Allied Market Research

Vehicle Occupancy Detection System Market to Reach $225.5 Million By 2030


Report Code : A12541

quote the global vehicle occupancy detection system market share is expected to witness a considerable growth, owing to increase in demand for passenger safety, especially in emerging economies such as Asia-Pacific and LAMEA, owing to rise in adoption of vehicle occupancy detection system by commercial and private sector in these regions quote

Himanshu Jangra
Lead Analyst, Semiconductor and Electronics

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According to a new report published by Allied Market Research, titled, Vehicle Occupancy Detection System Market By Installation Type, Technology, and Application: Global Opportunity Analysis and Industry Forecast, 2021–2030”, the vehicle occupancy detection system market size was valued at $42.5 million in 2020, and is projected to reach at $225.5 million by 2030, growing at a CAGR of 19.1% from 2021 to 2030.

Vehicle occupancy detection system is an enhanced passenger detection solution used in private and commercial vehicles to encourage multi-passenger vehicle safety. However, occupancy detection system in automotive applications is essential for implementing transportation policies that are based on the labor-intensive manual method. Furthermore, vehicle occupancy detection sensors are enhanced applications designed to use mobile installation and fixed installation type solutions to check presence of passengers inside vehicles. Moreover, rise in concerns over passenger safety across emerging economies is expected to propel the need for vehicle occupancy detection solutions, which is opportunistic for the market growth.

Rise in government regulations for vehicle occupancy detection system to ensure passengers safety globally and surge in demand for AI-powered solution to reduce fatality rate in vehicle crash drive the market growth. However, high cost associated with comprehensive occupancy sensing system in emerging economies are anticipated to restrain the market growth. Further, increase in construction of HOV lanes in toll plazas is expected to provide lucrative opportunities for the vehicle occupancy detection system market during the forecast period.

The fixed installation segment was the highest contributor to the market in 2020. The infrared and ultrasound segments collectively accounted for around 76.7% market share in 2020. Surge in government regulation for passenger’s safety is acting as a prime factor fueling the segment growth.

Emergence of COVID-19 has significantly impacted the vehicle occupancy detection system market growth. The delay caused for construction projects due to partial or complete lockdowns in various regions of the world has significantly reduced demand for automotive occupancy detection systems during the pandemic in the year 2020. However, rise in passenger safety concerns across the globe is expected to drive the market by the end of 2021. Moreover, rise in investments from various prime industries is expected to fuel the market growth in the coming years. 

Region wise, North America holds a significant share in the global vehicle occupancy detection system market size. Presence of prime vendors of occupancy detection systems across the U.S. is expected to propel the vehicle occupancy detection system industry in this region. Moreover, surge in government regulations for passenger safety in North America is anticipated to boost growth of the vehicle occupancy detection system market in this region.

Key Findings of the Study

  • In 2020, the fixed installation segment accounted for the maximum revenue and is projected to grow at a notable CAGR of 18.8% during the forecast period.
  • The infrared and ultrasound segments together accounted for around 77.0% of the vehicle occupancy detection system market share in 2020.
  • The ultrasound segment is projected to growth at a CAGR of 21.0% during the forecast period.
  • North America contributed for the major share in vehicle occupancy detection system market analysis, accounting for more than 18.0% share in 2020.

The key players profiled in the report include Conduent Inc., Fortran Traffic Systems Ltd., Indra Sistemas, Invision AI, NEC Corporation of America, S.A, Invision, Siemens, TransCore, Vehicle Occupancy Detection Corp., and Xerox Corporation. These market players have adopted various strategies such as product launch, collaboration & partnership, joint venture, and acquisition to expand their foothold in the market.

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quote Vehicle Occupancy Detection System Market By Installation Type (Fixed Installation and Mobile Installation), Technology (Infrared, Ultrasonic, and Hybrid), and Application (Passenger Vehicles and Commercial Vehicles): Global Opportunity Analysis and Industry Forecast, 2021–2030 quote

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