The Global Automotive LiDAR Sensors Market size is expected to reach $5.3 billion by 2029, rising at a market growth of 32.1% CAGR during the forecast period.
Light Detection and Ranging is known as LiDAR, and in the automotive sector, most vehicles employ it to navigate areas in real-time. Sonar and LiDAR are similar to each other. In order to comprehend its surroundings, it fires pulsed laser waves in all directions. It measures the depth of an item using laser rays. Any object within a 60-meter radius can be checked for proximity using this device. In order to navigate the environment, it may make a 3D map of the area.
This characteristic is crucial for driverless vehicles. LiDAR technology has significant advantages for Level 3 (semi-autonomous) and Level 4 (autonomous) vehicle automation. The majority of automakers engaged in autonomous car development employ LiDAR technology. LiDAR provides autonomous vehicles with the ability to "see" by producing and analyzing millions of data points in real time, creating a precise map of the continuously shifting environment around the vehicle for secure navigation.
As autonomous vehicles acquire popularity and grow more and more critical for safety and accident prevention, the market for automotive LiDAR sensors is growing swiftly. Additionally, a rise in market players’ innovations?such as the integration of sensor technology into LiDAR point clouds via feature extraction and clustering to sense the barriers more effectively?is anticipated to open up lucrative opportunities for the growth of the automotive LiDAR sensors market throughout the projected period.
COVID-19 Impact Analysis
The COVID-19 pandemic has caused a diversion of government funding towards the healthcare sector, which has significantly impacted the market for automotive LiDAR sensor projects. As a result, the establishment of new projects has slowed down. However, The automotive LiDAR sensors market has shown signs of recovery following the lifting of lockdown restrictions and the implementation of large-scale vaccination programs globally. Therefore, it is expected that the market for automotive LiDAR sensors will experience a positive growth trend after facing a sharp reduction in sales during the starting phase of the pandemic.
Market Growth Factors
The advancements in autonomous vehicle technology
Several LiDAR sensor companies are dedicated to creating affordable LiDAR sensors by integrating all components onto a single chip. Some of these companies have received funding from government agencies. In addition, numerous venture investors are showing interest in startups developing cost-effective and improved LiDAR sensors for self-driving cars. As a result, the cost of LiDAR sensors is expected to decrease gradually, based on the trend observed in other automotive technologies. Hence, due to the constant technological advancement, the wider need and utilization of vehicle sensors like automotive LiDAR sensors will propel the market growth.
The increasing incidence of automobile collisions
Road traffic injuries can substantially impact the financial well-being of individuals and their families. The expenses associated with treating injuries can be significant, and fatalities or disabilities can decrease productivity. Furthermore, there is also a significant impact on business resulting from these injuries. Road traffic injuries significantly impact nations’ economies, resulting in a loss of 3% of their yearly gross domestic product. As LiDAR sensors in vehicles can aid the driver in detecting collision beforehand and, furthermore, get the vehicle under control with the utilization of various other ADAS systems, their utilization is expected to surge and thereby provide growth opportunities for the market.
Market Restraining Factors
The high cost of the LiDAR sensors decreasing their adoption
Automotive LiDARs are thought to be difficult and expensive at the moment. The massive size, complexity, and expense of the devices hamper the commercialization of automobile LiDAR sensors. Due to this, the pool of potential customers is anticipated to shrink as a result of the integration of these LiDARs into an autonomous system, which will increase the sticker price of the autonomous system. Even though LiDAR is anticipated to become less expensive as technology advances, the high cost of the system is currently preventing its adoption and limiting the market growth for automotive LiDAR sensors.
Based on type, the automotive LiDAR sensors market is segmented into time of flight (ToF) and frequency-modulated-continuous-wave (FMCW). The time of flight (ToF) segment dominated the automotive LiDAR sensors market with maximum revenue share in 2022. This is due to the fact that time of flight is a 3D imaging and scanning technology that is highly active. Time-of-Flight (ToF) technology offers superior speed, reliability, and energy efficiency for 3D imaging compared to structured light and stereo vision. Due to its cost-effectiveness, ToF technology is anticipated to experience an increase in requests for 3D imaging and scanning purposes.
