of Automotive Radar Industry Research

• By Range:

  • Long Range
  • Medium Range
  • Short Range

• By Vehicle Type:

  • Commercial Vehicles
  • Passenger Vehicles

• By Application:

  • Adaptive Cruise Control
  • Autonomous Emergency Brakes
  • Blind Spot Information
  • Forward Collision Warning Systems
  • Intelligent Park Assist
  • Others

• By Sales Channel:

  • OEMs
  • Aftermarket

• By Region:

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • Middle East & Africa