North America Automotive AI Market

Plastic Optic Fiber Market Report Thumbnail

North America Automotive AI Market by Component (Hardware, Software, and Services), by Technology (Machine Learning & Deep Learning, Computer Vision, and Natural Language Processing), and by Application (Semi-Autonomous and Fully Autonomous) - Opportunity Analysis and Industry Forecast, 2024– 2030

Industry: Automotive & Transportation | Publish Date: 04-Apr-2024 | No of Pages: 116 | No. of Tables: 81 | No. of Figures: 46 | Format: PDF | Report Code : N/A

  • Facebook
  • Linkedin
  • Whatsapp

Market Definition

The North America Automotive AI Market size was valued at USD 1.62 billion in 2023, and is predicted to reach USD 9.42 billion by 2030, at a CAGR of 28.7% from 2024 to 2030. Automotive Artificial Intelligence, or Automotive AI, refers to the application of machine learning and artificial intelligence technologies in the design, development, and operation of vehicles and related systems within the automotive industry. Automotive AI consists a wide range of applications, including autonomous driving, advanced driver assistance systems (ADAS), predictive maintenance, natural language processing for in-car voice recognition, and improving the overall efficiency and safety of vehicles. This technology enables vehicles to perceive their surroundings, make decisions, and interact with drivers and passengers. This further enhances the driving experience, safety, and efficiency of automotive systems.

Increasing Demand for the Electric Vehicles is Driving the Growth of the Market

The surging demand for electric vehicles (EVs) is significantly driving the automotive landscape. Also, the integration of artificial intelligence (AI) is playing a pivotal role in optimizing various sides of electric vehicle technology. AI is at the forefront of battery management, where advanced algorithms monitor and predict battery health, ensuring longevity and reliability. Additionally, machine learning is harnessed to enhance the energy efficiency of EVs, optimizing power usage and improving range prediction accuracy. The optimization of charging infrastructure, personalized user experiences through natural language processing and voice recognition, and the implementation of predictive maintenance contribute to a seamless and efficient electric vehicle ownership experience. As the automotive industry continues to transition towards sustainability, the synergy between AI and electric vehicles is driving innovations that not only meet environmental goals but also elevate the overall performance and user satisfaction within the electric vehicle market.

 

Rising Government Initiatives and Safety Concerns Propel the Market Growth

Governments and regulatory bodies are playing a pivotal role in propelling the growth of the automotive AI market through their emphasis on safety standards and the establishment of regulations. Recognizing the potential benefits of artificial intelligence in enhancing road safety and transportation efficiency, authorities are introducing measures that mandate the inclusion of advanced driver assistance systems (ADAS) and autonomous driving features. These regulations set clear guidelines for testing and certification with addressing crucial aspects such as data privacy and security in the context of AI-driven technologies. International collaboration further leads to standardized frameworks, fostering global adoption and innovation. Additionally, governments offer incentives and subsidies to manufacturers and consumers embracing AI in vehicles, providing economic motivation for the industry. In essence, regulatory support creates a conducive environment, ensuring the safe and structured integration of AI in the automotive sector.

Data Privacy and High Cost Associated with Automotive AI Restrains the Market Growth

Data privacy concerns and high costs are collectively restraining the growth of the automotive AI market. Consumers worry about how their personal data is collected, used, and protected by AI systems in vehicles. This led to demands for stringent data privacy measures. Additionally, the high development and integration costs of AI in vehicles can result in higher vehicle prices. This, in turn, potentially limit market adoption, especially among cost-conscious consumers. Balancing data privacy and cost considerations is crucial for the widespread acceptance and growth of automotive AI technologies.

Integration of Augmented Reality (AR) in Vehicles is Expected to Create Opportunity Growth for the Market

Augmented Reality (AR) in vehicles represents a cutting-edge application of artificial intelligence (AI) that focuses on enriching the driver's experience and safety. By integrating AI algorithms and visual overlays into the driver's field of view, typically through Head-Up Displays (HUDs) on windshields, AR enhances situational awareness on the road. AI-powered object recognition ensures the identification and highlighting of pedestrians, cyclists, and road signs, aiding the driver in navigating complex traffic scenarios. Navigation instructions, traffic alerts, and critical safety information are seamlessly displayed, reducing the need for the driver to shift attention away from the road. This technology also extends to interactive controls, allowing for touchless gestures or voice commands, further minimizing distractions.

 

The U.S. Holds the Dominant Market Share in North America Automotive AI Market

The surging demand for electric vehicles (EVs) is significantly driving the automotive landscape. Also, the integration of artificial intelligence (AI) is playing a pivotal role in optimizing various sides of electric vehicle technology. AI is at the forefront of battery management, where advanced algorithms monitor and predict battery health, ensuring longevity and reliability. Additionally, machine learning is harnessed to enhance the energy efficiency of EVs, optimizing power usage and improving range prediction accuracy. The optimization of charging infrastructure, personalized user experiences through natural language processing and voice recognition, and the implementation of predictive maintenance contribute to a seamless and efficient electric vehicle ownership experience. As the automotive industry continues to transition towards sustainability, the synergy between AI and electric vehicles is driving innovations that not only meet environmental goals but also elevate the overall performance and user satisfaction within the electric vehicle market.