On the basis of technology, the automotive LiDAR sensors market is divided into solid-state and electro-mechanical. The electro-mechanical segment procured a substantial revenue share in the automotive LiDAR sensors market in 2022. This is because electro-mechanical LIDARs are a type of LIDAR system that is commonly used in the automotive industry. They are often referred to as first-generation LIDAR sensors. The LIDAR system sensors utilize multiple moving parts to generate and discharge an array of laser beams toward the target region.
Image Type Outlook
By image type, the automotive LiDAR sensors market is classified into 2 dimensional and 3 dimensional. The 3 dimensional segment garnered a prominent revenue share in the automotive LiDAR sensors market in 2022. This is because 3D technology caters to various industries such as commercial vehicles, automotive, construction, agriculture, mining, infrastructure inspection, UAV delivery, and more. The 3D image type allows a seamless pixel alignment with no missing data. They offer a high vertical and horizontal resolution with co-registered intensity and range for optimal performance.
Vehicle Type Outlook
Based on the vehicle type, the automotive LiDAR sensors market is bifurcated into internal combustion engine (ICE), hybrid and battery electric. The battery electric segment recorded a promising growth rate in the automotive LiDAR sensors market in 2022. This is owing to the fact that autonomous vehicle technology in electric vehicles represents the future of transportation in the short, medium, and long term. Novel applications are being created to enable public transportation, delivery of goods, and other specific applications. Accurately identifying and categorizing objects within the vehicle’s surroundings is crucial for predicting paths and enhancing safety measures.
On the basis of application, the automotive LiDAR sensors market is divided into semi-autonomous vehicles and autonomous vehicles. The semi-autonomous vehicles segment led the automotive LiDAR sensors market by generating the maximum revenue share in 2022. This is because, in semi-autonomous vehicles, the driver retains the primary responsibility of operating the vehicle while being assisted by a range of ADAS features such as LiDAR. LiDAR-based features can enhance safety measures by offering early warnings and additional support in steering or controlling vehicles, thereby reducing the likelihood of crashes and accidents.
Region-wise, the automotive LiDAR sensors market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region generated the highest revenue share in the automotive LiDAR sensors market in 2022. The growth is attributed to the rising need for LiDAR sensors in autonomous vehicle delivery. Furthermore, the government’s focus on achieving net zero emissions is expected to drive the demand for electric vehicles, thereby fueling market growth in the region during the forecasted period.
The major strategies followed by the market participants are Product Launches. Based on the Analysis presented in the Cardinal matrix; Texas Instruments, Inc. is the forerunner in the Automotive LiDAR Sensors Market. Companies such as Robert Bosch GmbH, LeddarTech Inc., and Continental AG are some of the key innovators in Automotive LiDAR Sensors Market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Robert Bosch GmbH, Continental AG, Denso Corporation, Ouster, Inc., HELLA GmbH & Co. KGaA, First Sensor AG (TE Connectivity Ltd.), Texas Instruments, Inc., KUBOTA Corporation, Quanergy Systems, Inc. and LeddarTech Inc.
Recent Strategies Deployed in Automotive LiDAR Sensors Market
Product Launches and Expansions:
Jan-2023: Quanergy Systems, Inc. launched its new LiDAR-based mantrap physical security solution. This 3D solution is for the market which is hyper-accurate and not easy to defeat. It would help to overcome the tailgating problems faced by mantraps.
Aug-2022: Quanergy Systems Inc. released its new product named M1 Edge PoE LiDAR sensor, based on M1 Edge technology. This sensor is appropriate for any environment where threats come from small or from places that are hard to reach, it has alerting capabilities and allows smart awareness for applications that need simple object detection.
May-2022: LeddarTech launched its new product named LeddarSteer, which is designed for tier 1-2 automotive suppliers & LiDAR smart sensor developers. It helps them by providing them with multiple LiDAR applications, Automotive-grade solid-state technology, and software-control on-the-fly adjustment.
Jan-2022: LeddarTech released its new LeddarEcho? LiDAR Simulation Software in collaboration with dSPACE, a leading provider of validation and simulation solutions. This software has been released for Tier-1 sensor and perception system developers. It provides an automotive front LiDAR sensor model for hardware-in-the-loop (HiL) & software-in-the-loop (SiL) applications by using dSPACE’s sensor-realistic simulator AURELION, which emulates the LiDAR sensor’s operation.
