Autonomous Emergency Braking System Market Outlook

The global Autonomous Emergency Braking (AEB) System market was valued at approximately USD 18 billion in 2022 and is anticipated to exhibit a robust compound annual growth rate (CAGR) of about 12% from 2023 to 2035. This growth is largely propelled by the increasing emphasis on vehicle safety regulations coupled with advancements in sensor technologies and the rising adoption of advanced driver-assistance systems (ADAS) across various vehicle categories. Moreover, the growing awareness regarding road safety among consumers and the automotive industry's continuous push towards the development of autonomous driving features further contributes to the escalated demand for AEB systems. These systems are instrumental in mitigating collision risks, thereby enhancing overall vehicle safety and driver assistance. The integration of AEB systems into mainstream vehicles is becoming increasingly prevalent, signifying a transformative shift in automotive safety paradigms and marking AEB as a critical component in future mobility solutions.

Growth Factor of the Market

The growth of the Autonomous Emergency Braking System market is driven by several key factors. Primarily, stringent government regulations mandating the incorporation of advanced safety features in vehicles have significantly influenced the market dynamics. Countries across the globe are implementing laws requiring manufacturers to equip new vehicles with AEB systems, which serves to enhance road safety and reduce accident rates. Furthermore, the increasing public awareness of road safety issues has led consumers to prefer vehicles outfitted with advanced safety technologies, thus fostering market growth. The automotive industry is also witnessing a rapid technological evolution, with innovations in sensor technologies such as radar, lidar, and cameras making AEB systems more effective and reliable. Moreover, the shift towards electric and hybrid vehicles is creating new opportunities for AEB system integration, as these vehicles often come equipped with the latest technology and safety features. Collectively, these factors create an optimal environment for the growth of the AEB system market.

Key Highlights of the Market

• The global AEB market is projected to grow at a CAGR of 12% from 2023 to 2035.
• Increasing government regulations mandating safety technologies in vehicles are driving market demand.
• Technological advancements in sensor systems are enhancing the effectiveness of AEB systems.
• Growing adoption of ADAS technologies among consumers reflects a shift towards safer vehicles.
• Integration of AEB systems in electric and hybrid vehicles is creating new market opportunities.

By Product Type

Low-speed AEB System:

The Low-speed Autonomous Emergency Braking (AEB) System is designed primarily to operate at lower speeds, typically below 30 km/h. This system is particularly beneficial in urban environments where stop-and-go traffic is common. It utilizes various sensors to detect potential collisions with other vehicles, pedestrians, or obstacles, and actively engages the braking system to prevent or mitigate accidents. The increased implementation of low-speed AEB systems by automotive manufacturers signifies a growing recognition of their potential to reduce rear-end collisions and provide additional peace of mind for drivers. Moreover, as more cities adopt smart infrastructure and connected vehicle technologies, the effectiveness of low-speed AEB systems is expected to improve significantly, further driving their adoption rate.

High-speed AEB System:

High-speed AEB Systems are engineered to function effectively at higher speeds, often exceeding 30 km/h. These systems are critical for preventing serious accidents on highways and major roads, where the severity of collisions can be significantly greater. High-speed AEB employs advanced sensor technologies and algorithms to assess the speed of the vehicle and the distance to potential obstacles, thereby facilitating timely intervention. The rising incidence of high-speed crashes has heightened the importance of such systems, prompting manufacturers to prioritize their integration into new vehicle models. Additionally, as automakers increasingly focus on providing safety features that enhance driver confidence and protect occupants, the demand for high-speed AEB systems is expected to rise considerably.

Pedestrian AEB System:

The Pedestrian AEB System is specifically designed to detect pedestrians and prevent collisions with them. Utilizing advanced sensor technologies, this system can identify pedestrians in the vehicle's path, assess the risk of collision, and automatically apply brakes if necessary. This feature is particularly critical in urban settings where pedestrian traffic is high. The growing concern over pedestrian safety and the increasing number of regulations aimed at reducing pedestrian casualties are propelling the adoption of Pedestrian AEB systems. By integrating these systems into vehicles, manufacturers are responding to consumer demands for enhanced safety measures, thus playing a crucial role in reducing the number of pedestrian-related accidents.

Motorcycle AEB System:

The Motorcycle AEB System is designed to increase the safety of motorcycle riders by detecting potential collisions and autonomously applying brakes when necessary. Given the inherent vulnerabilities of motorcyclists in traffic, this system is vital for reducing accident rates and improving overall road safety. With the rise in motorcycle usage globally and the increasing number of associated accidents, manufacturers are under pressure to incorporate advanced safety features, including AEB systems specifically tailored for motorcycles. By enhancing rider safety and confidence, motorcycle AEB systems are expected to play a significant role in the future of two-wheeled transportation.

Heavy-duty Vehicle AEB System:

The Heavy-duty Vehicle AEB System is engineered to cater to larger vehicles, such as trucks and buses, which often require more robust safety measures due to their size and weight. The complexities of operating heavy-duty vehicles necessitate advanced AEB systems that can handle distinct operational challenges, such as longer stopping distances and the potential for more severe collisions. As logistics and transportation sectors increasingly focus on safety and regulatory compliance, the development and integration of heavy-duty AEB systems are becoming paramount. Furthermore, the rise of e-commerce and the corresponding growth of freight and delivery services are likely to spur demand for these systems, making them a critical component in the evolution of commercial transportation safety.

By Application

Passenger Cars:

Passenger cars represent one of the largest segments for the AEB system market, primarily driven by consumer demand for enhanced safety features and the increasing recognition of the importance of active safety systems. As manufacturers strive to differentiate their offerings, many are now equipping their models with AEB systems as standard features. This trend is supported by stringent safety regulations and consumer awareness campaigns highlighting the benefits of advanced driver assistance systems. The presence of AEB systems in passenger cars not only improves safety but also boosts consumer confidence, ultimately influencing purchasing decisions. With ongoing advancements in technology, including sensor integration and software algorithms, the effectiveness and reliability of AEB systems in passenger cars are expected to continue improving, further driving their market penetration.

Commercial Vehicles:

The commercial vehicles segment is experiencing significant growth in the adoption of AEB systems due to increasing safety regulations and a growing focus on reducing accident rates in the transportation sector. Fleet operators are increasingly recognizing the benefits of AEB systems in terms of enhancing driver safety, reducing liability risks, and minimizing operational costs associated with accidents. The implementation of AEB technology in trucks and buses not only promotes road safety but also supports the trend toward smart logistics and connected fleet management solutions. As a result, the demand for AEB systems in commercial vehicles is expected to rise steadily, driven by regulatory mandates and the necessity for improved safety standards.

Bicycles:

The incorporation of AEB systems in bicycles is an emerging trend that aims to enhance rider safety and mitigate the risks associated with cycling in urban areas. With the growing popularity of cycling as a mode of transportation, especially in cities, there has been an increasing emphasis on developing safety features that protect cyclists from potential collisions. AEB systems for bicycles typically utilize advanced sensors to detect obstacles or potential hazards and can autonomously apply brakes to prevent accidents. As cities worldwide strive to promote sustainable transportation methods, the integration of AEB systems into bicycles will likely become more prevalent, enhancing the overall safety of this mode of transport.

Motorcycles:

Similar to bicycles, the application of AEB systems in motorcycles is gaining traction as a means to enhance rider safety. With the increasing number of motorcyclists on the road, the need for advanced safety features has become more pronounced. AEB systems for motorcycles are designed to detect imminent collisions and automatically apply brakes, thereby reducing the severity of accidents. As motorcycle manufacturers continue to focus on safety innovations to attract consumers, the adoption of AEB technology is expected to rise. This trend is further supported by the growing awareness of safety issues among riders and the regulatory push for enhanced safety measures in the two-wheeled vehicle segment.

Pedestrians:

While AEB systems are primarily designed for vehicles, their application in pedestrian safety has gained importance. AEB systems that focus on pedestrian detection aim to prevent accidents involving pedestrians, which are a significant concern in urban areas. These systems utilize various sensors to identify pedestrians in the vehicle's path and assess the risk of collision. By automatically applying brakes or alerting drivers, pedestrian-focused AEB systems contribute to reducing pedestrian casualties and improving overall road safety. The growing emphasis on urban mobility solutions and the need for safer streets further underline the importance of integrating pedestrian safety AEB systems in modern vehicles.

By Distribution Channel

OEMs:

The Original Equipment Manufacturers (OEMs) segment plays a crucial role in the distribution of AEB systems, as many automotive manufacturers are now integrating these safety technologies directly into their new vehicle models. The trend of equipping vehicles with AEB systems as standard features is gaining momentum among OEMs, driven by consumer demand for enhanced safety and regulatory compliance. As technology evolves, OEMs are increasingly collaborating with sensor technology providers to develop advanced AEB systems that meet both safety standards and consumer expectations. This direct inclusion of AEB systems in vehicles not only supports OEMsÔÇÖ competitive position in the market but also drives overall growth in the AEB system market.

Aftermarket:

The aftermarket segment is witnessing growth as vehicle owners seek to enhance the safety features of their existing vehicles. With the increasing awareness of road safety and advancements in technology, many consumers are opting to install AEB systems as retrofitting options for their vehicles. The aftermarket sector benefits from this trend, as it allows for the expansion of safety technologies to a broader range of vehicles already on the road. Companies specializing in automotive safety technologies are responding to this demand by providing AEB systems that are compatible with a variety of vehicle makes and models. As more consumers seek to upgrade their vehicle safety features, the aftermarket distribution channel for AEB systems is expected to grow significantly.

By Sensor Type

Radar:

Radar sensors are widely utilized in AEB systems due to their effectiveness in detecting objects at varying distances and conditions. These sensors use radio waves to identify obstacles and assess their speed and distance from the vehicle. The reliability of radar sensors, particularly in challenging weather conditions such as fog, rain, or snow, makes them an integral component of AEB systems. As automotive manufacturers continue to enhance the performance of AEB systems, the integration of advanced radar technologies is expected to increase, thereby improving the accuracy and reliability of collision detection and prevention.

Lidar:

Lidar sensors are becoming increasingly popular in the development of advanced AEB systems due to their ability to create detailed 3D maps of the vehicle's surroundings. By emitting laser pulses and measuring the time they take to return, lidar systems can accurately detect obstacles, including pedestrians and other vehicles. The high precision offered by lidar makes it an attractive choice for AEB applications, particularly in complex urban environments where accurate spatial awareness is crucial. As technology advances and costs decrease, the adoption of lidar sensors in AEB systems is likely to increase, further enhancing their capabilities.

Camera:

Camera-based systems are essential components of many modern AEB systems, providing visual information that aids in object detection and recognition. These systems use advanced image processing algorithms to analyze video feeds from cameras positioned around the vehicle. By interpreting the visual data, camera-based AEB systems can identify potential hazards, including other vehicles, pedestrians, and road signs. The integration of camera technology with other sensor types enhances the overall effectiveness of AEB systems, allowing for more sophisticated decision-making processes. As camera technology continues to evolve, its role in AEB systems is expected to grow, offering improved safety features for drivers.

Ultrasonic:

Ultrasonic sensors are primarily used in low-speed AEB systems, particularly for detecting obstacles when parking or maneuvering in tight spaces. These sensors emit sound waves and measure the time it takes for them to bounce back from nearby objects, allowing the system to determine the distance and presence of obstacles. Ultrasonic AEB systems provide an additional layer of safety during low-speed maneuvers, helping to prevent collisions with stationary objects or pedestrians. As urbanization continues to create more congested environments, the demand for ultrasonic AEB systems is expected to rise, further contributing to the growth of the AEB market.

By Vehicle Type

Conventional Vehicles:

Conventional vehicles have been the primary focus of AEB system adoption, as these vehicles make up a significant portion of the automotive market. AEB systems in conventional vehicles are designed to enhance safety by automatically applying brakes in critical situations, thereby reducing the likelihood of accidents. As consumer awareness regarding road safety grows, manufacturers are increasingly incorporating AEB systems into their conventional vehicle offerings. The trend of integrating advanced safety features into conventional vehicles is a response to regulatory pressures and consumer demand, which is expected to bolster the AEB system market.

Electric Vehicles:

Electric vehicles (EVs) are rapidly gaining traction in the automotive industry, and their adoption is closely linked to the integration of advanced safety features like AEB systems. The growing popularity of EVs is not only driven by environmental considerations but also by the increasing focus on technological advancements in safety and performance. Many EV manufacturers are capitalizing on the opportunity to differentiate their products by incorporating state-of-the-art AEB systems, appealing to consumers who value both safety and sustainability. The synergy between electric vehicles and AEB technologies is expected to create a significant market opportunity as the transition to electric mobility accelerates worldwide.

Hybrid Vehicles:

Hybrid vehicles, which combine traditional internal combustion engines with electric propulsion, are also embracing the integration of AEB systems. These vehicles represent a middle ground between conventional and electric vehicles, allowing consumers to experience benefits from both technologies. The adoption of AEB systems in hybrid vehicles is supported by manufacturers' goals to enhance safety features and comply with increasingly stringent regulations. As consumer interest in hybrid vehicles rises, driven by efficiency and sustainability concerns, the demand for AEB systems in this segment is anticipated to grow, aligning with broader safety and environmental goals.

By Region

In North America, the AEB system market is projected to maintain a strong growth trajectory, driven by stringent safety regulations and a growing emphasis on advanced driver assistance systems. The region's market is expected to reach approximately USD 7 billion by 2035, representing a CAGR of around 11% during the forecast period. The United States, being one of the largest automotive markets, is witnessing widespread adoption of AEB systems across various vehicle types, fueled by increasing consumer awareness regarding road safety and significant investments by automakers in safety technologies. Additionally, the presence of several leading automotive manufacturers in the region serves to further bolster the market's growth.

Europe is anticipated to hold a significant share of the AEB system market, with projections indicating a value of nearly USD 6 billion by 2035. The region's robust automotive sector, coupled with comprehensive regulations focused on enhancing vehicle safety, is driving the adoption of AEB systems among manufacturers. Countries such as Germany, France, and the United Kingdom are at the forefront of this trend, as they implement rigorous safety standards that mandate the inclusion of AEB systems in new vehicles. The increasing focus on sustainable and safe mobility solutions in Europe is expected to facilitate steady market growth in the coming years, with a CAGR of around 12% during the forecast period. The combined efforts of regulatory bodies and manufacturers are likely to establish Europe as a key region in the global AEB system market.

