The artificial intelligence in transportation market is projected to grow to $10.3 billion by 2030 according to a report by Research & Markets, the world’s largest market research store.
That is a Compound Annual Growth Rate (CAGR) of 17.87% during the forecast period from the 2017 market valuation of $1.21 billion. The study contains insights from various industry experts, ranging from automotive OEMs to artificial intelligence technology providers.
The development of autonomous vehicles and industry-wide standards to implement safety features such as adaptive cruise control (ACC), collision warning, lane-keep assist, Advanced Driver Assistance Systems (ADAS), is a key contributing factor.
In addition, the growing demand for safety and convenience has created an opportunity for OEMs to develop new and innovative artificial intelligence systems that would attract customers.
The key focus of artificial intelligence in transportation is considered the development of autonomous trucks.
Even though autonomous trucks have not yet entered the market, several companies are currently planning ahead and developing the self-driving vehicles as the concern of road accidents caused by human error and the global shortage of truck drivers continues to grow.
According to the report, North America is estimated to dominate the artificial intelligence in transportation market.
The region already has the largest market for artificial intelligence in transportation in the world. And the factors that contributed to that, such as, strong financial position, shortage of truck drivers, strict government regulations for road safety, and presence of leading technology firms, are expected to contribute to the continued dominance.
Of the total size of the North American artificial intelligence in transportation market, the United States accounts for the largest share.
The US government is driving the US dominance, as according to a New York Times report, $4 billion was spent in 2016 to accelerate the acceptance of autonomous vehicles on US roads.
Another contributing factor is the projected growth of demand and sales of commercial vehicles in the US in the future.
Currently, most vehicles in the US are already equipped with advanced features such as adaptive cruise control, voice recognition system, gesture recognition, and blind spot detection, warning systems and lane departure.
During the forecast period, those factors are expected to drive the growth of artificial intelligence in transportation market in this region.
The report revealed that the increasing adoption of autonomous and semi-autonomous vehicles in which the deep learning technology is used for image processing, speech recognition, and data analysis, will also drive the market for deep learning technology.
Deep learning is currently used in ADAS, crash avoidance, object detection, and vehicle telematics control. The learning technology thrives on data and with autonomous vehicles, a large amount of data needs to be provided to ensure safety. Autonomous vehicles need to see, think, drive, and learn.
The report provides insights into the following points:
- Comprehensive information on Market Penetration of artificial intelligence technologies offered by the top players in the industry.
- Comprehensive information on various artificial intelligence technology Trends.
- Comprehensive information about Market Diversification in the global artificial intelligence in transportation market – emerging technologies, investments and recent developments.
- An in-depth assessment of the Competitive Landscape of artificial intelligence in transportation market – recent developments of startups, Tier-1 companies, and supply chain players.
The report further includes an in-depth competitive analysis of the key players, recent developments, and key market strategies.