"Market Intelligence for High-Geared Performance"

Self-Driving Bus Market Size, Share & Industry Analysis, By Component (Hardware, Software, and Services), and Regional Forecast, 2023 – 2030

Region : Global | Format: PDF | Report ID: FBI105800

 

KEY MARKET INSIGHTS

Play Audio Listen to Audio Version

The global self-driving bus market size is expected to grow from USD 1.57 billion in 2023 to USD 8.93 billion by 2030, exhibiting a CAGR of 28.2% during the forecast period.


A self-driving bus is also known as an autonomous or driverless bus. The market pertains to the sector dedicated to the development, production, and deployment of autonomous buses. The vehicle utilizes advanced technologies, including sensors and artificial intelligence, to navigate without direct human control. The aim is to provide efficient, intelligent, safe, and reliable public transportation solutions, by enhancing overall mobility in urban and suburban areas. The growth of the market is attributed to advancements in autonomous vehicle technologies, increased investment in research and development, and a growing emphasis on smart and sustainable transportation solutions.


Self-Driving Bus Market Trends


Rising Adoption of Electric and Autonomous Integration is an Ongoing Trend in the Market


The rising adoption of electric and autonomous integration is an ongoing trend in the market. Many autonomous buses are adopting electric propulsion systems to align with sustainability goals. This trend is environmentally friendly and also contributes to the reduction of operational costs and dependency on traditional fuel sources. Autonomous buses are increasingly leveraging AL algorithms to enhance the decision-making process. For instance, in August 2023, VDL signed a contract with Schaeffer to develop and produce a new generation of self-driving electric shuttles for public transport. As conveyed, the two companies were then in advanced negotiations with public transport authorities and operators about pilot projects. Such developments would drive market growth during the forecast period.


Request a Free sample to learn more about this report.


Self-Driving Bus Market Growth Factors


Increasing Safety Improvement and Rise of Mobility as a Service to Propel Market Growth


The increasing safety improvement and rise of mobility as a service drive market growth. Autonomous buses have the potential to significantly reduce accidents caused by human error, such as distracted driving or fatigue. Advanced sensors and algorithms enhance the vehicle's ability to detect and respond to its environment, leading to a safer transportation system. This increasing safety engagement fuels the demand for autonomous buses.


The concept of mobility as a service, where transportation is viewed as a comprehensive and interconnected service, aligns well with the autonomous bus market. These buses can be integrated into larger urban mobility networks, providing seamless and efficient transportation options. Thus, the rise of mobility as a service (Maas) is anticipated to boost market growth during the forecast period.


For instance, in January 2023, ZF signed a partnership with Beep, Inc. to bring a new-generation autonomous Level 4 shuttle to the U.S. market. The agreement aimed to deliver several thousand shuttles to customers over the coming years. Furthermore, it intended to combine ZF’s ATS with Beep’s mobility services and service management platform into a single-source autonomous mobility solution.


RESTRAINING FACTORS


High Initial Cost and Infrastructure Limitations May Hamper Market Growth


The cost associated with autonomous driving technology electric propulsion systems is high compared to conventional driving technology. Many transit agencies/companies may find it financially challenging to invest and adopt these technologies. The need for clearer and standardized regulations for autonomous vehicles poses a significant obstacle. Government and regulatory bodies are working to establish guidelines. However, the technology makes it challenging to create universally accepted regulations. The adoption of autonomous buses/self-driving buses relies on advanced infrastructures, including smart traffic signals, dedicated lanes, and communication networks. The lack of such infrastructure can hinder the self-driving bus market growth. Although an autonomous vehicle transmits and accepts information, the system reacts to driving scenarios based on its prior experiences. Therefore, new or unexpected roadway or weather conditions can lead to system failures and accidents.


Self-Driving Bus Market Segmentation Analysis


By Component Type Analysis


To know how our report can help streamline your business, Speak to Analyst


Rising Communication and Connectivity Technology for Autonomous Buses are Driving Hardware Segment Growth


Based on component type, the market is segmented into hardware, software, and services.


The hardware segment holds the highest market share at the global level. The segmental growth is attributed to the rising development of communication and connectivity technology for autonomous buses. Effective communication between autonomous buses, infrastructure, and other vehicles is crucial for coordinated operations. Hardware components related to vehicle-to-everything (V2X) communication, including onboard communication modules, antennas, and connectivity hardware, drives the market growth by enabling seamless data exchange.


The software segment holds the second-largest market share. The growth is attributed to the increasing advanced perception and decision-making algorithms, machine learning and artificial intelligence, and real-time mapping and localization.


REGIONAL INSIGHTS


By region, this market has been studied across North America, Europe, Asia Pacific, and the rest of the world.


Europe Self-Driving Bus Market Size, 2024 (USD Billion)

To get more information on the regional analysis of this market, Request a Free sample


The Europe market size stood at USD 0.87 billion in 2023 and will likely dominate the market. The regional growth is attributed to factors such as strong government support, robust infrastructure, regulatory framework promoting autonomous vehicle testing, and growing emphasis on sustainable transportation solutions. In addition, collaborations between technology companies and public transport authorities in Europe contribute to its leadership in the market.


Asia Pacific is the fastest-growing region. The regional self-driving bus market share is experiencing rapid growth due to the large and densely populated urban environment, increasing demand for efficient and sustainable public transport, and substantial investment in smart city initiatives. In addition, China and Japan, have been actively supporting the research and development of self-driving buses, fostering a conducive environment for the growth of the market in the region.