Nov-2021: Continental AG launched its new LiDAR sensor named HFL110 solid-state 3D Flash LiDAR sensor. Released as a Series Production Product (SOP), this new automotive-grade short sensor with 3D Global Shutter would initiate Continental’s next generation of high-resolution automotive-grade LiDAR sensors in series production and would also enhance the company’s Automated Driving (AD), environmental sensor portfolio.
Nov-2021: Quanergy Systems, Inc. released its new M1 Edge? 2D LiDAR sensors which are paired with Quanergy’s QORTEX Aware? perception software. These IP67-resistant sensors lower the cost of ownership and perform reliably in any harsh weather condition, providing a mean time between failure up to 60000 hours. These new M1 Edge? 2D LiDAR sensors use M1 Edge integrated hardware & software solutions that automatically interpret, analyze and collect LIDAR point cloud data.
Apr-2021: LeddarTech released its new product named Leddar? Sight, which is a 2D solid-state LiDAR sensor. The sensor is robust, cost-effective, comes with various FoV options, with rapidly integrating features, and is available in volumes to customers, resellers, and system integrators, with all these properties & features it delivers us a precise detection along with measurement capabilities for indoor & outdoor applications like collision avoidance, autonomous driving, etc.
Partnerships, Collaborations and Agreements:
Jan-2023: Continental AG entered into a partnership with Ambarella, Inc., a company engaged in the business of designing semiconductors. This partnership aimed to develop end-to-end hardware & software solutions using Artificial Intelligence (AI) which would be scalable and used for assisted and automated driving (AD).
Jan-2023: DENSO entered into a partnership with AMD, an American company engaged in designing and developing computer processors and graphics technologies. This partnership would help DENSO in developing its next-generation lidar platform with the help using of AMD’s multi-processor SoC, which is highly scalable, performance-oriented, and programmable silicon. This silicon will help in complex image processing in DENSO’s lidar sensor architecture.
Sep-2022: Quanergy Systems, Inc. entered into a partnership with Fabrinet, a company engaged in advanced precision optical and electronic manufacturing services. This partnership would enable Quanergy Systems, Inc. to deliver more efficiency to customers and expand its global manufacturing by using Fabrinet’s global supply chain, reliability testing, and in-house failure analysis.
Jan-2021: DENSO entered into a partnership with Aeva, a provider of lidar technology solutions. Both companies would work together to advance Frequency Modulated Continuous Wave (FMCW) LiDAR, a solution that measures depth, reflectivity, and velocity and provides it to the vehicle market. This all would help to develop advanced perception and sensing systems.
Acquisitions and Mergers:
Apr-2022: Bosch took over a British company named Five AI, which develops autonomous vehicle software. This acquisition would help Bosch to enhance its software development for safe automated driving by supporting the company’s data from its fleet which would further help in creating advanced testing conditions or scenarios.
Jun-2021: Velodyne Lidar, Inc expanded its geographic footprint with the launch of its new India Design Center in Bangalore. This new center will further work with Velodyne’s San Jose, Calif.-based engineering team to build customer-focused solutions which will strengthen velodyne’s growth strategy to drive continuous innovation in lidar sensor and software solutions.
Scope of the Study
Market Segments covered in the Report:
• Time of Flight (ToF)
• Frequency-Modulated-Continuous-Wave (FMCW)
By Vehicle Type
• Internal Combustion Engine (ICE)
• Battery Electric
By Image Type
• 2 Dimensional
• 3 Dimensional
• Semi-autonomous Vehicles
• Autonomous Vehicles
• North America
o Rest of North America
o Rest of Europe
• Asia Pacific
o South Korea
o Rest of Asia Pacific
o Saudi Arabia
o South Africa
o Rest of LAMEA
• Robert Bosch GmbH
• Continental AG
• Denso Corporation
• Ouster, Inc.
• HELLA GmbH & Co. KGaA
• First Sensor AG (TE Connectivity Ltd.)
• Texas Instruments, Inc.
• KUBOTA Corporation
• Quanergy Systems, Inc.
• LeddarTech Inc.
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