Pune, April 16, 2025 (GLOBE NEWSWIRE) -- Automotive Artificial Intelligence Market Size Analysis: The Automotive Artificial Intelligence Market size was USD 3.44 billion in 2023 and is expected to reach USD 24.29 billion by 2032 and grow at a CAGR of 24.30% over the forecast period of 2024-2032. Get a Sample Report of Automotive Artificial Intelligence Market @ Major Players Analysis Listed in this Report are: Aptiv (Advanced Driver Assistance Systems, Automated Driving Solutions) Cruise LLC (Autonomous Vehicles, Cruise Origin) Mobileye (EyeQ Chipsets, Roadbook) NVIDIA Corporation (Drive PX, Drive AGX) Qualcomm Technologies, Inc. (Snapdragon Automotive Platform, C-V2X Solutions) Robert Bosch GmbH (ADAS Sensors, Automated Driving Solutions) Tesla (Autopilot, Full Self-Driving Software) The Ford Motor Company (Ford Co-Pilot360, FordPass) TOYOTA RESEARCH INSTITUTE (Guardian System, Platform for Autonomous Vehicles) Waymo LLC (Waymo Driver, Waymo One) Alphabet Inc. (Waymo, AI-Driven Transportation) Intel Corporation (Mobileye, AI for Autonomous Vehicles) Microsoft Corporation (Azure Cloud for Automotive, AI for Connected Vehicles) IBM Corporation (Watson AI for Autonomous Driving, IBM Cloud for Automotive) BMW AG (BMW iX, BMW ConnectedDrive) Micron Technology (Automotive Memory Solutions, DRAM for AI Applications) Xilinx Inc. (Adaptive Computing for Autonomous Vehicles, FPGAs for Automotive) Harman International Industries Inc. (Harman ExP, Harman Connected Services) Volvo Car Corporation (Volvo Pilot Assist, Volvo On Call) Audi AG (Audi AI, Audi Virtual Cockpit) General Motors Company (Super Cruise, OnStar) Honda Motor Co. Ltd. (Honda Sensing, Honda Connect) Hyundai Motor Corporation (Hyundai SmartSense, Hyundai Blue Link) Daimler AG (Mercedes-Benz MBUX, Autonomous Driving Solutions) Uber Technologies Inc. (Uber Advanced Technologies Group, Uber Freight) Didi Chuxing (Didi Autonomous Vehicles, AI for Ride-Hailing) Mitsubishi Electric (Autonomous Driving Systems, In-Vehicle Networking) Automotive Artificial Intelligence Market Report Scope: AI Revolution Accelerates in Automotive Sector, Driven by Autonomous Vehicles and Smart In-Car Technologies The automotive AI market is poised for significant growth, propelled by a set of forces that are revolutionizing the transportation industry. The market involves the design and implementation of AI technology in vehicle parts, manufacturing, and in-car features. The broad penetration of AI is spurred by several forces, such as the expanding penetration of autonomous vehicles, growing consumer preference for smart automotive systems, and accelerating innovation in AI-based analytics and sensors. The U.S. Automotive Artificial Intelligence Market size was USD 0.89 billion in 2023 and is expected to reach USD 6.23 billion by 2032, growing at a CAGR of 24.12% over the forecast period of 2024-2032. The U.S. Automotive Artificial Intelligence Market is growing at a fast pace, fueled by the proliferation of autonomous vehicles and advanced driver assistance systems (ADAS). The region's automakers are using AI for vehicle safety, efficiency, and customer experience by processing real-time data and predictive analytics. Robust technological infrastructure and heavy investments by major automakers and technology firms are driving innovations. Government incentives for AI adoption and positive regulations are also driving market growth. By components, Hardware Dominates the Automotive AI Market in 2023, as the Software Segment Races Ahead with a Surge in AI Algorithms and Cloud-Based Vehicle Platforms. The Hardware division was the forerunner of the Automotive AI Market in 2023 and garnered close to 69% of the revenue share. Its lead is largely because of the rising installation of premium AI chips, sensors, LiDAR, radar systems, and computing devices crucial for self-driving and next-generation driver assistive systems (ADAS). The software segment is likely to experience the fastest growth, with a CAGR of 25.88% during 2024-2032. The fast growth is underpinned by improvements in AI-based algorithms, machine learning, and cloud-based automotive platforms. Demand for AI-enabled predictive maintenance, vehicle control systems, and over-the-air updates are key drivers of growth. Car manufacturers are moving toward software-defined vehicles, utilizing AI to enhance user experiences and autonomous capabilities. By vehicle type, Passenger Vehicles Lead the Automotive AI Market in 2023, While Commercial Vehicles Gear Up for Rapid Growth with AI-driven fleet Innovations. The Passenger vehicles led with a 78% revenue share in 2023. The growth in AI-based ADAS integration, infotainment enhancements, and autonomous features is driving this leadership. Consumer demand for customized, secure, and connected driving experiences prompts manufacturers to adopt AI-based functionalities. Commercial vehicles are poised to clock the highest CAGR of 26.85% through the forecast period as AI applications escalate in autonomous logistics, fleet management, and fuel efficiency. Driver monitoring, predictive maintenance, and