Traffic Sign Recognition System Market

Traffic Sign Recognition System Market: Introduction

• The traffic sign recognition system detects traffic signs and displays them to the driver of the vehicle through a display located in the instrument cluster. This system generally uses a forward-facing camera located behind the windshield of vehicle, or a RFID system, which detects, analyzes, and communicates the information of traffic signs
• The traffic sign recognition system can also be advanced by integration of haptic feedback such as vibrations or by alarm sounds to warn the driver of traffic signs. Demand for these systems is increasing, as the integration of advanced driver-assistance systems (ADAS) in vehicles is rising.

Key Drivers of Traffic Sign Recognition System Market

• Rise in number of on-road vehicles has resulted in high number of road traffic accidents. In high traffic situations, the driver often misses some of the traffic signs on the road because of overcrowding due to neighboring vehicles, which sometimes leads to fatal accidents. National Highway Traffic Safety Administration stated that 6.5 million road-traffic accidents were reported across the U.S. in 2017. Majority of these accidents are caused due to driver distraction. Automakers are equipping their vehicles with traffic sign recognition systems to alert drivers and to overcome this safety concern. For instance, Nissan has included Traffic Sign Recognition system in its Safety Shield packages for its new vehicles sold across Europe, which reads the road signs by the front-facing camera and displays it to the driver. Thus, growing integration in vehicles amidst rising safety concerns is fueling the global traffic sign recognition system market.
• Traditional automobiles technologies are witnessing gradual transformation with the advent of new technologies. Technologies such as artificial intelligence and Internet of Things (IoT) have made integration of features such as voice recognition, image recognition, and many such other capabilities possible in automobiles. Demand for these next-generation vehicles is witnessing an increase due to a rise in purchasing power of consumers. Automakers are equipping their vehicles with these technologies that render different levels of autonomy and increase convenience of driver and passengers. Traffic sign recognition is one such driver assistance technology integrated by numerous automakers, such as Daimler AG and Mazda Motor Corporation, in their vehicles to alert drivers of speed limits, turns, and other such road signs. These growing autonomy levels of vehicles and a rise in the demand for next-generation vehicles are propelling the traffic sign recognition system market across the globe.

Challenges in Traffic Sign Recognition System Market

• Traffic sign recognition systems are expensive and also vulnerable to cyber threats due to their connectivity. These factors restrict the application of traffic sign recognition systems only to high-end premium vehicles, which restrains the global market.

Impact of COVID-19 Pandemic on Traffic Sign Recognition System Market

• Production and sales of vehicles declined amidst the COVID-19 pandemic, which in turn hindered the demand for traffic sign recognition systems. However, in the post-COVID phase, these solutions are expected to witness high demand owing to the relief packages announced by governments to boost the automotive industry.

North America and Europe Hold Significant Share of Global Traffic Sign Recognition System Market

• North America and Europe account for a significant share of the global traffic sign recognition system market, as OEMs including Daimler AG, BMW AG, and Tesla are continuously developing next-generation vehicles that are equipped with traffic sign recognition systems. Furthermore, on-going smart city projects with intelligent infrastructure, which communicate with cars, are anticipated to further propel the share held by North America and Europe in the global traffic sign recognition system market.

Key Players Operating in Traffic Sign Recognition System Market

The traffic sign recognition system market is highly concentrated due to the presence of top manufacturers. A few of the key players operating in the traffic sign recognition system market are:

• Robert Bosch GmbH
• Toshiba
• Continental AG
• Mobileye Corporation
• Mazda Motor Corporation
• Nissan Motor Corporation
• ZF Friedrichshafen AG
• eInfochips

Global Traffic Sign Recognition System Market: Research Scope

Global Traffic Sign Recognition System Market, by Type

• Vision-based
• RFID-based

Global Traffic Sign Recognition System Market, by Vehicle Type

• Passenger Vehicle
• Hatchback
• Sedan
• Utility Vehicle
• Light Commercial Vehicle
• Buses & Coaches
• Trucks

Global Traffic Sign Recognition System Market, by Sales Channel

• Aftermarket
• OEM

Global Traffic Sign Recognition System Market, by Region

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Spain
  • Nordic Region
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • ASEAN
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa