US Autonomous Car Market Size (2024 - 2029)

The US Autonomous Vehicle Market is experiencing significant growth, driven by increasing demand for advanced driver assistance systems and the integration of autonomous technologies with smartphones. The market's expansion is supported by government regulations aimed at enhancing road safety and the rising interest among consumers for personal vehicles due to health concerns and changing commuting patterns. Despite challenges posed by the COVID-19 pandemic, which disrupted production and development, the collaboration between companies and opportunities from trade agreements are fostering further advancements in autonomous technology. While widespread acceptance of higher-level autonomous cars may take longer, the market is poised for rapid growth in lower-level autonomous vehicles.

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Market Size of US Autonomous Car Industry

US Autonomous Car Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Market Size (2024) USD 14.79 Billion
Market Size (2029) USD 37.56 Billion
CAGR (2024 - 2029) 20.50 %
Market Concentration High

Major Players

US Autonomous Car Market Major Players

*Disclaimer: Major Players sorted in no particular order

US Autonomous Vehicle Market Analysis

The US Autonomous Car Market size is estimated at USD 14.79 billion in 2024, and is expected to reach USD 37.56 billion by 2029, growing at a CAGR of 20.5% during the forecast period (2024-2029).

Over the medium term, with stringent regulations by the government focused on improving road safety, more autonomous vehicles are being developed with highly advanced technologies integrated with smartphones, creating new interest among market players to attract customers. Due to rising health concerns and changing commuting patterns, the demand for personal cars among private consumers is also increasing. According to Euromonitor's Voice of the Industry survey, 13% of respondents indicated they plan to permanently increase the usage of cars for commuting short distances.

Level 4 and Level 5 (as scaled by the SAE) autonomous cars may not reach wide acceptance by 2030. However, there would be rapid growth for Level 2 and Level 3 autonomous cars, which have advanced driver assistance systems, like collision detection, lane departure warning, and adaptive cruise control.

The demand for self-driving cars in the United States has increased significantly over the past few years. The demand is well supported by collaborations between companies across the United States. For instance,

  • In September 2023, Mercedes-Benz introduced the Mercedes-Benz Drive Pilot, a certified SAE Level 3 system, in the United States. This system manages dynamic driving tasks, allowing drivers to focus on other activities. The Drive Pilot system includes multiple sensors such as lidar, a rear camera, and microphones for detecting emergency vehicles.
  • In May 2023, Uber and Alphabet partnered to launch autonomous vehicle services for trips and deliveries in Phoenix, Arizona.

Apart from these developments, Mexico's new trade agreement with the United States and Canada involves opportunities for the transfer of autonomous technology. However, there is room for improvement in infrastructure in the coming years.

US Autonomous Vehicle Industry Segmentation

An autonomous car can sense its environment and move with little or no human input. Autonomous vehicles are made up of numerous sensors, such as lidar and radar systems, working concurrently to carry out operations automatically or without the help of drivers. The US autonomous car market report covers the latest trends and COVID-19 impact, followed by technological developments.

The report's scope is segmented by type, sensors, and level of automation. The market is segmented by type into fully autonomous and semi-autonomous vehicles. By sensors, the market is segmented into the image, lidar, radar, ultrasonic, and other sensors.

By level of automation, the market is segmented into conditional automation (Level 3), high automation (Level 4), and full automation (Level 5)). For each segment, market sizing and forecasts are based on value (USD).

Type
Fully Autonomous Vehicles
Semi-autonomous Vehicles
Sensors
Radar
Lidar
Ultrasonic
Other Sensors
Level of Automation
Conditional Automation (Level 3)
High Automation (Level 4)
Full Automation (Level 5)
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US Autonomous Car Market Size Summary

The US autonomous vehicle market is poised for significant expansion over the coming years, driven by advancements in technology and increasing consumer demand for safer and more efficient driving options. The market is experiencing a surge in interest due to the integration of advanced technologies with smartphones and the internet, which is attracting both consumers and market players. The demand for semi-autonomous vehicles, particularly those with Level 2 and Level 3 automation, is expected to grow rapidly as these vehicles offer advanced driver assistance systems that enhance safety and convenience. The market's growth is further supported by collaborations among companies, such as Velodyne Lidar's partnership with Faraday Future, and the ongoing development of connected car technologies that facilitate vehicle-to-vehicle and vehicle-to-infrastructure communication.

Despite the challenges posed by the COVID-19 pandemic, which temporarily disrupted production and research and development activities, the market is set to benefit from government support in the form of favorable policies and rebates. The United States autonomous vehicle market is characterized by intense competitive rivalry, with major players like Tesla, Waymo, and Ford leading the charge in innovation and strategic collaborations. These companies are actively working on developing and deploying autonomous vehicles, with significant milestones achieved in testing and regulatory approvals. The market's consolidation is evident as key players engage in brand reinforcement, innovation, and mergers and acquisitions to capture a larger share of the market. As infrastructure improvements and technological advancements continue, the demand for fully autonomous vehicles is expected to witness substantial growth, positioning the United States as a leader in the autonomous vehicle industry.

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US Autonomous Car Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Drivers

    2. 1.2 Market Restraints

    3. 1.3 Industry Attractiveness - Porter's Five Forces Analysis

      1. 1.3.1 Bargaining Power of Suppliers

      2. 1.3.2 Bargaining Power of Consumers

      3. 1.3.3 Threat of New Entrants

      4. 1.3.4 Threat of Substitute Products

      5. 1.3.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION (Market Size in Value (USD billion))

    1. 2.1 Type

      1. 2.1.1 Fully Autonomous Vehicles

      2. 2.1.2 Semi-autonomous Vehicles

    2. 2.2 Sensors

      1. 2.2.1 Radar

      2. 2.2.2 Lidar

      3. 2.2.3 Ultrasonic

      4. 2.2.4 Other Sensors

    3. 2.3 Level of Automation

      1. 2.3.1 Conditional Automation (Level 3)

      2. 2.3.2 High Automation (Level 4)

      3. 2.3.3 Full Automation (Level 5)

US Autonomous Car Market Size FAQs

The US Autonomous Car Market size is expected to reach USD 14.79 billion in 2024 and grow at a CAGR of 20.5% to reach USD 37.56 billion by 2029.

In 2024, the US Autonomous Car Market size is expected to reach USD 14.79 billion.

US Autonomous Vehicle Market Report Snapshots

US Autonomous Vehicle Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)