- North America was estimated to be the largest market, by value, for automotive RADAR systems.
- The 7X-GHz frequency band RADAR sensor is estimated to be the fastest growing segment.
- Adaptive Cruise Control (ACC) is estimated to be the fastest growing application in RADAR based ADAS market.
RADAR technology is crucially important for defense, aeronautics, and automotive sectors among many others. RADAR technology in these sectors is majorly used to perform functions such as navigation & guidance, surveillance, target tracking, safety, and traffic monitoring among others.
One of the major restraints for this market is that the usage of the RADAR detector is considered as illegal in certain countries. A RADAR sensor can be installed in an automobile during its production phase, and this automobile can be offered for a sale, this is acceptable in almost all countries, but if a RADAR detector is purchased separately by a person, it can be misused and may result into accidents and loss of life. Therefore, it is illegal in certain countries and violation of the same result in fines, seizure of the device, or both.
The Automotive RADAR Market is projected to grow at a CAGR of 23.81%, to reach $6.61 billion by 2021.
- Rising the trend of autonomous cars
- Low penetration in developing markets
- Sensor fusion
The largest regional market for the automotive RADAR is the European market, which holds a majority of the market share of the global automotive RADAR market by value and volume. The European Commission is also in favor of legalizing the use of RADAR based ADAS applications to increase vehicle safety. According to the ETSI standard (EN 302 264), the use of short-range vehicular RADAR operating in the 77 to 81 GHz frequency the range is legalized and does not have any time constraint, neither operative restriction burdens. This has geared-up the ADAS applications in the European region, ultimately impacting the automotive RADAR market.
North America was estimated to be the largest market, by value, for automotive RADAR systems, owing to the stringent safety regulations in the region. Increased awareness of safety features has also fueled the demand in the region. The U.S. New Car Assessment Program (NCAP) has mandated autonomous emergency braking and lane departure warning system for a five-star rating for any passenger car. The U.S. National Highway Transport Safety Administration (NHTSA) is also studying the feasibility of lane departure warning and rearview camera system to make these technologies a mandate. All these regulations pertaining to vehicle safety are estimated to drive the growth of the automotive RADAR market in the region.
Players Profiled in the Report are:
- Analog Devices Inc.
- Autoliv Inc.
- Continental AG
- Delphi Automotive PLC
- Denso Corporation
- Hella KGaA Hueck & Co
- Infineon Technologies AG
- NXP Semiconductors N.V.
- Robert Bosch GmBH
- Texas Instruments Inc.
- Valeo S.A.
- ZF Friedrichshafen AG
- NXP Semiconductors N.V
Adaptive the cruise control system is estimated to have the highest growth potential which will further boost the demand for this market. This growth can be attributed to the proven benefits of the system in vehicle safety, increased autonomous level, etc. National Transport Safety Board, U.S. has included adaptive cruise control in its ten most wanted safety improvements in 2013. Under the Euro NCAP rating system also, these advanced systems will help to get a better rating if it is incorporated in the vehicle.
The short & medium range RADAR segment is estimated to have the largest market share, owing to the more applications in various driver assistance systems such as blind-spot detection, cross-traffic alert, and intelligent park assist. The application of these safety features requires at least two RADAR sensors. The demand for these safety features is growing due to factors such as rising government regulations for vehicle safety and the increase in adoption of automotive RADAR based ADAS technology by OEMs.
The mid-priced passenger vehicle type is estimated to hold the largest market size during the forecast period. This is because most of the mid-priced passenger vehicles are being incorporated with the automotive RADAR based ADAS applications, which were initially equipped in luxury vehicles only. The reduced cost of components, along with increased participation of major players across the eco-system, has also helped to reduce the overall cost of RADAR based ADAS features. This has favored the implementation of these features into the mid-priced passenger vehicles at an affordable price.