North America LiDAR Market Size

North America LiDAR Market Analysis

The North America LiDAR Market size is estimated at USD 0.98 billion in 2024, and is expected to reach USD 2.38 billion by 2029, growing at a CAGR of 19.5% during the forecast period (2024-2029).

Moreover, the growing trends in the automotive industry toward self-driving cars and electric vehicles are expected to be critical drivers for newer applications of LiDAR.

• North America is one of the major developers of the technology, owing to increasing investments in accelerating innovations in the LiDAR landscape. These types of LiDAR systems are adopted by a growing number of industries, especially for applications in engineering, construction, the environment, and exploration, proving the effectiveness and, therefore, demand for this technology.
• Additionally, the growing demand for platooning in the North American region is also influencing the growth of this market. Following Georgia and Tennessee, Arkansas, North Carolina, South Carolina, and Texas have made commercial platooning legal, which enables freight companies like FedEx to conduct more fuel-efficient operations. As platooning needs technologies like LiDAR, it is therefore expected to contribute to the region's dominance in the automotive space for LiDAR technology.
• According to US Department of Transportation data, 51% of freight miles within the country are available in states that have approved commercial truck platooning. LiDAR technology is used in unmanned aircraft systems (UAS), and the US military and civil government are increasing their operations for UAS, which can increase the growth of this market.
• Moreover, ground-based LiDAR systems are witnessing growth, owing to factors such as low cost and their increasing applications in SUVs. The ground LiDARs provide an exceptional ability to produce 3D images of land in coastal and other areas, as well as ground movements such as landslides.
• However, the high costs associated with the deployment of this technology are restraining the growth of this market, and many manufacturers are looking for substitutes that could replace the functionality of LiDAR systems using RADAR and other optical sensors. Hence, these factors can restrain the growth of this market.
• Furthermore, the COVID-19 pandemic led to lockdowns all over the world, which disrupted the exports of automotive parts and caused large-scale manufacturing interruptions in the US.