LiDAR Sensor Market

LiDAR Sensor Market Outlook (2024 to 2034)

The global LiDAR sensor market is expected to be valued at US$ 2.42 billion in 2024 and is forecast to expand at a noteworthy CAGR of 14% to reach US$ 7.95 billion by the end of 2034. LiDAR sensors will account for a 1% share of the global sensor market in 2023.

Demand for LiDAR sensors is projected to rise significantly through 2034 as sectors dependent on sensors, such as the automotive sector, are exhibiting noteworthy growth. The surge in research and development for self-driving cars equipped with sensors to detect nearby vehicles, animals, and pedestrians has led to the expansion of the sensor manufacturing market.

The space sector has expanded significantly, particularly with the emergence of start-up companies in countries such as the United States and India, which are projected to generate growth opportunities for market players during the forecast period. Additionally, the increasing adoption of automation in agriculture, used for crop monitoring and intrusion detection, has also contributed to market growth.

Report Attributes	Details
LiDAR Sensor Market Size (2023A)	US$ 2.15 Billion
Estimated Market Value (2024E)	US$ 2.42 Billion
Forecasted Market Value (2034F)	US$ 7.95 Billion
Global Market Growth Rate (2024–2034)	14% CAGR
North America Market Share (2024E)	27.6%
North America Market Value (2024E)	US$ 666.5 Million
East Asia Market Share (2024E)	19.1%
East Asia Market Value (2024E)	US$ 461.9 Million
China Market Share (2024E)	11%
China Market Value (2024E)	US$ 265.8 Million
Market Share of Top Three Countries (2024E)	32.9%
Key Companies Profiled	Trimble Inc. Topcon FARO Valeo Ouster, Inc. Waymo Intermap Technologies Corp. SICK AG Hexagon AG Leosphere, Inc. Innoviz Technologies BEA Group Teledyne Optech Velodyne Lidar RIEGL Quanergy System Inc.

Sales Analysis of LiDAR Sensors (2019 to 2023) vs. Market Forecasts (2024 to 2034)

Fact.MR reveals that the global LiDAR sensor market size is estimated to exhibit Y-o-Y growth of 12.4% in 2024. In 2020, demand for LiDAR sensors dropped sharply for three consecutive quarters due to the COVID-19 pandemic, which affected the operations of several industries. Chip manufacturing companies witnessed huge losses due to the low production rate.

• Short Term (2024 to 2027): Rapid growth of the automotive, space, and agriculture sectors is projected to contribute to increased LiDAR sensor market share.

• Medium Term (2027 to 2030): Advancements in the field of IoT (Internet of Things) are projected to augment sales of LiDAR sensors.

• Long Term (2030 to 2034): Focus on enhancing the sensing efficiency and response time of LiDAR sensors is forecasted to contribute to market growth.

From 2019 to 2023, the market expanded at a CAGR of 7.8%, and according to Fact.MR, a market research and competitive intelligence provider, the market is projected to expand at a 14% CAGR from 2024 to 2034.

What is Driving Worldwide Demand for LiDAR Sensors?

“Ongoing R&D Efforts to Enhance LiDAR Compatibility with Advanced Driver Assistance Systems”

The automotive sector has exhibited exponential growth over the past few decades, and the growth trajectory is forecasted to continue during the assessment period. In 2024, sales of automotive LiDAR sensors are estimated at US$ 214.4 million. LiDAR sensor use in electric vehicles is forecast to increase substantially through 2034.

LiDAR technology now also comes with integrated features such as car surround sensors and 3D mapping. R&D efforts are in progress for LiDAR technology to enhance its compatibility with advanced driver assistance systems (ADAS). Demand for self-driving vehicles is forecast to increase over the next decade, thus driving market growth.

Automotive manufacturers are constantly working towards finding new ways of innovating LiDAR technology as it makes the vehicle safer for travelers. Companies are keen on conducting collaborations and partnerships with different LiDAR manufacturers to make the most of their technology. The automotive sector is estimated to account for a market share of 8.9% in 2024 and is projected to secure a leading position in the LiDAR market over the decade.

“Integration of LiDAR Technology Enhancing Mobile Device Functionality”

Demand for mobile phones, tablets, and other electronic gadgets has been growing significantly. Integrating LiDAR technology into smartphones and tablets is projected to emerge as a game changer for the electronics industry, as this approach is known to greatly enhance device functionality.

LiDAR is integrated with mobile platforms to produce accurate geospatial 3D point clouds. This efficiently captures and transports extensive georeferenced data, finding applications in urban planning and the preservation of cultural heritage through restructuring.

• Apple has integrated LiDAR technology into its mobile phones, such as the iPhone 15 Pro, iPhone 14 Pro, iPhone 14 Pro Max, and iPhone 13 Pro Max. LiDAR technology helps Apple phones create a 3D representation of the region around them, up to 5 meters. With more smartphone companies employing LiDAR technology in their devices, demand for LiDAR sensors is projected to increase substantially during the forecast period.

What Issues Should LiDAR Sensor Manufacturers Strive to Avert?

“Incapability of LiDAR Sensors to Perform Accurately During Unfavorable Weather Conditions”

Among the various difficulties involved in the production of reliable and efficient autonomous vehicles or advanced driver assistance systems, adverse weather conditions remain the utmost hurdle. One of the primary shortcomings of LiDAR sensors is their inability to perform with accuracy during rainy or cloudy conditions, which affects the sensors' efficiency.

