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Germany Autonomous Vehicle Market Witnessing Increasing Number of Partnerships

Published Date:   June 2019

The German fully autonomous vehicle market is expected to reach $28.0 billion by 2030, advancing at a CAGR of 20.2% during 2023–2030. Increasing government support toward the development of autonomous vehicles and the rising need for safer and more efficient driving options are the major factors boosting the growth of the German autonomous vehicle market, according to P&S Intelligence.

Germany is the first country in the world to authorize semi- and fully autonomous driving systems. In December 2016, the German government publicized its objectives to develop autonomous driving infrastructure in the country. Moreover, the growing government support in the form of subsidies, grants, and other assistance is propelling the growth of the German autonomous vehicle market.

Insights into market segments

On the basis of vehicle autonomy, the German autonomous vehicle market has been categorized into semi-autonomous and fully autonomous cars. Between the two, semi-autonomous cars held the entire market share in 2018 and are expected to continue leading the market till 2023.

In 2012, the European Commission confirmed a proposal for the mandatory introduction of ESC in all new passenger cars and commercial vehicles sold in the EU, with all new vehicles being equipped by 2014. This eventually made all passenger cars semi-autonomous, as the ESC equipped cars are considered level 1 autonomous cars. However, during 2023–2030, the German autonomous vehicle market is expected to witness faster growth in the category of fully autonomous vehicles in terms of sales volume.

Based on application, the German autonomous vehicle market has been categorized into personal cars, ride hailing services, transit buses, motor coaches, logistics, and others. Among these, motor coaches are expected to witness the fastest growth in terms of sales volume during the forecast period. The growing availability of shared autonomous vehicles in the country and changing consumer perspective toward car ownership are encouraging the German population to switch to public transportation, thus boosting the market for autonomous motor coaches.

Need for safer and more efficient driving options is acting as a growth driver

The adoption of autonomous vehicles is being propelled by the promise the technology holds for safer and more efficient vehicle operations despite the road traffic. Road congestion in the country is increasing at a substantial rate, and the primary cause for road crashes is human error, which accounts for more than 90% of road accidents, often resulting in serious injuries and even death in some cases. Several factors, for instance, failure to pay attention while driving, inappropriate speed, and unsafe distance from the vehicle moving ahead, lead to crashes or accidents. Thus, the facilities offered to drivers by ADAS system-equipped semi-autonomous vehicles are driving the growth of the German autonomous vehicle market.

Browse report overview with 67 tables and 56 figures spread through 151 pages and detailed TOC on "Germany Autonomous Vehicle Market Research Report: By Vehicle Autonomy (Semi-Autonomous Vehicle, Fully Autonomous Vehicle), Vehicle Type (Internal Combustion Engine, Hybrid Electric Vehicle, Battery Electric Vehicle), Application (Personal Cars, Ride Hailing Services, Transit Buses, Motor Coaches, Logistics) – Competition Analysis and Growth Forecast to 2030" at:https://www.psmarketresearch.com/market-analysis/germany-autonomous-vehicles-market

Increasing number of partnerships among industry players is a key market trend

The mass production of autonomous vehicles not only involves the development of software prototype but also the production of electronic components, with complete component verification and validation, both virtually and physically. The process also includes system-driven product development. Thus, to facilitate the same and to support autonomous vehicle testing, many players in the German autonomous vehicle market have entered into partnerships in the past few years. For instance, in 2018, BMW AG entered into a partnership with TTTech Computertechnik AG and KPIT Technologies Limited for the development of a scalable platform (software) to facilitate autonomous driving and to support level 3, 4, and 5 functions.

In the same year, Volkswagen AG formed an alliance with Aquantia, Nvidia Corporation, Robert Bosch GmbH, and Continental AG to work on technical issues so as to develop a fully autonomous vehicle. Thus, the increasing number of partnerships among industry players can be viewed as a key trend in the German autonomous vehicle market.

Germany autonomous vehicle market’s competitive landscape

Some of the major manufacturers operating in the German autonomous vehicle market are Volkswagen AG, FCA Italy S.p.A., Group PSA, BMW Group, Hyundai Motor Company, Toyota Motor Corporation, Tesla Inc., Renault–Nissan B.V., Ford Motor Company, and Daimler AG.

GERMANY AUTONOMOUS VEHICLE MARKET SEGMENTATION

Market Segmentation by Vehicle Autonomy

  • Semi-Autonomous Vehicle
    • Passenger car
      • Level 1
      • Level 2
      • Level 3
    • Truck
      • Level 1
      • Level 2
      • Level 3
    • Bus
      • Level 1
      • Level 2
      • Level 3
  • Fully Autonomous Vehicle
    • Passenger car
      • Level 4
      • Level 5
    • Truck
      • Level 4
      • Level 5
    • Bus
      • Level 4
      • Level 5

Market Segmentation by Vehicle Type

  • Internal Combustion Engine (ICE)
  • Hybrid Electric Vehicle (HEV)
  • Battery Electric Vehicle (BEV)

Market Segmentation by Application

  • Personal Cars
  • Ride Hailing Services
  • Transit Buses
  • Motor Coaches
  • Logistics
  • Others