Robo Taxi Market

Robo Taxi Market Size (2023-2028):

The Global Robo Taxi Market was worth US$ 2.2 billion in 2022 and is anticipated to reach a valuation of US$ 78.26 billion by 2028 and is predicted to register a CAGR of 81.57% during 2023-2028.

With the introduction of automation in vehicles, the necessity for a person's driver has been reduced, thereby reducing the probability of accidents caused because of human errors. However, a Robo-taxi is provided with various sensors like RADAR, LiDAR etc. al., which makes the vehicle efficient to work eventually resulting in the expansion of the Robo-taxi market across the world.

The growing problems with traffic jams in major cities around the world, increase pollution and adversely impact health and overall quality of life. The interest in zero-emission vehicles or green vehicles is rising, and there's a surge in autonomous car demand. Additionally, three trends are accelerating transformative change in the automotive industry which are zero-emission vehicles, autonomous driving, and new mobility models. Autonomous, zero-emission Robo-taxis embodies all three of those trends, offering the potential for convenient, personalized transport as a beautiful alternative to owning a car or using conveyance. 

Market Drivers:

Escalating concerns over fuel emissions, road questions of safety, and the escalating popularity of ride-sharing vehicles will grow the market trends over the foreseen period. Moreover, self-driven cars are predicted to boost the value of fleet operators. This may help the market gain momentum over the forthcoming years. Aside from this, new business models like "mobility as a service" can be a profitable & sustainable revenue source for the market over the coming years. However, the disruptive power of those self-driven taxis in autonomous driving is predicted to bring a paradigm shift within the automotive sector over the coming years. Furthermore, these new self-driven cars are estimated to reinforce shared mobility and enable vehicle connectivity. Moreover, these Robo-taxis will include electric powertrains which will reduce the operating costs for fleet authorities.

Market Restraints:

Robo-taxis are predicted to be adopted by ride-hailing companies, mainly to scale back operating costs and offer rides to consumers at competitive prices, so as to sustain within the competition.

ROBO TAXI MARKET REPORT COVERAGE:

Market Segmentation

Robo Taxi Market - By Application:

• Goods 
• Passenger 

Based on the application, the general public transport segment held a remarkable portion of the global Robo-taxi business. A majority of Robo-taxis are considered to be self-driving cars that are likely to be used for ride-hailing purposes. 

Robo Taxi Market - By Level of Autonomy:

• L4
• L5 

Based on autonomy, the L4 segment held a dominant share of the global Robo-taxi market. Level 4 Robo-taxis are self-driving; they will operate without human intervention on select routes, highways, and cities where the infrastructure is capable of carrying self-driving. However, hurdles in infrastructure and regulatory framework are delaying the permission of level 5 Robo-taxis. They're projected to be announced not before 2025, as they're fully autonomous and capable of operating even in harsh weather, traffic jams, and radar interference.

Robo Taxi Market - By Vehicle: 

• Car
• Shuttle/Van 

In terms of vehicles, the cars segment is anticipated to carry a dominant share of the global Robo-taxi market, as ride-hailing companies are focused on the event of self-driving cars.

Robo Taxi Market - By Service:

• Rental
• Station Based

Robo Taxi Market - By Propulsion:

• Electric
• Hybrid
• Fuel Cell

Based on fuel, the hybrid segment is anticipated to grow significantly during the foreseen period. Stringency in emission regulations is prompting the automotive industry to shift to vehicle electrification. Hybrid vehicles experience lesser downtime as compared to that experienced by fully electric cars, which further reduces operational costs. The fully electric segment is additionally expected to carry a significant share of the Robo-taxi market because the demand for electric shuttles rises and advancements in battery technology make the adoption of fully electric vehicles more viable for fleets.

Market Reginal Analysis:

The Global Robo Taxi Market Report includes the segmentation of regions:

• North America - U.S., Canada
• Europe - Norway, Germany, Sweden
• Asia Pacific - China, India, Japan
• Latin America - Brazil, Mexico, Argentina
• Middle East and Africa - Middle East, Africa

The European Union has been considered a leading player within the Robo-taxi market because the most lucrative region with a favourable business environment on account of the manageable framework that supports environment-driven activities within the area. In 2018, Europe accounted for an estimated half the revenue share of the global Robo-taxi market.

Market Key Players:

1. Waymo LLC
2. Cruise LLC
3. Tesla
4. Nissan Motor Corporation
5. Lyft, Inc.
6. Uber Technologies
7. Daimler AG
8. Ford Motor Company
9. Volkswagen AG
10. Volvo Group

Market Recent Developments:

• Waymo, a unit of Alphabet, has begun offering completely automated rides, without attendants within the vehicle, to a couple of hundred early users of its Robo-taxi service in Phoenix.
• Waymo said it's pausing operations of Waymo One, a service within the Phoenix area that permits the general public to hail rides in self-driving vehicles with trained human safety operators behind the wheel, in response to the COVID-19 pandemic. Waymo is additionally halting testing on public streets in California. 
• Cruise, General Motors' self-driving car segment, revealed the Origin night during a former Honda dealership. The six-passenger vehicle looks a touch sort of a small bus, has no wheels or pedals, and offers a cavernous area where two rows of three passengers face one another. 
• Elon Musk's "Master Plan, Part Deux" proposed the thought for the Tesla Network, essentially an automatic version of Uber that might be operating in a world after both technical autonomies are achieved, and government regulations leave the driverless operation of vehicles.