Hampered reliability and efficiency of LiDAR sensors can lead to some serious problems that have devastating outcomes. This is one of the major drawbacks of the LiDAR system, which may restrict the sensor's market penetration and force automobile manufacturers to look for other substitute products that may be able to overcome the problems faced by LiDAR sensors.

“Higher Cost of LiDAR Sensors Than Other Technologies”

LiDAR sensor technology requires constant deployment of resources and technological aid to sustain. LiDAR sensors are comparatively more expensive than other technologies, which potentially restricts the growth of the market. The price range of LiDAR sensors varies between US$ 20,000 and US$ 100,000. Prominent players in the market are constantly focused on developing technology to produce high volumes at relatively low costs.

Primarily, LiDAR technology is utilized in advanced driver assistance systems and autonomous vehicles, which are projected to be more expensive than conventional automobiles. LiDAR technology finds a wide range of applications across multiple industries. However, as per LiDAR sensor market trends, the cost of integrating LiDAR technology in automobiles is seen to be comparatively higher, and this may potentially restrict the overall growth of the market over the coming years.

Country-wise Analysis

Why are LiDAR Sensor Manufacturers Investing in China?

“Low Labor Costs and Abundance of Raw Materials”

China is forecast to account for 58% of the East Asia market share by 2034. Due to the presence of several small manufacturers in China, the LiDAR sensor market in the country is moderately fragmented.

The country is gradually striving to achieve the position of the world's leading manufacturer of semiconductor devices. The low labor costs and presence of raw materials in China make it easier for new and small businesses to survive in the market.

Rising tensions between China and the United States regarding the political situation in Taiwan are projected to lead to the imposition of additional duties on goods imported from China. The automotive sector is a major contributor to the Chinese economy.

Why are Sales of LiDAR Sensors Soaring in the United States?

“Government Initiatives Promoting LiDAR Sensor Use in Detecting Vehicular Emissions”

In 2024, North America is estimated to capture a 27.6% share of the global market, and the United States is projected to account for 71.2% of the North American market in 2024. The United States is anticipated to hold 37% of the global market by 2034.

Government initiatives aimed at addressing emission issues in the United States and the need to achieve net-zero gaseous emissions from devices by 2025 have boosted the demand for LiDAR sensors for measuring emissions. With electric vehicles being a key solution to combat vehicle emissions, sales of LiDAR sensors are projected to rise, given the reliance of these vehicles on LiDAR sensors.

Uber's air taxi module is projected to revolutionize the automotive sector and thus propel the demand for airborne LiDAR sensors. The increasing adoption of drone technology in the United States for content creation, surveillance, and delivery is providing several market opportunities for LiDAR sensor technology providers in the country.

Category-Wise Insights

How Does the Capability of LiDAR Sensors to Gather Data Contribute to Their Utility?

“LiDAR Technology Integration Facilitating Real-Time Data Collection with Increased Accuracy”

LiDAR operates on the principle of amplification of light based on the stimulated electromagnetic radiation emission, and this makes it different from conventional radio technology and microwaves. Integrating LiDAR technology allows the collection of more precise and accurate real-time data.

LiDAR provides adequately intense and precise data with centimeter-level accuracy. LiDAR sensors are of three types: ground-based, airborne, and satellite. LiDAR technology has many applications in several sectors such as geology, space, forestry, agriculture, mapping, oceanography, and automotive.

All these sectors are expected to account for a little less than 50% of the market share in 2024.

Which Industry Accounts for Extensive Use of LiDAR Sensors?

“Strict Road Safety Regulations Prompting Widespread LiDAR Sensor Use in Automobile Industry”

Advanced driver assistance systems and autonomous vehicles face several stringent government rules and regulations, given the issues related to road safety. LiDAR sensors justify their high cost in the automobile industry as they have prominent applications in self-driving vehicles. This is projected to augment demand for LiDAR sensors over the coming years. Prominent markets such as China & the United States are directing R&D efforts toward the deployment of self-driving vehicles by the end of 2025. Thus, the automotive industry is forecasted to emerge as a major end-user of LiDAR sensors by 2034.

Competitive Landscape

Prominent manufacturers in the LiDAR sensor industry including Trimble Inc., Topcon, SICK AG, Velodyne Lidar, and FARO, are emphasizing launching products that are technologically advanced and are resorting to marketing strategies such as acquisitions and collaborations with other LiDAR companies to help enhance production capacities, improve market penetration, and gain a larger market share.

• Aurora acquired a LiDAR start-up named OURS in 2022. Previously, Aurora had acquired another LiDAR start-up named Blackmore in 2019.

• Ouster acquired another LiDAR technology start-up named Sense Photonics for US$ 68 million in 2021. This is projected to help Ouster improve its R&D capabilities.

Segmentation of LiDAR Sensor Market Research

• By Type :

  • Airborne
    • Topographic LiDAR
    • Bathymetric LiDAR
  • Terrestrial
    • Mobile LiDAR
    • Static LiDAR

• By Technology :

  • Solid State LiDAR
  • Mechanical LiDAR

• By Application :

  • Vehicle Automation
  • Digital Elevation Model
  • Forest Planning and Management
  • Environmental Assessment
  • Transport Planning
  • Infrastructure Building
  • Cellular Network Planning
  • Meteorology
  • Others

• By End-use Industry :

  • Automotive
  • Oil & Gas
  • IT & Communication
  • Media & Entertainment
  • Power & Energy
  • Survey & Analysis
  • Aerospace & Defense
  • Travel & Tourism
  • Agriculture & Forestry
  • Mining
  • Others

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • Middle East & Africa (MEA)