Guidehouse Insights Estimates Global Market for Software-Defined Vehicles Will Exceed $110 Billion by 2031


A new report from Guidehouse Insights analyzes the automotive software-defined vehicles (SDV) market—including vehicle manufacturers, software solution providers, industry organizations, tech companies, government employees, and other suppliers. SDVs’ new mediums and use cases are the focus of this report.

As consumers continue demanding better and more intuitive experiences, and as the market becomes more saturated with cellular-data-capable EVs with increasing levels of automation, SDVs have a promising future. According to a new report from Guidehouse Insights, the total average revenue generated from SDVs is expected to grow from $8.6 billion in 2022 to exceed $110.5 billion by 2031, at a compound annual growth rate (CAGR) of 32.8 percent.

“SDVs could transform the automotive industry—generating billions in revenue from new applications and services. Over the next decade and beyond, automakers’ large investments will bring new vehicles to market that are designed to function as more than a means of transportation,” says Sam Abuelsamid, principal analyst with Guidehouse Insights. “SDVs will become a third space in which consumers can engage in experiences such as working, gaming, or escaping from the outside environment.”

A new digitally native, environmentally, socially, and safety conscious consumer generation is forcing the automotive industry to cater to it. Today’s car buyers are more concerned about sustainability, seamless user experience across all of their devices, and up-to-date safety features than horsepower and brand. EV’s potentially longer product lifecycle coupled with the introduction of new software applications opens a plethora of revenue-generating opportunities that automakers can leverage after a car rolls off the lot. If automakers are to realize these benefits, they must quickly transform their development processes to keep up with the speed of innovation while adhering to an automotive regulatory environment that is notoriously slow to adapt or overreact, according to the report.

The report, Leveraging Software-Defined Vehicles for Next-Generation Consumer Experiences, analyzes the global market for SDVs, the new passenger experiences they will enable, and the industry changes needed to facilitate their implementation. It provides an analysis of SDV market issues, business cases, opportunities, and implementation challenges. Global market analyses for capacity and revenue, broken out by segment and region, extend through 2031. The report examines key SDV technologies, use cases, and profiles key market players. An executive summary of the report is available for free download on the Guidehouse Insights website.


Guidehouse Insights Names Waymo, Aurora Innovation, and TuSimple Leading Vendors Developing Automated Driving System Technology for Trucks


A new report from Guidehouse Insights examines the competitive landscape for companies developing automated driving system (ADS) technology for medium and heavy-duty trucks.

ADS technology is continuing a slow march toward becoming sufficiently mature to enable broad commercial deployments. As the work progresses, there are enormous capital requirements for development of the core technologies and the supporting services and platforms to enable that deployment. Those companies that had a reasonably strong capital base have been trying to reduce spending where they can and focus on market segments that are seen as having the best near term commercial potential. Among those segments are medium- and heavy-duty trucking. According to a Leaderboard report from Guidehouse Insights, Waymo, Aurora Innovation, and TuSimple are the leading vendors developing ADS technology for trucks.

“Many see goods delivery as a more viable early ADS application because of lower unit costs associated with more predictable operations and the ability to select routes that can be reliably and safely operated,” says Sam Abuelsamid, principal analyst with Guidehouse Insights. “The operational design domain for trucks that carry freight rather than passengers is simpler than that for urban robotaxis. For long-haul trucking, the absence of intersections and vulnerable road users also simplifies the driving task, although the higher speeds and heavier weights require longer distance sensing capability.”

The impetus for developing ADS for trucks stems from several factors. Among the many lasting impacts of the COVID-19 pandemic is a shortage of labor in many fields. Prior to the pandemic, new regulations that limited the number of hours long-haul drivers could work in a day combined with the job’s difficulty to make driver recruiting challenging. A second factor is that drivers represent a significant portion of the cost of operating trucks. An additional goal is improving safety and reducing the number of crashes and fatalities, according to the report.

The report, Guidehouse Insights Leaderboard Report: Automated Trucking, assesses which companies are best equipped to be the Leaders in the development of ADS for medium and heavy duty trucks. The Leaderboard quantifies the current relative position of each of the major players as the latest features are being developed and commercialized to help drivers and improve safety. An executive summary of the report is available for free download on the Guidehouse Insights website.


Guidehouse Insights Estimates More Than 1.2 Million Automated Trucks and Buses Will be Deployed Globally Each Year by 2032


A new report from Guidehouse Insights explores the size of global and regional markets for medium- and heavy-duty commercial vehicles in various segments with highly automated driving capability.

One of the many secondary effects of the pandemic has been a shortage of labor in many areas including truck drivers. Development of automated driving systems (ADS) technology has continued throughout the now two-year-old global pandemic and in many market segments is seen as more essential than ever. According to a new report from Guidehouse Insights, more than 1.2 million automated trucks and buses are expected be deployed globally each year by 2032.

“Multiple pilot deployments of automated trucks and buses of various types are already occurring in numerous countries around the world,” says Sam Abuelsamid, principal research analyst with Guidehouse Insights. “All are still relying on safety operators although a few driverless tests have occurred.”

However, many of these are expected to become commercialized driverless operations, primarily for long-haul trucking, last-mile deliveries, and middle-mile deliveries by 2025. Truck-driving applications are in many ways much more predictable than robotaxis or personal vehicles, so deploying ADS is expected to be easier because the operational design domains (ODD) are more restricted, according to the report.

The report, Market Data: Automated Trucks and Buses, evaluates the potential sales and fleet deployments of Level 4 and Level 5 (as defined by SAE International standard J3016) automated trucks and buses through 2032. These are vehicles that can be operated without continuous human supervision or intervention while within their ODD. The projections are split between goods delivery vans, rigid trucks, semi tractors, transit and coach buses, and shuttle buses. An executive summary of the report is available for free download on the Guidehouse Insights website.