Global Market Insights on Robo-Taxi: Current Analysis and Forecast (2019-2025)

Report Description

Robo-Taxi market crossed 1,600 units mark in 2018 and is expected to grow at a CAGR of 124.6% during the forecast period 2019-2025. In a pioneering leap into the future, Robo-taxi is basically a self-driving or a driverless car which was launched recently in the market. After years of focused and intensive testing in the autonomous vehicles (SAE Level 4 or Level 5), today the companies have started to roll out such vehicles for e-hailing (on-demand mobility) service for regular commuters. The Robo-taxi generally eliminates the need of a human chauffeur, which costs a significant part of the operating costs. The Robo-taxi service could make shared mobility much more affordable to the commuters and is expected to boost the demand of Transportation-as-a-Service (TaaS) solutions, which will drive the growth of the Robo-taxi market over the analysed period.

One of the most significantly adopted applications of the Robo-taxi include Autonomous Mobility on Demand (AMoD) service, especially in the metro regions. Autonomous Mobility on Demand (AMoD) is the solution that will drive the revolution towards self-driving cars. The AMoD is a technology comprising hardware, software, vehicle and its surrounding data that will improve the safety and economics of the ride. On an estimate, the Mobility on Demand (MoD) costs nearly US$ 2/mile, car ownership costs US$ 0.8/mile while AMoD costs US$ 0.3/mile. Hence, today, a number of companies are working on developing AMoD technology. In addition, increasing concern over road safety, emissions, reduction in road congestion and soaring demand for ride-hailing services are further expected to propel the growth of Robo-taxi market over the projection period.

Estimate Adoption of Autonomous Vehicle and Key Milestones

Across the globe, governments and market players are currently focusing on promoting autonomous vehicles in the public transportation and fleets, with emphasis on taxis, vans and shuttles. One of the biggest hurdles in the growth of Robo-Taxi market globally is the dearth of required infrastructure. With increasing government support, several stakeholders are investing huge money in developing the required vehicle-to-infrastructure (V2I) systems, such as sensors in roads or street signs that send signals to AVs, helping autonomous vehicles navigate city streets seamlessly. Further, development on V2I technology such as dedicated short-range communications (DSRC) and cellular vehicle-to-everything (C-V2X) systems is in progress, which would further help autonomous vehicle such as Robo-taxi to widen its adoption in major developed and developing regions.

“Level 4 of Robo-Taxi Market dominated the market in 2018 and is expected to maintain its lead by 2025”

Based on level of autonomy, Robo-Taxi market has been segmented into Level 4 and Level 5. In 2018, level 4 dominated the market and is expected to maintain its lead by 2025. The primarily reason for the dominance of Level 4 vehicle is lack of infrastructure for level 5 across major countries.

“Amongst propulsion type, hybrid Robo-taxi holds the major share in 2018, while fuel cell is expected to grow considerably during the forecast period.”

Based on propulsion type, Robo-Taxi market has been segmented into hybrid, electric and fuel cell Robo-Taxi. In 2018, hybrid Robo-Taxi dominated the Robo-Taxi market, generating sales of 939 units. However, with increasing environment concerns and depleting gasoline resources, it is expected that electric Robo-Taxi market will take over hybrid Robo-Taxi in terms of sales over the forecast period.

“Passenger Robo-Taxi Market dominated the market in 2018 and is expected to follow its trend till 2025”

Based on vehicle type, Robo-Taxi market has been segmented into passenger car, shuttle and goods carrier van. In 2018, passenger car dominated the market and is expected to maintain its lead throughout the forecast period 2019-2025. The primarily reason boosting the growth of passenger car segment over the other segments is due to increasing preference to shared mobility services over individual vehicle.