route management with AI-enabled solutions are turning out to be beneficial for transport and logistics companies. Machine Learning Dominates Automotive AI Applications in 2023, As Computer Vision Gains Momentum with Rising ADAS and Autonomous Driving Demand Machine learning dominated the market in 2023 with a 39% share, and it was used centrally to process sensor data for autonomous driving, predictive diagnostics, and adaptive control systems. It allows vehicles to learn and enhance functionality by themselves over time, improving safety and operational intelligence. The computer vision segment is anticipated to register a CAGR of 26.17% as it finds greater application in lane detection, pedestrian tracking, and object recognition. Computer vision technologies are paramount to safe driving and obstacle avoidance in autonomous cars and ADAS, making it a prominent innovation space. By level of autonomy, Level 2 Automation Dominates Automotive AI Market in 2023, While Level 3 Set to Surge with Advancements in Autonomous Driving Technologies. Level 2 automation dominated with a 41% share in 2023. This is owing mainly to their implementation in mass-market cars, including features such as adaptive cruise control and lane-keeping assistance. Affordability and supportive regulation of level 2 technology also contribute to their extensive utilization. Level 3 automation, nonetheless, is expected to expand at the highest CAGR of 26.92% as companies aim to decrease driver intervention using AI-powered autonomous features. Rising consumer preparedness and regulatory support for increased levels of automation enable this shift. Do you have any specific queries or need any customization research on Automotive Artificial Intelligence Market, Make an Enquiry Now@ Automotive Artificial Intelligence Market Segmentation: By Component Hardware Software By Level of Autonomy Level 1 Level 2 Level 3 Level 4 By Technology Machine Learning Natural Language Processing Computer Vision Context-aware Computing Others By Vehicle Type Passenger Vehicles Commercial Vehicles North America Dominates Automotive AI Market in 2023, While Asia Pacific Emerges as Fastest-Growing Region. North America led the global automotive artificial intelligence market in 2023, holding a 36% share of the revenue. The region's success is supported by an established automotive landscape, the robust presence of AI disruptors such as Tesla, NVIDIA, and Waymo, and supportive government regulations facilitating self-driving car tests and AI implementation. Venture capitalist funding and tech company investments, along with increased consumer appetite for connected, intelligent automobiles, continue to drive the region's competitive advantage. Conversely, the Asia Pacific region is estimated to advance with the highest CAGR of 26.13% during 2024-2032. The fastest-growing automotive AI technology, increasing automobile production levels, and the thriving electric vehicle industry are major factors behind this. The Chinese, Japanese, and Korean governments are supporting smart mobility and AI innovation in earnest by means of subsidies, R&D encouragement, and infrastructure enhancement. The concentration of top carmakers and tech players in the region makes the Asia Pacific a vital growth driver for the automotive AI market. Recent Developments Intel , in 2024, launched its Intel® Automotive SoC platform , delivering high-performance computing, embedded AI, and robust graphics to enhance in-vehicle infotainment and autonomous features. This platform marks a significant advancement in developing flexible and scalable automotive architectures. At CES 2025 , BMW unveiled its Panoramic iDrive system , an augmented reality windshield display that transforms the driving experience. It projects 3D navigation, safety warnings, and driving information directly onto the windshield, showcasing how AI and AR are revolutionizing user interfaces in vehicles. Table of Contents – Major Key Points 1. Introduction 2. Executive Summary 3. Research Methodology 4. Market Dynamics Impact Analysis 5. Statistical Insights and Trends Reporting 6. Competitive Landscape 7. Automotive Artificial Intelligence Market Segmentation, By Component 8. Automotive Artificial Intelligence Market Segmentation, By Level of Autonomy 9. Automotive Artificial Intelligence Market Segmentation, By Technology 10. Automotive Artificial Intelligence Market Segmentation, By Vehicle Type 11. Regional Analysis 12. Company Profiles 13. Use Cases and Best Practices 14. Conclusion Related Reports for Automotive Artificial Intelligence Market : Mobile Artificial Intelligence Market Size by 2032 Artificial Intelligence in Manufacturing Market Share by 2032 Artificial Intelligence In Agriculture Market Forecast by 2032 Artificial Intelligence In Marketing Market Overview by 2032 Artificial Intelligence of Things (AIoT) Market Analysis by 2032 About Us: SNS Insider is one of the leading market research and consulting agencies that dominates the market research industry globally. 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