PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1514944
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1514944
Automotive Artificial Intelligence Market size was valued at USD 2,541.2 Million in 2023, expanding at a CAGR of 25.10% from 2024 to 2032.
Automotive artificial intelligence is the use of AI technology in vehicles to improve efficiency, safety, convenience, and the overall driving experience. The automotive sector has seen the potential of AI and is one of the leading industries using AI technology to augment and replicate human actions. Furthermore, the emergence of modern automobile functions such as advanced driver assistance system (ADAS), adaptive cruise control (ACC), autonomous driving, blind spot alert, predictive maintenance, intelligent traffic management, and an increase in demand for convenience features are driving automotive manufacturers to incorporate AI into vehicles.
Automotive Artificial Intelligence Market- Market Dynamics
Increase in High-Speed Internet and 5G Technology
Automotive artificial intelligence relies on high-speed internet connections to provide real-time information about driver awareness, traffic circumstances, weather conditions, and other topics. The advancement of high-speed internet and communication technologies is expected to be a major driving force behind the rise of artificial intelligence in the car business. For instance, statistics from Invest India, a National Investment Promotion and Facilitation Agency of India established by the Government of India and the Ministry of Commerce and Industry, show that India's telecom industry is the world's second-largest, with 1.17 billion internet subscribers as of September 2022. The country's telecom business has grown exponentially in recent years as a result of the rollout of 3G and 4G networks, low-cost tariffs, and supportive government programs. Furthermore, in 2022, the government announced an auction of IMT/5G spectrum, which is expected to improve the country's telecom industry.
Automotive Artificial Intelligence Market- Key Insights
Our research analyst estimates that the global market will develop at a CAGR of approximately 25.10% between 2024 and 2032.
Based on Offering segmentation, in 2023, the hardware industry held the largest market share.
Based on Technology segmentation, Deep learning technology is expected to be the largest and fastest-growing technology.
Based on Application segmentation, Semi-autonomous driving accounted for a considerable portion of the application segment
Based on Process segmentation, Data mining is predicted to be the most rapidly increasing process in the Automotive Artificial Intelligence Market.
Based on Component segmentation, Graphics processing unit (GPU) was the leading type in 2023
On the basis of region, North America was the leading revenue generator in 2023
The Global Automotive Artificial Intelligence Market is segmented on the basis of Offering, Technology, Application, Process, Component, and Region.
The market is divided into three categories based on Offering: Hardware, Software, and Service. The hardware sector held the greatest market share in 2023. The hardware segment is one of the most important in the automotive artificial intelligence market, and it is necessary to apply artificial intelligence technology in autos. However, the software category is expected to experience the fastest growth rate due to the rising use of AI-powered software in various automotive applications such as speech recognition, picture identification, data analysis, and motion detection.
The market is divided into five categories based on Technology: Computer Vision, Context Awareness, Deep Learning, Machine Learning, and Natural Language Processing. Deep learning technology is projected to be the largest and fastest-growing technology. Many companies are investing in self-driving cars that employ deep learning technology to process images, recognize speech, and analyze data. For instance, Google's spin-off, Waymo, is making investments in autonomous vehicles. It has an active system integrated into its self-driving vehicle that uses deep learning technology to recognize pedestrians in a variety of conditions.
Automotive Artificial Intelligence Market- Geographical Insights
Geographically, this market is distributed over North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further split based on the nations bringing commerce. North America led the market in 2023. Early use of technology, such as artificial intelligence and analytics, has contributed to growth. The region will continue to grow as a result of increased recruiting for AI roles in the automotive industry. Furthermore, North America has long been a leader in the automated vehicle sector, with West Coast US tech centers providing considerable contributions to self-driving technology.
The Asia-Pacific region is expected to experience the quickest growth rate throughout the projected period, owing to the increased adoption of artificial intelligence solutions by key vehicle manufacturers. Furthermore, automakers are increasingly inclined toward self-driving vehicles, reduced fuel emissions, and reduced the likelihood of road deaths, which is predicted to boost market growth potential.
Major industry players, including Intel Corporation, Waymo, LLC., IBM Corporation, Microsoft Corporation, Nvidia Corporation, and Xilinx, Inc., are investing heavily in R&D to expand their product lines and drive further growth in the Automotive Artificial Intelligence market. Market players are also pursuing a variety of strategic measures to expand their global footprint, including new product releases, contractual agreements, mergers and acquisitions, increased investment, and collaboration with other companies. Competitors in the Automotive Artificial Intelligence business must provide cost-effective products in order to thrive and survive in an increasingly competitive and growing market.
In January 2024, Nvidia Corporation revealed the NVIDIA DRIVE Thor platform, a centralized car computing platform for the next generation of autos. The new platform combines a variety of intelligent tasks in a single AI computing platform, including AI cockpit functionality, driver and passenger monitoring, and autonomous driving and parking capabilities. The new platform is used by key EV manufacturers such as Great Wall Motor, Zeekr, Xiaomi EV, and more.
GLOBAL AUTOMOTIVE ARTIFICIAL INTELLIGENCE MARKET KEY PLAYERS- DETAILED COMPETITIVE INSIGHTS
Intel Corporation
Waymo, LLC.
IBM Corporation
Microsoft Corporation
Nvidia Corporation
Xilinx, Inc.
Micron Technology, Inc.
Tesla, Inc.
General Motors Company
Ford Motor Company
Others