Autonomous Vehicles Semiconductor Market Report

Attractive Opportunities

Global Demand Analysis & Sales Opportunities in Autonomous Vehicles Semiconductor Market

• The annual demand for autonomous vehicles semiconductor was USD 60.65 billion in 2024 and is expected to reach USD 67.20 billion in 2025, up 10.80% than the value in 2024.
• During the next 8 years (forecast period of 2025-2032), the autonomous vehicles semiconductor market is expected to grow at a CAGR of 10.40%. The annual demand will reach of USD 134.32 billion in 2032.
• During 2025-2032, the autonomous vehicles semiconductor industry is expected to generate a cumulative sales opportunity of USD 782.18 billion.

High-Growth Market Segments:

• North America accounted for the largest share of the autonomous vehicle semiconductor market.
• By Vehicle type, Passenger Vehicle segment accounted for the largest market share and is further expected to be the fastest-growing segment during the forecast period.
• By Device type, LiDAR segment is the fastest-growing segment of this market during the forecast period.

Market Statistics

Have a look at the sales opportunities presented by the autonomous vehicles semiconductor market in terms of growth and market forecast.

Market Dynamics

Introduction:

What is an autonomous vehicles semiconductor?

An autonomous vehicle's semiconductor refers to an electronic component that enables critical functions such as perception, decision-making, and control within self-driving systems. These semiconductors power sensors, cameras, artificial intelligence processors, and connectivity modules. They are essential for real-time data processing, object detection, navigation, and safety, making them foundational to autonomous vehicle performance and reliability.

Market Drivers:

ADAS (Advanced Driver-Assistance Systems) and Evolving Safety Regulations

• ADAS (Advanced Driver-Assistance Systems) and evolving safety regulations are key drivers of the autonomous vehicles semiconductor market. Governments worldwide are implementing mandatory features, including automatic emergency braking, lane departure alerts, and adaptive cruise control, to enhance road safety.
• These features rely on advanced semiconductors for real-time sensor data processing and decision-making. Thus, regulatory pressure and consumer demand for safer vehicles are driving the adoption of semiconductors across autonomous platforms.

Market Challenges:

High Development Costs

• High development costs remain a major barrier in the autonomous vehicle semiconductor market, as designing automotive-grade chips demands extensive R&D, compliance with safety standards like ISO 26262, and rigorous testing for reliability and durability.
• These financial and technical challenges can limit innovation, ultimately slowing the overall growth and scalability of autonomous vehicle technologies.

Market Opportunities:

Rising Adoption of Autonomous and Semi-Autonomous Vehicles

• The rising adoption of autonomous and semi-autonomous vehicles presents a significant growth opportunity for the semiconductor market, as these vehicles rely heavily on advanced chips for perception, decision-making, and control.
• Growing customers' demand for safety, convenience, and intelligent mobility solutions creates a need for high-performance processors, sensors, and AI modules, significantly boosting semiconductor integration across modern vehicle architectures.

Segment Analysis

By Vehicle Type 

“Passenger Vehicle segment accounted for the largest market share and is further expected to be the fastest-growing segment during the forecast period.”

• The autonomous vehicles semiconductor market is segmented by vehicle type into passenger vehicle and commercial vehicle.
• Passenger Vehicle segment accounted for the largest market share and is further expected to be the fastest-growing region during the forecast period, due to the rising consumer demand for advanced safety, comfort, and autonomous driving features.
• Moreover, increasing adoption of electric and semi-autonomous vehicles, coupled with supportive government policies and growing urbanization, is driving semiconductor integration in passenger vehicles, making this segment a key contributor to market expansion.

By Device Type

“LiDAR segment is the fastest-growing segment of this market during the forecast period.”

• The autonomous vehicles semiconductor market is segmented by device type into trucks and trans-shipment & bunkering.
• LiDAR segment is the fastest-growing segment of this market during the forecast period, due to its critical role in enabling precise 3D mapping, object detection, and real-time navigation.
• Furthermore, increasing adoption in advanced driver-assistance systems (ADAS), growing demand for higher safety standards, and ongoing technological advancements in solid-state LiDAR are key factors driving this segment’s rapid expansion.

Regional Analysis

“North America accounted for the largest share of the autonomous vehicles semiconductor market.”

• In terms of region, the autonomous vehicles semiconductor market is segmented into the North American region, the European region, the Asia-Pacific region, and the rest of the world.
• North America accounted for the largest share of the autonomous vehicles semiconductor market, due to strong presence of leading automotive and semiconductor companies, robust R&D investments, and early adoption of advanced driver-assistance technologies.
• Moreover, supportive regulatory frameworks, rising demand for electric and autonomous vehicles, and extensive testing infrastructure further contribute to the region’s market leadership and sustained growth. 

Competitive Landscape

Most of the major players compete in some of the factors, including price, service offerings, regional presence, etc. The following are the key players in the autonomous vehicles semiconductor market –

• Teledyne
• Intel Corporation
• NXP Semiconductor
• Infineon Technologies
• Sensata Technologies
• ST Microelectronics
• Samsung Corporation
• Qualcomm Technologies, Inc.
• NVIDIA Corporation
• Sony Corporation

Note: The above list does not necessarily include all the top players in the market.

Are you a leading player in this market? We would love to include your name. Please write to us at [email protected]

Recent Developments/Mergers & Acquisitions: 

• In April 2024, Qualcomm established strategic partnerships with Toyota and FAW Group’s Hongqi, focusing on its Snapdragon Ride platform for autonomous driving. The company is also in active talks with other Chinese automakers. Its latest Snapdragon 8295 chip delivers over seven times the AI processing power of its predecessor and is already integrated into leading EV models from Mercedes-Benz, Nio, Xpeng, Zeekr, Xiaomi, and Leapmotor. 

• In March 2024, AMD partnered with Sony Semiconductor Solutions (SSS) to incorporate its advanced adaptive computing technology into SSS’s latest automotive LiDAR reference design. This collaboration aims to deliver a high-performance, reliable, and adaptable LiDAR solution for autonomous vehicles, enhancing hazard detection and enabling precise navigation in complex driving environments.

Report Features

This report provides market intelligence most comprehensively. The report structure has been kept so that it offers maximum business value. It provides critical insights into market dynamics and will enable strategic decision-making for existing market players as well as those willing to enter the market.

The following are the key features of the report:

• Market structure: Overview, industry life cycle analysis, supply chain analysis.
• Market environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
• Market trend and forecast analysis.
• Market segment trend and forecast.
• Competitive landscape and dynamics: Market share, Service portfolio, New Product Launches, etc.
• COVID-19 impact and its recovery curve.
• Attractive market segments and associated growth opportunities.
• Emerging trends.
• Strategic growth opportunities for the existing and new players.
• Key success factors.

Market Segmentation

This report studies the market, covering a period of 15 years of trend and forecast. The report provides detailed insights into the market dynamics to enable informed business decision-making and growth strategy formulation based on the opportunities present in the market.

The autonomous vehicles semiconductor market is segmented into the following categories. 

Autonomous Vehicles Semiconductor Market, by Vehicle Type

• Passenger Vehicle
• Commercial Vehicle

Autonomous Vehicles Semiconductor Market, by Device Type

• Radar
• LiDAR
• Ultrasound
• Camera Unit
• Processors
• Sensors
• MCU

Autonomous Vehicles Semiconductor Market, by Region

• North America (Country Analysis: The USA, Canada, and Mexico)
• Europe (Country Analysis: Germany, France, Italy, The UK, and Rest of Europe)
• Asia-Pacific (Country Analysis: Japan, China, India, and Rest of Asia-Pacific)
• Rest of the World (Country Analysis: Brazil, Saudi Arabia, and Others)

Research Methodology

• This strategic assessment report from Stratview Research provides a comprehensive analysis that reflects today’s autonomous vehicles semiconductor market realities and future market possibilities for the forecast period. 
• The report segments and analyzes the market in the most detailed manner to provide a panoramic view of the market.
• The vital data/information provided in the report can play a crucial role for market participants and investors in identifying the low-hanging fruits available in the market and formulating growth strategies to expedite their growth process.
• This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools.
• More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data.
• We conducted more than 15 detailed primary interviews with market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.

Customization Options

With this detailed report, Stratview Research offers one of the following free customization options to our respected clients:

Company Profiling

• Detailed profiling of additional market players (up to three players)
• SWOT analysis of key players (up to three players)

Competitive Benchmarking

• Benchmarking of key players on the following parameters: Service portfolio, geographical reach, regional presence, and strategic alliances

Custom Research: Stratview Research offers custom research services across industries. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to [email protected]