Autonomous Public Transit Market Size, Share, Analysis, Trends, Growth, Forecasts, 2032

Autonomous Public Transi Industry Prospective:

The global autonomous public transit market size was evaluated at $2 billion in 2023 and is slated to hit $10 billion by the end of 2032 with a CAGR of nearly 20% between 2024 and 2032.

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Autonomous Public Transit Market: Overview

Autonomous public transit is a kind of transport system that uses self-driving vehicles to transport passengers. These vehicles are fitted with sensors and software that help them navigate and operate without any human intervention. Furthermore, this new self-driven technology has brought a paradigm shift in public transport and enhanced its security, efficacy, and accessibility.

Key Insights

• As per the analysis shared by our research analyst, the global autonomous public transit market is projected to expand annually at the annual growth rate of around 20% over the forecast timespan (2024-2032)
• In terms of revenue, the global autonomous public transit market size was evaluated at nearly $2 billion in 2023 and is expected to reach $10 billion by 2032.
• The global autonomous public transit market is anticipated to grow rapidly over the forecast timespan owing to technological breakthroughs along with a surge in urbanization.
• In terms of vehicle type, the autonomous electric buses segment is slated to register the highest CAGR over the forecast period.
• Based on application, the urban transportation segment is predicted to contribute majorly towards the global industry growth in the upcoming years.
• Region-wise, the European autonomous public transit industry is projected to register the fastest CAGR during the projected timespan.

Autonomous Public Transit Market: Growth Factors

Surging consumer trends towards self-driven vehicles to enunciate the global market expansion by 2032

Technological breakthroughs along with a surge in urbanization have translated into humungous growth of the global autonomous public transit market. Moreover, surging environmental concerns along with favorable government policies such as launching new schemes and investments will drive the global market trends. Furthermore, an increase in public & private partnerships as well as ownerships is likely to translate into massive expansion of the global market in the coming years. Furthermore, growing customer preference for automated transit along with enhancing operational efficiency is anticipated to spur the elevation of the market globally.

Autonomous Public Transit Market: Restraints

An increase in cyber terrorism and hacking activities can decline the growth of the global industry

Many of the sensors such as radar and LiDAR as well as cameras can struggle to operate in adverse climatic conditions, thereby affecting its performance. This can limit autonomous public transit systems, thereby impacting the growth of autonomous public transit industry globally. Moreover, the need for high computing power and cyber-security can further dampen the demand for autonomous public transit systems.

Autonomous Public Transit Market: Opportunities

Large-scale use of AI and ML in automotive for increasing the operational efficiency of automotive is anticipated to open new growth avenues for the global autonomous public transit market in the coming years. Moreover, high connectivity, infrastructural growth, and the need to save travel time can favorably impact the global market size in the coming decade.

Autonomous Public Transit Market: Challenges

The growth of the global autonomous public transit industry can be affected by strict legal authorizations, insurance issues, and the need for strong infrastructural growth. Apart from this, the increasing costs of production and safety concerns can further challenge the growth of the industry in the coming years.

Autonomous Public Transit Market: Segmentation

The global autonomous public transit market is divided into vehicle type, application, and region.                                             

In terms of vehicle type, the autonomous public transit market across the globe is segmented into autonomous electric buses, autonomous shuttles, and autonomous taxis segments. Apparently, the autonomous electric buses segment, which accumulated nearly 57% of the global market revenue in 2023, is anticipated to account for the fastest CAGR during the coming years as a result of a rise in the use of autonomous electric buses for reducing pollution and increase the efficiency of transport sector across the globe. Apart from this, these buses provide zero-emission transport facilities and can be integrated with current public transport systems.

Based on the application, the global autonomous public transit industry is segmented into industrial transportation, urban transportation, and rural transportation segments. Apparently, the urban transportation segment, which led the global industry in 2023, is likely to contribute significantly towards the industry expansion globally in the ensuing years as a result of rise in the traffic jams in urban areas. An increase in government funding for developing strong autonomous public transport systems and public transportation facilities will augment the segmental growth.

Autonomous Public Transit Market: Report Scope

Autonomous Public Transit Market: Regional Insights

Asia-Pacific region is forecast to maintain leadership status in the global market over the projected period

Asia-Pacific, which contributed about 38% of the global autonomous public transit market size in 2023, is expected to establish a number one position in the global market in the ensuing years. In addition to this, the regional market progression in the coming eight years can be credited to a surge in massive capital investments in autonomous systems. Furthermore, a massive rise in the use of energy-efficient modes of transport along with technological innovations is likely to spur regional market expansion over the upcoming years.

The European autonomous public transit industry is slated to register the fastest CAGR annually in the next few years. The expansion of the industry in the continent can be subject to an increase in the presence of key manufacturers of autonomous public transit systems as well as vendors. Moreover, the availability of skilled workforce in European countries and a surging focus on sustainable public transport services will foster the regional industry surge in the upcoming years.   

Key Developments

• In August 2024, Karsan introduced autonomous e-atak for an autonomous public transportation system in Switzerland.
• In December 2023, May Mobility introduced the first autonomous transit service for Early Riders in the U.S.

Autonomous Public Transit Market: Competitive Space

The global autonomous public transit market profiles key players such as: Waymo LLC

• AB Volvo
• BMW
• NXP Semiconductors
• EASYMILE
• Continental AG
• Intel Corporation
• Aptiv
• Qualcomm Technologies Inc.
• Mercedes-Benz Group AG
• Robert Bosch GmbH
• NVIDIA Corporation
• Scania
• Navya Group

The global autonomous public transit market is segmented as follows:

By Vehicle Type

• Autonomous Electric Buses
• Autonomous Shuttles
• Autonomous Taxis

By Application

• Industrial Transportation
• Urban Transportation
• Rural Transportation

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa