Automotive Simulation Market Size Expands to Reach USD 3.1 Billion by 2029
Automotive simulation market size is flourishing owing to its capability to provide quick acceleration and stable driving performance, improve vehicle efficiency, and reduce carbon footprint.
BlueWeave Consulting, a leading strategic consulting and market research firm, in its recent study, estimated global automotive simulation market size at USD 1,817.77 million in 2022. During the forecast period between 2023 and 2029, BlueWeave expects global automotive simulation market size to grow at a significant CAGR of 8.40% reaching a value of USD 3,148.74 million by 2029. One of the key growth drivers for the automotive simulation market is the major automakers and technology companies' increasing focus on and investments in the research and development (R&D) of the simulation technology. The main goals of these technologies are to increase driver assistance and safety. Services, such as adaptive cruise control, ADAS, active chassis stability, and infotainment ensure customer safety. To assist in the design of quickly evolving platforms for new car series, it is encouraging the use of automotive simulation solutions for in-vehicle electronic systems, which has been advantageous for product adoption.
Global Automotive Simulation Market – Overview
To test and develop driving assistance structures, onboard power electronics, automobile dynamic controls, and engine controls, sophisticated software known as an automobile simulation is used. Because it enables people to think critically and learn without putting their lives or their cars in danger, automotive simulation is growing in popularity in the automotive industry. Automotive simulation is used in production to help OEMs find any flaws in the parts before they are put into the car, increasing the effectiveness of the finished product. Automotive simulation is the process of prototyping and testing different versions of a vehicle using simulation software to make sure every component works as it should.
Opportunity: Rapid technology advancements
Increased electronic content per vehicle, connected vehicles, and regulatory authority guidance on vehicle safety are all predicted to spur market expansion. The market demand is being impacted by rising technological development as a result of dynamic government regulation for vehicle safety. Vehicle-to-everything (V2X) and autonomous driving technologies, as well as truck platooning, are expected to create opportunities for the automotive simulation market. The growing use of cloud computing in combination with ongoing research and development efforts is assisting in the market's expansion.
Challenge: Complexities in real-time control
Difficulties and limitations in real-time control associated with simulation software are anticipated to limit the growth of the automotive simulation market. The automotive simulation market will experience growth challenges as the automation sector adopts self-driving and environmentally friendly vehicles. The legislative bodies must enact new laws in addition to amending the ones that already exist. While difficulties with stimulation and a lack of integration standards are also limiting the market's expansion.
Impact of COVID-19 on Global Automotive Simulation Market
Automotive simulation market is rapidly approaching pre-COVID levels, and a healthy growth rate is expected during the forecast period, fueled by economic recovery in the majority of developing countries. The frequent suspension of public transportation systems, combined with the virus's highly contagious nature, increased demand for passenger cars, resulting in a demand for automotive simulation products. However, the anticipated third and subsequent waves of the pandemic are creating a bleak outlook. The purpose of this research is to assess the impact of various COVID-19 scenarios on the future of the automotive simulation market from 2023 to 2029.
Global Automotive Simulation Market – By Application
Global automotive simulation market is divided into two application segments: prototyping and testing. The prototyping segment is expected to grow at a faster CAGR in the coming years. Manufacturers' increasing need for prototyping is attributed to the segment's growth. Rapid prototyping is essential because it enables automakers to evaluate and analyze new product behavior. Following the completion of prototyping, the prototype can be quickly transferred into the production stage.
Global automotive simulation market is fiercely competitive. Prominent players include Altair Engineering, Ansys, PTC, Siemens, Autodesk, Dassault Systèmes, Synopsys, Mathworks, ESI, IPG Automotive, AVL, Aras, Comsol, Simul8 Corporation, Design Simulation Technologies, Dspace GmbH, Opal-Rt, Simscale, and Anylogic. These companies use various strategies, including increasing investments in their R&D activities, mergers, and acquisitions, joint ventures, collaborations, licensing agreements, and new product and service releases to further strengthen their position in global automotive simulation market.
The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of Global Automotive Simulation Market. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends in Global Automotive Simulation Market and industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyzes the growth drivers, challenges, and competitive dynamics of the market.
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