North America and the rest of the world's regional growth is attributed to increasing investment by companies and governments in technology, research and development, a supportive regulatory environment in certain states and provinces, and growing consumer acceptance of self-driving technology.


List of Key Companies in the Self-Driving Bus Market


Companies Focus on a Wide Range of Product Offerings to Gain Competitive Edge


Key market players in the self-driving buses industry include AB Volvo, Proterra, and Hyundai Motor Company. These organizations focus on meeting customer demands for various vehicles worldwide, particularly in the development of self-driving type of buses. This development encompasses various stages and contributions from companies specializing in different aspects of the technology, such as sensor technology, artificial intelligence, mapping and localization, communication systems, among others.


Volvo Group is a company known for manufacturing and supplying automotive products including trucks, buses, engines, and construction equipment. Additionally, it provides insurance, rental, spare parts, repair and maintenance, and assistance services. In June 2023, Volvo Group announced its expansion in North America by establishing an office in Texas and initiating manual operations to prepare for commercial autonomous hub-to-hub transport.


List of Key Companies Profiled:



  • AB Volvo (Sweden)

  • Volkswagen AG (Germany)

  • Proterra (U.S.)

  • Hyundai Motor Company (South Korea)

  • Hino Motors, Ltd (Japan)

  • Apollo Baidu (China)

  • MAN Truck & Bus (Germany)

  • EasyMile (France)

  • New Flyer (Canada)

  • Toyota Motor Corporation (Japan)

  • Yutong Group (China)

  • Navyo (France)

  • Novus Hi-Tech Robotic Systemz (India)

  • COAST AUTONOMOUS, INC. (U.S.)


KEY INDUSTRY DEVELOPMENTS:



  • July 2023: Volkswagen announced plans to test autonomous vehicles in the U.S., starting with a driverless version of its I.D. Buzz electric microbus. The new fleet would be tested on Austin (Texas) public roads. The company had initially planned to use Argo’s tech for powering a fleet of self-driving I.D. Buzz microbuses. The plan constitutes vehicle testing in Austin, in addition to four other cities in the U.S., over the next three years, with the objective of introducing a robotaxi service in 2026.

  • June 2023: Hyundai Motor introduced a pilot service of the RoboShuttle, a combination of artificial intelligence (AI) and autonomous driving technology, at the South Korean national assembly. Hyundai Motor and the national assembly secretariat held a commemorative test ride event for the driverless RoboShuttle. In addition, the self-driving integrated mobility platform "TAP!" developed by Hyundai Group's global software centre, 42dot, has been incorporated into the RoboShuttle.

  • October 2022: EasyMile announced that the company is delivering a fleet of fully driverless shuttles for commercial service in tourist hotspots. The new service contains a complete transport system, validated security, and advancement to Level 4 of autonomous driving. The shuttles would cover a 2.5 km-long route that would connect the attractions of the Terhills Hotel to the Terhills Resort and the future cycling and walking bridge over the large lake.

  • October 2021: Hyundai Motor announced plans to set up infrastructure for the development and test-run of self-driving vehicles at its R&D Center based in Namyang, Gyeonggi. The company would operate self-driving, on-demand buses within the R&D Center and develop a vehicle control system. Hyundai Motor has initiated operating four Level 4 autonomy technology-based self-driving buses. Level 4 self-driving vehicles can operate on their own under normal conditions.

  • February 2021: Apollo Baidu launched a multi-modal Mobility-as-a-Service pilot program in Guangzhou, China. The company provides self-driving cars, shuttles, buses, vending machines, and police robots. The program would integrate many different autonomous vehicle platforms, all using the company’s Apollo ‘autonomous driving solution.’


REPORT COVERAGE


The global self-driving bus market research report provides a detailed industry analysis and focuses on key aspects such as leading market players, competitive landscape, and component type. Besides, the report includes insights into the market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that contributed to the market growth in recent years.


An Infographic Representation of Self-Driving Bus Market

To get information on various segments, share your queries with us



REPORT SCOPE & SEGMENTATION









































ATTRIBUTE



DETAILS



Study Period



2023-2030



Base Year



2023



Estimated Year 



2024



Forecast Period



2023-2030



Growth Rate



CAGR of 28.2% from 2023 to 2030



Unit



Value (USD Billion)



Segmentation


 



By Component



  • Hardware

  • Software

  • Services



By Region



  • North America (By Component)

  • Europe (By Component)

  • Asia Pacific (By Component)

  • Rest of the World (By Component)



Frequently Asked Questions

As per a study by Fortune Business Insights, the market size was USD 1.57 billion in 2023.

The market is set to grow at a CAGR of 28.2% over the forecast period (2023-2030).

By component type, the hardware segment is the leading segment in the market due to the adoption of communication and connectivity technology for self-driving buses globally.

Europe held the largest share of the market in 2023.

The market size in Europe stood at USD 0.87 billion in 2023.

AB Volvo, Proterra, and Hyundai Motor Company are some of the top players in the market.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert
  • Feb, 2024
  • 2023
  • -
  • 200

    CHOOSE LICENSE TYPE

  • $4850
    $5850
    $6850

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Automotive & Transportation Clients

Toshiba
Asahi
GM
Hyundai
Hitachi

Client Testimonials

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- Global hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.
X