“In terms of application, passenger transportation takes lead over the goods transportation of Robo-Taxi Market  ”

Based on application, Robo-Taxi market is bifurcated into passenger and goods transportation. In 2018, passenger transportation Robo-taxi dominated the market and is expected to maintain its dominance throughout the forecast period, owing to increasing urbanization and people choice for opting a productive and comfortable ride while goods transportation Robo-taxi is expected to grow significantly over the analysed period as e-commerce and other utility companies are going for self-driving vehicles to deliver their consignment to customers.

“North America hold more than 50% of the market share of Robo-Taxi Market in 2018 and is expected to remain the largest market over the forecast period”

Based on region, detailed analysis has been conducted to understand the overall rate of adoption of Robo-Taxi across the different regions including North America, Europe, Asia-Pacific and Rest of World. North America captured the maximum market share and is expected to remain the largest market over the forecast period. However, with increasing acceptance and huge population base with increasing disposable income, Asia-Pacific is expected to witness exponential grow over the analysed period.

Competitive Landscape

Robo-taxi market comprises of automakers, technology providers and service providers. As the concept is innovative and emerging, each player is trying their best to increase their market share and presence. The success of Robo-taxis is expected to change car-ownership and public-transportation dynamics at a fundamental level as it offers lower mobility costs, greater convenience and increased productivity as they free occupants from driving. Robo-Taxi market is majorly dominated by large companies, accounting for nearly 75% market share. Some of the leading players operating in the market include Waymo, BMW, Tesla, Daimler, GM Cruise, Nissan-Renault and Volkswagen; while Navya, Aptiv, Nvidia, Valeo, Baidu, Uber, Lyft, eaymile are among others. These players are working endlessly to offer consumer a better and sustainable mobility service across the globe.

Reasons to buy (The research report presents):

• Current and future market size from 2018 to 2025 in terms of Volume and value (US$)
• Combined analysis of deep dive secondary research and input from primary research through Key Opinion Leaders of the industry
• Detail analysis of the Autonomous vehicle technology
• Detailed Analysis of Ride-hailing service in major countries
• A quick review of overall industry performance at a glance
• An In-depth analysis of key industry players
• A detailed analysis of regulatory framework, drivers, restraints, key trends and opportunities prevailing in the industry
• Examination of industry attractiveness with the help of Porter’s Five Forces analysis
• The study comprehensively covers the market across different segments and sub-segments of the technology
• Region covered: North America (US, Canada), Europe (Germany, UK, France, Spain, Sweden, Netherlands), Asia-Pacific (China, Japan, Singapore, India) and Rest of World

Customization Options:

Robo-Taxi market can be customized to the state level or any other market segment. Besides this, UMI understands that you may have your own business need, hence we also provide fully customized solutions to clients.

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Research Methodology

Analysing historical market, estimation of the current market and forecasting the future market of Robo-Taxi were the three major steps to create and analyse the overall market of Robo-Taxi in different regions/country. An exhaustive secondary research was done to collect the historical market sizing of the Robo-Taxi and overall estimation of the current market. Secondly, to validate these insights, numerous findings and assumptions were taken into consideration. Moreover, exhaustive primary interviews were conducted with industry experts across value chain of the Robo-Taxi market. After all the assumption, market sizing and validation of market numbers through primary interviews, top-down/bottom-up approach was employed to forecast the complete market size of Robo-Taxi market across different regions/country. Thereafter, market breakdown and data triangulation methods were adopted to estimate and analyse the market size of segments and sub-segments of the sector. Detailed methodology is explained below:

Analysis of Historical Market Size

Step 1: In-Depth Study of Secondary Sources:

Detailed secondary study was conducted to obtain the historical market size of Robo-Taxi Market through sources including Company publications, annual reports, News articles, Government Publications, Competitor Publications, other third-party sources, sector reports, regulatory bodies’ publications and other credible sources/publications

Step 2: Market Segmentation:

After obtaining historical market size of the overall market, detailed secondary analysis was done to gather historical market insights and share for different segments & sub-segments for Robo-Taxi Market. The major segments included in the report are Robo-taxi market by application, by level of autonomy, by propulsion, by vehicle type. Further analysis was also done for sub-segments of the major segments of Robo-Taxi Market. The same analysis was done for different region/country

