Market Size of Autonomous (Driverless) Car Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 41.10 Billion |
| Market Size (2029) | USD 114.54 Billion |
| CAGR (2024 - 2029) | 22.75 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Autonomous Vehicle Market Analysis
The Autonomous Car Market size is estimated at USD 41.10 billion in 2024, and is expected to reach USD 114.54 billion by 2029, growing at a CAGR of 22.75% during the forecast period (2024-2029).
The COVID-19 pandemic has impacted the overall automotive sector, compelling automakers to reduce the output at their production plants. The pandemic has also affected the operations of many OEMs, ranging from production to R&D, and created short-term disruptions that have delayed autonomous cars' deployment and rollouts.
Due to increasingly stringent government regulations focusing on increasing road safety, more autonomous cars are being developed with highly advanced technologies integrated with smartphones and creating opportunities for market players to attract customers. The recent technological advancements in the fields of artificial intelligence, machine learning, and other sensors like RADAR, LIDAR, GPS, and computer vision, have enabled manufacturers to increase self-driving capabilities in cars.
At present, Level 2 and Level 3 autonomous cars are most prominent in the market, while Level 4 and Level 5 (as scaled by SAE) are expected to reach wider acceptance by 2030. As a result, the growth of these Level 2 and Level 3 cars is expected to propel the market during the forecast period.
North America is expected to play a significant role in the market, followed by Asia-Pacific and Europe. Major automaker companies, technology giants, and specialist start-ups across North America have started investing in developing autonomous vehicle (AV) technology. As demand for self-driving cars is picking up across countries like China, Japan, India, and South Korea, the Asia-Pacific region is also expected to witness growth over the forecast period.
