Robotaxis, also known as driverless taxis, are self-driving vehicles that can be hailed and transported passengers without human intervention. They offer advantages over traditional taxis such as not requiring paid drivers, thereby reducing operating costs. The growing demand for public transportation along with the need for reducing traffic congestions and pollution levels is driving the development of autonomous vehicles globally.
The global Robotaxi Market is estimated to be valued at US$ 2198.45 Mn in 2023 and is expected to exhibit a CAGR of 12% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
This has increased traffic congestions and pollution levels. Robotaxis can help address these issues by providing an affordable, convenient and emission-free mobility option for daily commute. They can optimize routes and passenger capacity to reduce the number of vehicles on roads. The autonomous driving technology in robotaxis also make them safer compared to human-driven vehicles and taxis. Thus, their integration with existing public transportation infrastructure can help cities transition towards environment-friendly and sustainable transportation networks. This presents a major market opportunity for robotaxi manufacturers and service providers to partner with governments and transit agencies to launch large scale robotaxi services focused on first and last-mile connectivity.
Porter’s Analysis
Threat of new entrants: The robotaxi market requires huge capital investments for R&D, testing, and commercialization of autonomous vehicles. This creates significant entry barriers for new companies.
Bargaining power of buyers: Buyers have moderate bargaining power as there are only a few large companies operating robotaxis currently. However, increasing demand for autonomous mobility solutions provides some bargaining power to buyers.
Bargaining power of suppliers: A few specialized autonomous technology companies are key suppliers for robotaxi manufacturers. This gives them some bargaining power considering their differentiated technology.
Threat of new substitutes: Emerging mobility solutions like shared mobility and electric vehicles pose a potential threat. However, robotaxis offer a differentiated convenient door-to-door autonomous driving experience with no parking hassles.
Competitive rivalry: Intense competition is expected among major robotaxi manufacturers to capture more market share through technology innovations, strategic partnerships and customer experience improvements.
SWOT Analysis
Strengths: Technological superiority, huge R&D investments, strategic partnerships with OEMs, first-mover advantage for major players.
Weaknesses: High initial costs, technology limitations, over-dependency on specialized autonomous hardware suppliers, lack of standardized regulations.
Opportunities: Growing demand for autonomous mobility especially among aging population, scope for new business models like fleet operations.
Threats: Changing mobility trends, transition to more sustainable shared transportation solutions, delays in regulatory approvals, cybersecurity challenges.
Key Takeaways
The Global Robotaxi Market Demand is expected to witness high growth over the forecast period. With a projected CAGR of around 12%, the market size is estimated to reach over US$ 52 Bn by 2030 from US$ 2.2 Bn in 2023.
North America currently dominates the robotaxi market owing to presence of major technology companies and favorable testing environment for autonomous vehicles in countries like the US. The US and Canada are anticipated to capture over 35% of the global market share by 2030. However, Asia Pacific region is projected to offer significant growth opportunities with strong government support for autonomous infrastructure development in countries such as China, Japan and South Korea.
Key players operating in the robotaxi market are AKVA group, Aquafine Corporation, Aquamaof Aquaculture Technologies Ltd, AquaOptima AS, Artec Aqua AS, ATG UV Technology, Billund Aquaculture, BioFishency Ltd., Clewer Aquaculture Oy, Global RAS Fishery & Co., Hesy Aquaculture B.V., MAT LSS – Aquarium Filtration Systems, Pentair PLC. (Pentair Aquatic Eco-Systems, Inc.), RADAQUA, Senect Gmbh & Co. KG, Sterner AS, The Indian Aqua, Veolia Group, Water Management Technologies, Inc., and Xylem Inc. Major players are focusing on R&D investments, strategic partnerships and business model innovations to gain early mover advantages in key markets.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