Step 3: Factor Analysis:

After acquiring the historical market size of different segments and sub-segments, detailed factor analysis was conducted to estimate the current market size of the Robo-Taxi market. Factor analysis was conducted using dependent and independent variables such the usage of Robo-Taxi, its availability, passenger preference, auto manufacturers timeline, government’s regulations and mobility benefits. The historical trends of the Robo-Taxi market and its year-on-year impact on the market size and share in the recent past was analyzed. The demand and supply side scenario were also thoroughly studied.

Current Market Size Estimate & Forecast

Current Market Sizing: Based on the actionable insights from the above 3 steps, we arrived at current market size, key players in major applications and markets, industry’s supply chain, and value chain of the industry. Initiatives undertaken by these players to increase the overall adoption of Robo-Taxi as a mean of public transport was also analyzed. All the required percentage shares, splits, and market breakdowns were determined using the above-mentioned secondary approach and were verified through primary interviews.

Estimation & Forecasting: For market estimation and forecast, weightage was assigned to different factors including market dynamics such as drivers & trends, restraints, and opportunities. After analyzing these factors, relevant forecasting techniques i.e. Bottom-up/Top-down was applied to arrive at the market forecast pertaining to 2025 for different segment and sub-segments of the Robo-taxi market for different regions/country. The research methodology adopted to estimate the market size encompasses:

• The industry’s market size, in terms of value and volume and rate of adoption of Robo-Taxi in global market
• All percentage shares, splits, and breakdowns of market segments and sub-segments
• Key players in the market as well as major initiatives undertaken by these players. Also, the growth strategies adopted by these players to compete in the ever-evolving Robo-Taxi market

Market Size and Share Validation

Primary Research: In-depth interviews were conducted with the Key Opinion Leaders (KOLs) including Top Level Executives (CXO/VPs, Sales Head, Marketing Head, Operational Head, and Regional Head etc.). The primary research findings were summarized, and statistical analysis was performed to prove the stated hypothesis. The inputs from primary research were consolidated with secondary findings, hence turning information into actionable insights.

Split of Primary Participants

Market Engineering

The Data Triangulation technique was employed to complete the overall market engineering process and to arrive at a precise statistical number of each segment and sub-segment pertaining to the Robo-Taxi Market. The Data was split into several segments & sub-segments post studying various parameters and trends in the areas of passenger & shuttle vehicle and goods carrier. Also, by propulsion including electric, plug-in and fuel cell Robo-taxi. Further, based on the level of autonomy, level 4 and level 5 were taken into consideration for the evaluation of Robo-Taxi Market.

Main objective of the Global Robo-taxi Market Study

The current & future market trends of the Robo-Taxi market are pinpointed in the study. The investors can gain strategic insights to base their discretion for investments from the qualitative and quantitative analysis performed in the study. The current and future market trends would determine the overall attractiveness of the market, providing a platform for the industrial participant to exploit the untapped market to benefit as the first mover advantage. Other quantitative goal of the studies includes:

• Analyse the current and forecast market size of Robo-Taxi market in terms of value and volume
• Analysis of Autonomous vehicle and the initiatives undertaken by private companies and governments for the upliftment of the technology
• Analyse the current and forecast market size of different segments and sub-segments of Robo-Taxi market
• Segments in the study include vehicle type, level of autonomy, application type, propulsion type and regions
• Define and describe the segments and sub-segments considered in the evaluation of Robo-Taxi market
• Anticipate potential risk associated with the Robo-Taxi market
• Customer and competitor analysis, etc.
• Define and analysis of the government regulations for Robo-taxi market in different regions across the world
• Analyse the current and forecast market size of Robo-Taxi for different regions/country
• Define and analyse the competitive landscape of the Robo-Taxi market and the growth strategies adopted by the market players to sustain in the ever-growing market