Rapid technological advancements in artificial intelligence (AI) are propelling the automotive industry forward. Breakthroughs in algorithms, machine learning, and deep learning techniques are involved in making vehicles smarter and more capable. Machine learning enables cars to learn and adapt from data, while deep learning, with its complex neural networks, enhances capabilities such as image and speech recognition critical for advanced driver assistance systems (ADAS) and in-car infotainment. These advancements boost the performance of existing AI applications, such as predictive maintenance and optimized fuel efficiency, and also pave the way for innovative features. Automotive manufacturers integrate the latest AI capabilities to stay competitive and meet consumer expectations for enhanced safety, convenience, and an overall superior driving experience.

Mexico to Witness Substantial Growth in the North America Automotive AI Market

Governments and regulatory bodies are playing a pivotal role in propelling the growth of the automotive AI market through their emphasis on safety standards and the establishment of regulations. Recognizing the potential benefits of artificial intelligence in enhancing road safety and transportation efficiency, authorities are introducing measures that mandate the inclusion of advanced driver assistance systems (ADAS) and autonomous driving features. These regulations set clear guidelines for testing and certification with addressing crucial aspects such as data privacy and security in the context of AI-driven technologies. International collaboration further leads to standardized frameworks, fostering global adoption and innovation. Additionally, governments offer incentives and subsidies to manufacturers and consumers embracing AI in vehicles, providing economic motivation for the industry.

The seamless integration of the Internet of Things (IoT) into vehicles stands as a pivotal factor propelling the adoption of artificial intelligence (AI) in the automotive sector. In the contemporary automotive landscape, vehicles are equipped with an array of sensors and connected devices, generating vast streams of real-time data on performance, environmental conditions, and user interactions. The IoT facilitates the interconnectedness of these devices, enabling them to share and communicate data efficiently. Leveraging AI, these connected vehicles can process and analyze the copious amounts of data, offering transformative benefits such as predictive maintenance, advanced driver assistance systems (ADAS), personalized in-car experiences, and optimized traffic management.

 

Competitive Landscape

The market players operating in the North America automotive AI market include NVIDIA Corporation, Alphabet, Inc., Intel Corporation, Microsoft Corporation, IBM Corporation, Qualcomm, Inc., Tesla, Inc., BMW AG, Micron Technology, Xilinx, Inc.

North America Automotive AI Market Key Segments

By Component

  • Hardware

  • Software

  • Services

By Technology

  • Machine Learning & Deep Learning

  • Computer Vision

  • Natural Language Processing

By Application

  • Semi-Autonomous

  • Fully Autonomous

By Country

  • The U.S.

  • Canada

  • Mexico

REPORT SCOPE AND SEGMENTATION:

Parameters

Details

Market Size in 2023

USD 1.62 Billion

Revenue Forecast in 2030

USD 9.42 Billion

Growth Rate

CAGR of 28.7% from 2024 to 2030

Analysis Period

2023–2030

Base Year Considered

2023

Forecast Period

2024–2030

Market Size Estimation

Billion (USD)

Growth Factors

  • Increasing demand for the electric vehicles.

  • Rising government initiatives and safety concerns.

Countries Covered

3

Companies Profiled

10

Market Share

Available for 10 companies

Customization Scope

Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope.

Pricing and Purchase Options

Avail customized purchase options to meet your exact research needs.

KEY PLAYERS

  • NVIDIA Corporation

  • Alphabet, Inc.

  • Intel Corporation

  • Microsoft Corporation

  • IBM Corporation

  • Qualcomm, Inc.

  • Tesla, Inc.

  • BMW AG

  • Micron Technology

  • Xilinx, Inc.

Bar chart Pie chart Pie chart

Frequently Asked Questions

The key market players operating in the North America automotive AI market are NVIDIA Corporation, Alphabet, Inc., Intel Corporation, Microsoft Corporation, IBM Corporation, Qualcomm, Inc., Tesla, Inc., BMW AG, Micron Technology, Xilinx, Inc.

According to the Next Move Strategy Consulting, the size of the North America automotive AI market is estimated to be at USD 9.42 Billion in 2030.

Key applications of AI in the automotive industry include autonomous driving, predictive maintenance, natural language processing for in-car virtual assistants, image and speech recognition, and optimization of manufacturing processes.

Key challenges are the data privacy and high cost associated with automotive AI.

According to the Next Move Strategy Consulting, the size of the North America automotive AI market is estimated at USD 1.62 Billion in 2023.

Download Free Sample

Please Enter Full Name

Please Enter Valid Email ID

Please enter Country Code and Phone No

Please enter message

popular
$3,975
$2,975
$5,275
$2,975

This website uses cookies to ensure you get the best experience on our website. Learn more