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Automotive Radar Market Detailed Segmentation, Growth Forecast and Global Key Players Analysis 2026

Automotive radars are used for detecting objects on the road and sensing distances between vehicles in real-time. These radars help enhance driving efficiency and road safety. Automotive radars contain a receiver and transmitter, and is used for sending and receiving waves for detecting the distance, speed, and directions of objects. Collision detection, warning and mitigation, collision avoidance, blind spot monitoring and detection, lane change assistance, lane departure warning system, rear cross-traffic alerts, and vulnerable road user detection are some of the applications of automotive radar systems.

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Increasing concern regarding safety is one of the major factors driving growth of the automotive radar market.

Increasing demand for advanced safety system, comfort, and convenience systems, and increasing number of road accidents are expected to fuel growth of the automotive radar market. For instance, according to World Health Organization (WHO), an estimated 1.25 million road accidents were reported worldwide in 2013,out of which around 93% road traffic deaths were reported in low- and middle-income economies and over 50 million people were injured due to road accidents. Radar sensors are responsible for collecting vital information such as range, angle, and Doppler velocity, which is then used to determine the driving situation and warn drivers regarding potential collisions to avoid blind spot crashes. Thus, automotive radars increase safety, lower the risk of road accidents, and help manage road traffic, which in turn, influencing vehicle manufacturers to integrate advanced radar systems in vehicles. These factors are thus, expected to propel growth of the automotive radar market in the near future.

High cost of automotive radars is one of the major factors restraining growth of the market

The key factor restraining growth of the automotive radar market is the high cost of these radar systems. For instance, according to the Coherent Market Insights, in 2017, the costs for 24GHz, 77GHz, and 79GHz automotive millimetre-wave radar sensor modules were around US$ 50, US$ 150-220, and US$ 100-200, respectively. The cost of radars vary based on the range of detection, namely short range, medium range, and long range. Automakers thus refrain from using radar sensors in their vehicles, as it increases the overall cost of the vehicle, which negatively impacts sales and overall revenue. This in turn, is hampering growth of the market for automotive radars.

Global Automotive Radar Market: Regional Insights

The market for automotive radar in Europe accounted for the largest share in 2017 and is expected to retain its dominance over the forecast period (2018 – 2026). This growth is attributed to increasing stringency of vehicle safety norms for both active and passive safety standards on vehicles, by the European Commission (EC). For instance, the European commission set up General Safety Regulation (EC 661/2009), which mandates the use of electrical safety, electronic stability control, advanced emergency braking, tyre pressure monitoring, driver safety-belt reminder for trucks and buses. This, in turn, is expected to increase the installation of safety systems in vehicles, which is further expected to propel growth of the automotive radar market in Europe.

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Global Automotive Radar Market: Competitive Landscape

Key players operating in the global automotive radar market include Continental AG, Denso Corporation, Robert Bosch GmbH, Infineon Technologies AG, Valeo, NXP Semiconductors, HELLA KGaA Hueck & Co., Texas Instruments Incorporated (TI), Autoliv Inc., and ZF Friedrichshafen AG.

Major players are adopting product development strategies for strengthening their foothold in the market. For instance, in 2017, DENSO Corporation developed 24-GHz submillimeter-wave rear and side radar sensor to help enhance vehicle safety systems. This sensor is part of the automotive system, which helps drivers identify and navigate around other vehicles when changing lanes or reversing out of a parking space, and controls the autonomous emergency braking function to avoid imminent collisions. Thus, in turn, is expected to offers Denso Corporation a competitive edge in the global market.


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