by Traffic sign recognition systems are computer vision systems used in advanced driver assistance systems (ADAS). They enable features like adaptive cruise control, forward collision warning, and lane departure warning by detecting and interpreting traffic signs. Some key uses of traffic sign recognition systems include automatic speed limitation, warning drivers of construction zones or schools, and providing navigation assistance by recognizing landmark and directional signs. The global traffic sign recognition system market encompasses hardware like cameras, processors, and software for traffic sign detection and classification.
The global traffic sign recognition system market is estimated to be valued at US$ 5.82 billion in 2023 and is expected to exhibit a CAGR of 8.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics
The increasing demand for advanced driver assistance systems from automakers is expected to be a major driver for the traffic sign recognition system market over the forecast period. Manufacturers are focusing on incorporating driver assistance technologies to enhance safety and comply with regulations. Additionally, as awareness about ADAS features grows among consumers, especially in developed markets, the demand for vehicles equipped with technologies like adaptive cruise control and lane keep assist is rising steadily. This is slated to propel the need for traffic sign recognition systems among automakers. Moreover, the identified opportunity of flourishing ADAS market is also expected to boost the traffic sign recognition system market growth.
Government initiatives towards implementing intelligent transportation systems to reduce road accidents are also fueling the adoption of sensing technologies like traffic sign recognition. Various countries have made systems like autonomous emergency braking mandatory for new vehicle types, attracting auto component manufacturers to invest in MEMS sensors and centralcontrol units required for ADAS. Continued support from regulatory bodies to modernize national road infrastructure and encourage use of driver assistance technologies is anticipated to drive the traffic sign recognition system market over the forecast period.
Segment Analysis
The global traffic sign recognition system market is segmented into product, application and region. Based on product, the market is classified into radar-based systems and camera-based systems, where camera-based systems dominate the market. Camera-based systems use optical character recognition and image processing techniques for traffic sign detection, which provides higher detection accuracy compared to radar-based systems.
PEST Analysis
Political: Governments across countries are focusing on improving road safety by introducing regulations for mandatory installation of advanced driver assistance systems including traffic sign recognition in vehicles. This is boosting the adoption of these systems.
Economic: Growing disposable income and spending capability of consumers is increasing the sales of high-end and luxury vehicles equipped with advanced driver assistance features like traffic sign recognition. Also, lower interest rates are encouraging auto loans.
Social: Rising awareness about road safety and advantages of advanced driver assistance systems among consumers is driving the demand for vehicles integrated with such systems. Consumers want assistance technologies to reduce accidents.
Technological: Ongoing developments in image processing, deep learning and AI are enhancing the accuracy and functionality of traffic sign recognition systems. Manufacturers are focusing on these technologies to offer more precise recognition of different traffic signs.
Key Takeaways
Global Traffic Sign Recognition System Market Size is expected to witness high growth at a CAGR of 8.6% during the forecast period of 2023 to 2030 to reach a market size of US$ 5.82 Bn by 2024.
Regional analysis:
Europe dominates the market currently due to stringent government regulations for adoption of advanced driver assistance systems in vehicles. The Asia Pacific region is expected to witness the fastest growth in the traffic sign recognition system market owing to increasing vehicle production in major countries like China and India.
Key players:
Key players operating in the traffic sign recognition system market are Medline Industries Inc., Cardinal Health, Molnlycke Health Care AB, 3M Healthcare, Ahlstrom-Munksjo, Winner Medical Co. Ltd., Kimberly-Clark Health Care, DuPont Medical Fabrics, Johnson & Johnson, B. Braun Melsungen AG. These players are focusing on new product launches and partnerships with automotive OEMs to strengthen their market position.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
