Automotive Simulation Market Analysis

Automotive Simulation Market Analysis

In terms of component, the automotive simulation market from software segment is expected to observe around 20% gains between 2022 and 2030. This growth is attributed to increased emphasis of market players on the development of simulation software with innovative and state-of-the art technologies to enhance truck platooning, smart driving, fleet management, and other processes.
 

The on-premise deployment model segment is poised to register a valuation of USD 3 billion by 2030, propelled by significant investments from automotive manufacturers to fortify their in-house facilities. In addition, advantageous subsidies for OEMs provided by government authorities to help them transform their car plants to accommodate EV production are anticipated to promote the on-premise deployment of automotive simulation software.
 

In terms of end use, the regulatory bodies segment held over 10% of global automotive simulation market share in 2021. The ongoing shift in the automobile sector has stimulated the development of electric vehicles and vehicles that run on alternative fuels which is speculated to further escalate revenues from this end-use segment.
 

In terms of application, the safety engineering segment is estimated to attain a growth rate of more than 15% through 2030 on account of surging government emphasis on crash safety regulations as well as growing customer awareness about vehicle safety. Furthermore, OEMs that offer low and mid-range vehicles are working on capturing high safety ratings to attract more buyers, which is slated to further promote segment growth.
 

The Asia Pacific automotive simulation market is set to witness a CAGR of around 15% till 2030. The surge in the demand for electric vehicles backed by supportive initiatives to reduce the environmental impact of the huge population base and control carbon emissions is boosting product penetration. Moreover, regional market players are gaining a competitive edge due to the export of component to OEMs based in Europe and North America, thereby positively influencing the business scenario.