Opportunities

The Autonomous Emergency Braking System market presents numerous opportunities for growth, particularly as advancements in technology continue to reshape the automotive landscape. One of the most promising opportunities lies in the development of more sophisticated sensor technologies that can enhance the effectiveness and reliability of AEB systems. Innovations such as machine learning and artificial intelligence can improve the ability of AEB systems to accurately predict and respond to potential collisions. These advancements can significantly broaden the range of scenarios in which AEB systems can be effectively utilized, leading to increased adoption rates among manufacturers and consumers alike. Furthermore, the emergence of connected vehicles and smart infrastructure offers additional opportunities for integrating AEB systems into broader safety networks, enhancing road safety on a larger scale.

Another area of opportunity within the AEB system market is the growing focus on urban mobility solutions. As cities become more congested, the demand for advanced safety features in vehicles that navigate these environments is rising. AEB systems tailored for low-speed applications in urban settings can significantly enhance safety for both drivers and pedestrians. The increasing emphasis on reducing traffic accidents and improving pedestrian safety is driving municipalities to encourage the adoption of vehicles equipped with advanced safety technologies. Additionally, collaboration between technology providers, automotive manufacturers, and urban planners can lead to the creation of innovative safety solutions that integrate AEB systems with other smart city initiatives, thus further expanding the market potential.

Threats

While the Autonomous Emergency Braking System market is poised for growth, various threats could hinder its progress. One major concern is the potential for regulatory changes that could result in increased compliance costs for manufacturers. As safety regulations evolve, automotive companies may face challenges in adapting to new requirements, which could delay the implementation of AEB systems and impact overall market growth. Furthermore, the complexity of integrating AEB systems into existing vehicle designs may pose additional challenges, particularly for smaller manufacturers with limited resources. The competitive landscape also presents threats, as manufacturers strive to differentiate their offerings in a crowded market, which could lead to price wars and diminished profits.

Moreover, there is a growing reliance on technology in vehicles, which raises concerns about cybersecurity and system reliability. AEB systems that depend on sophisticated sensors and software are potentially vulnerable to hacking or system failures, posing safety risks. If consumers perceive AEB systems as unreliable or unsafe, this could significantly impact market growth. Additionally, public skepticism regarding the effectiveness of automated safety systems may hinder widespread acceptance and adoption. Addressing these threats will be crucial for manufacturers and stakeholders in the AEB system market to ensure sustainable growth and consumer trust.

Competitor Outlook

• Bosch
• Continental AG
• Mobileye (Intel Corporation)
• Delphi Technologies
• Denso Corporation
• ZF Friedrichshafen AG
• Veoneer
• Aptiv
• Magna International Inc.
• Autoliv Inc.
• Wabco Holdings Inc.
• Hitachi Automotive Systems
• Ficosa International S.A.
• Fujitsu Ten Ltd.
• Visteon Corporation

The competitive landscape of the Autonomous Emergency Braking System market is characterized by the presence of several key players, each vying for market share through innovation and strategic partnerships. Prominent companies such as Bosch and Continental AG are investing heavily in research and development to enhance AEB technologies and maintain their competitive edge. These manufacturers are leveraging advanced sensor technologies, machine learning capabilities, and robust testing methodologies to improve the effectiveness of their AEB systems. Additionally, collaborations with automotive manufacturers and technology providers are essential for creating comprehensive solutions that meet evolving safety standards and consumer expectations.

Mobileye, a subsidiary of Intel, has emerged as a leader in the AEB system market, recognized for its cutting-edge computer vision technology that powers its advanced driver assistance systems. The company's continuous focus on innovation and partnerships with major automakers has allowed it to establish a strong foothold in the AEB market. Similarly, companies like Delphi Technologies and Denso Corporation are also innovating in sensor technology and software applications, further contributing to the advancement of AEB systems. The competitive dynamics of the AEB market are likely to intensify as new entrants emerging from the technology sector seek to disrupt traditional automotive manufacturers with innovative safety solutions.

As the demand for AEB systems continues to grow, strategic alliances and mergers and acquisitions will play a pivotal role in shaping the competitive landscape. Companies such as ZF Friedrichshafen AG and Autoliv Inc. are actively pursuing partnerships to expand their product portfolios and enhance their technology capabilities. These collaborations not only foster innovation but also enable companies to address the diverse needs of the automotive market effectively. As OEMs seek to enhance vehicle safety and comply with stringent regulations, the role of AEB systems will be paramount, offering substantial growth opportunities for established players and new entrants alike.