HD Map for Autonomous Vehicles Market worth $16.9 Billion by 2030 (2024)

The HD Map for Autonomous Vehicles Market, by value, is estimated to be USD 1.4 billion in 2021 and is projected to reach USD 16.9 billion by 2030, at a CAGR of 31.7% from 2021 to 2030. HD maps are crucial for the development of autonomous vehicles. HD maps are built and updated in real-time by using the data captured by various sensors, cameras, LiDAR. This data helps autonomous vehicles to make better decisions while performing driving tasks. HD maps can also provide localization information, which will help find the vehicle's accurate position on the map. With recent advancements in computer vision and artificial intelligence, visual Simultaneous Localization and Mapping (SLAM) has gained significant accuracy in determining the position and orientation of a device with respect to its localization while simultaneously mapping the environment around that device. It is expected that HD maps will also provide advertising services, which will be the key revenue-generating segment for HD maps companies.

The study involved four major activities in estimating the current size of the HD maps for autonomous vehicles market. Exhaustive secondary research was done to collect information on the market, the peer market, and the parent market. The next step was to validate these findings, assumptions, and sizing with the industry experts across value chains through primary research. The top-down and bottom-up approaches were employed to estimate the complete market size. Thereafter, market breakdown and data triangulation processes were used to estimate the market size of segments and subsegments.

Driver: Growing trend of autonomous driving

There has been an increasing interest in autonomous vehicles throughout the world. Major players in the autonomous driving space are focusing on the research and development of autonomous driving technology. Leading OEMs such as Ford, Volkswagen, Mercedes, Toyota, Audi, General Motors, Honda, and Tesla have already rolled out plans for the development of autonomous vehicles. For instance, Audi plans to invest approximately USD 16 billion by 2023 on self-driving and sustainable technology. Major advantages of autonomous vehicles, such as increased efficiency, elimination of human errors in driving, environmentally friendly operation, etc., are driving the growth of autonomous vehicles. With the increasing population in urban areas, traffic congestion has evolved as a major concern. Autonomous vehicles can maintain shorter minimum distances between two vehicles compared to human-driven vehicles, which results in better traffic flow, reduction in emission of gases, and reduced congestion. In the Asia Pacific region, China is considered the most favorable country for the adoption of autonomous vehicles. The factors such as government support and investments by autonomous OEMs and technology companies such as Baidu and DiDi for the development of autonomous vehicles are expected to drive the growth of the market in China. HD maps market is directly dependent on the growth of the autonomous vehicles market. HD maps used in autonomous vehicles will ensure accurate navigation and safe commute, which will further boost the demand for HD maps.

Opportunity: Autonomous renting car services

The rapid development in automotive technology is moving the world towards connected, shared, electric, and ultimately autonomous vehicle. In the near future, autonomous vehicles are expected to play a key role in car renting services as, with advancements in technology, consumers will trust autonomous cars as a safe mode of transport. In 2018, leading autonomous driving technology development company Waymo has partnered with self-driving rental car company Avis Budget Group, which owns about 580,000 vehicles in 11,000 locations in 180 countries. Moreover, in 2017, Rent-A-Car, the largest rental car service operator in the US, signed an agreement with autonomous driving technology startup Voyage to manage its fleet of autonomous cars. As per the agreement, the car rental company will handle the maintenance of the autonomous vehicle fleet. Autonomous car renting is expected to reduce per-mile cost, which is expected to be a significant reason for the growth of these vehicles. With such developments in America, autonomous car renting service is expected to hit the roads within a span of 5 to 7 years. This is a significant opportunity for the HD maps market. Also, in the Asia Pacific region leading transportation network companies such as Ola and Uber are investing in autonomous vehicle technology, which is expected to boost the HD maps market.

Wide adoption of HD maps in passenger mobility segment expected to lead to market growth

Personal mobility is estimated to be the largest segment of the HD map for autonomous vehicle market, by usage type, owing to the higher volume of semi-autonomous vehicle sales, and a majority of semi-autonomous vehicles would be used for personal transportation. OEMs such as Honda, Nissan, General Motors, and Mercedes-Benz promote the use of HD map and use it to develop its level 2 and level 3 semi-autonomous vehicles. The commercial mobility segment is projected to be the fastest-growing because of the high demand for ride-sharing services, predominant usage of autonomous vehicles for ride-sharing and robo-taxi services, and growing partnership between ride-sharing companies and HD map providers.

The transportation of goods by autonomous vehicles helps minimize the cost of delivery. E-commerce companies mostly drive the delivery of goods by autonomous vehicles. According to companies like Continental, 80% of all business-to-consumer deliveries will be done by driverless cars in the future. OEMs, autonomous vehicle technology providers, and logistics/transportation companies such as Pony.ai, FedX, and Ford are involved in testing autonomous last delivery vehicles across the world. For example, in June 2021, Ford and Hermes, a consumer delivery company in the UK, started testing autonomous vehicles for delivery. HD mapping companies can focus on developing HD maps and other related solutions for the commercial mobility segment as it can provide high growth opportunities, especially for new entrants.

Level 2&3 semi-autonomous vehicles to ensure dominant position of the segment

HD map market for Level 2&3 semi-autonomous vehicles is estimated to be the largest market, and the market for Level 4&5 autonomous vehicles is expected to be the fastest-growing market during the forecast period. The semi-autonomous vehicle segment dominates because of the demand for features such as Co-operative Adaptive Cruise Control, Highway Autopilot, Auto Lane Change, and Hands-free Auto Parking. Other factors include stringent laws concerning autonomous driving and a greater number of semi-autonomous vehicles on road than autonomous vehicles during the forecast period. Rapid advancements and the decreasing cost of ADAS components and solutions are expected to spur the growth of the HD map market for semi-autonomous vehicles. For example, ZF unveiled its coASSIST level 2+ driving system in 2020 with a price range of USD 1,000. Such affordable ADAS solutions would increase the penetration of major ADAS features in a standard ADAS package. ZF offers copilot, a scalable ADAS solution for level 2+ to level 4 driving systems, was co-developed with NVIDIA. These affordable ADAS solutions would significantly boost the adoption of ADAS and the demand for HD maps for semi-autonomous vehicles. The autonomous vehicles segment is projected to have a significant growth rate during the forecast period. The continuous improvement in HD map technology is also a major factor boosting the growth of the market. Increasing investments for the development of level 4 and level 5 technologies and the growth in the testing activities of level 4 and level 5 autonomous vehicles will drive the HD map market for autonomous vehicles.

Asia Oceania is projected to be the fastest-growing in the HD maps for autonomous vehicles market

Asia Oceania region is projected to be the fastest-growing market for HD map for autonomous vehicle during the forecast period. The factors that could contribute to the growth of the region are the presence of leading HD map providers such as AutoNavi, NavInfo, and Momenta and the changing regulations concerned with autonomous driving.

Asia Oceania region comprises countries such as China, Japan, India, and South Korea. In recent years, China has emerged as a hub for automobile production. Infrastructural developments and industrialization activities in emerging economies have opened new avenues, creating several opportunities for automotive OEMs. This has triggered the growth of the HD mapping market in these regions. MapmyIndia is the leading HD mapping solution provider for the Indian market, which serves top companies such as BMW, Ford, Hyundai, etc. The growing technological advancements in China have increased the demand for semi-autonomous vehicles, which is going to increase the market for HD maps. The economic growth in this region has increased the purchasing power of the public. Increasing government support and investments in autonomous vehicle technology boost the growth of the HD Map for the autonomous vehicle market in the Asia Oceania region. The partnerships of the top HD mapping companies in this region such as NavInfo and Momenta with leading companies like HERE, Ambarella, and Analog Devices can also boost the growth of the HD map market in Asia Oceania.

Key Market Players:

The report analyzes all major players in the HD maps for autonomous vehicles market including are TomTom (the Netherlands), HERE Technologies (the Netherlands), Waymo (US), NVIDIA (US), Baidu (China), Dynamic Map Platform (Japan), NavInfo (China), and Zenrin (US).