Automotive LiDAR market is set to grow tremendously through 2032 due to the introduction of solid-state LiDAR technology in the automotive industry. The demand for LiDAR in the automotive market is also gaining prominence owing to the growing demand for autonomous vehicles across the world.
Besides, supporting government initiatives would also propel market growth. Governments across nations are relentlessly working toward enhancing vehicular safety by modifying vehicle safety systems and mandating the use of advanced driving assistance systems. For example, while the NCAP is promoting the use of ADAS systems in vehicles to ensure safety, the U.S. has established the NHTSA, which has introduced new guidance for ADS.
Overall, the global automotive LiDAR industry is bifurcated in terms of type, vehicle, and regional landscape.
Based on type, the automotive LiDAR market is likely to be characterized by the mechanical segment. The increasing utilization of hybrid LiDAR for navigation and real-time scanning applications will drive the segment during the forecast period. The current hybrid design of mechanical LIDAR is widely considered to be a breakthrough in the industry which simplified the sophisticated design of its earlier counterpart. Unlike the previous versions, this hybrid design allows the system to accommodate multiple laser beams within a single structure.
In terms of vehicle, the semi-autonomous segment is slated to grow exponentially between 2023 to 2032 owing to the continuous innovations by automakers to roll out their semi-autonomous solutions, which are laced within their automobiles. The scope for this market is also increasing in developed countries, as these semi-autonomous systems assist drivers in maintaining their lanes and help them during traffic jams.
In the regional context, the automotive LiDAR market in Europe accounted for more than 15% of the market volume in 2022. The European Commission has recently developed regulations regarding self-driving vehicles to catch up with the U.S. and China to become a technology leader in this field. Accordingly, the regional governments have developed their telecom infrastructure and road to help autonomous vehicles to communicate better with their surrounding environment. In addition, some countries in the EU such as the UK and Germany have issued regulations to govern the testing of autonomous vehicles on public roads.
The immense scope of growth in the LiDAR market has attracted new organizations that are garnering robust investment from various financial firms and automakers to enhance the product portfolio. Currently, the major players in the automotive LiDAR market are LeddarTech, Quanergy, Continental AG, Blackmore Sensors and Analytics, Oryx Vision, Velodyne LiDAR, TriLumina Corporation, Luminar Technologies, Aptiv, Magna, Uber, ZF, Audi, Nissan, Tesla, Inc., Innoviz Technologies Ltd., and Volvo.