Automotive Prognostics Market Research Report By Technology (Rule-Based Systems, Model-Based Systems, Hybrid Systems), By Application (Fault Detection and Diagnosis, Predictive Maintenance, Performance Optimization), By Vehicle Type (Passenger Cars, Commercial Vehicles, Two Wheelers), By Powertrain Type (Internal Combustion Engines, Electric Vehicles, Hybrid Vehicles), By Component Type (Sensors, Actuators, Electronic Control Units) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 20

Automotive Prognostics Market Overview:

As per MRFR analysis, the Automotive Prognostics Market Size was estimated at 8.9 (USD Billion) in 2022. The Automotive Prognostics Market Industry is expected to grow from 9.99(USD Billion) in 2023 to 28.2 (USD Billion) by 2032. The Automotive Prognostics Market CAGR (growth rate) is expected to be around 12.22% during the forecast period (2024 - 2032).

Key Automotive Prognostics Market Trends Highlighted

The increasing demand for predictive maintenance to reduce downtime, improve operational efficiency, and enhance vehicle safety is driving the growth of the automotive prognostics market. The advancements in sensor technology, data analytics, and machine learning capabilities enable vehicles to generate and analyze large volumes of data, providing valuable insights for prognostics. Furthermore, government regulations and industry standards are promoting the adoption of prognostic systems to ensure vehicle reliability and prevent accidents.

The market holds promising opportunities for players to capitalize on the growing demand for connected vehicles and electric vehicles. The integration of prognostics systems with connected vehicle technologies allows for remote monitoring and diagnosis, enabling proactive maintenance and immediate assistance in case of emergencies. Additionally, the proliferation of electric vehicles creates opportunities for the development of prognostics systems tailored to their specific powertrain and battery management requirements.

Notable trends in the automotive prognostics market include the adoption of artificial intelligence (AI) and machine learning algorithms for advanced data analysis. AI-powered prognostics systems can learn from historical data and identify anomalies, enabling more accurate predictions and improved decision-making. Moreover, the market is witnessing the emergence of cloud-based prognostics platforms, which provide flexible and scalable solutions for data storage, processing, and analysis. These platforms facilitate collaboration among stakeholders and enable real-time monitoring and diagnostics of vehicle fleets.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automotive Prognostics Market Drivers

Increasing Demand for Predictive Maintenance

The demand for predictive maintenance is one of the growth factors in the Automotive Prognostics Market Industry. Because vehicles are becoming more and more complex, the use of prognostic solutions to identify potential breakdowns beforehand is becoming increasingly necessary. One of the core benefits of predictive maintenance is its ability to predict the probability of a specific part or element failing. As such, operators can prepare the replacement in advance, completing the maintenance quickly and reducing the period of downtime for the vehicle.For transport companies that rely on trucks and buses, the financial implications of downtime are huge. Lastly, the demand for prognostics will increase economic and environmental benefits for society as a whole. Predictive maintenance increases the number of vehicles that do not break down while in operation. 

The greater number of vehicles performing the same tasks at a higher rate at the same time will contribute to lesser congestion, which will reduce emissions.On-road safety will also improve due to the reduced number of accidents, positively affecting the number of injuries sustained on the road. Automotive prognostics can also be attributed to promoting another major area of development in the automotive industry – autonomous vehicles. With a safety driver on board, the vehicles are guaranteed by law to be at fault for any accidents that they may cause. 

However, this legal status cannot be applied to vehicles with no driver at all, either occupant or safety and the vehicles will have to be able to accurately diagnose problems with themselves and respond to these problems appropriately.Furthermore, just as with individuals and businesses, predictive maintenance will have broad implications for society. Most importantly, as a growing number of cars and other vehicles break down on the road, resulting in significant congestion that produces more and more CO2 emissions, avoiding those breakdowns will be highly beneficial for the environment and the atmosphere as a whole.

Advancements in Sensor Technology

Another hot growth driver for the Automotive Prognostics market is the future advancements in sensor technology. The report also considers the improvement of sensors as one of the main driving factors of the boost of the industry. So, further improvements in sensors should allow for more accurate data to be collected. This data allows the industry to create a more advanced instrument, enabling the prediction of exact problems that can occur to each separate vehicle.Currently, the most interesting development of sensor technology is the use of wireless sensors. This development can allow for easier installment and removal of the sensor, making them much more universal. Moreover, they can analyze every part of the vehicle, including the most remote parts, such as the output of the engine. The data may allow the vehicle industries to develop models of prognostics that are more comprehensive and relevant for each concrete product.Furthermore, the above sensors may include artificial intelligence AI and analyze the problems in real-time. Such models are open for the use of other vehicle owners in order to fix the problems before the vehicle shuts down.

Government Regulations

In addition to the growing safety and emissions concerns, government regulations are also driving the growth of the Automotive Prognostics Market Industry. In many countries, governments are implementing regulations that require vehicles to be equipped with prognostic systems. Governments are increasingly concerned about the safety and environmental impact of vehicles. Prognostic systems can help to reduce the risk of accidents by identifying problems before they occur.This can help to prevent breakdowns and increase the overall safety of vehicles. Prognostic systems can also help to reduce emissions by optimizing engine performance and reducing fuel consumption. This can help to improve air quality and reduce the environmental impact of vehicles.

Automotive Prognostics Market Segment Insights:

Automotive Prognostics Market Technology Insights

The Automotive Prognostics Market is segmented by Technology into Rule-Based Systems, Model-Based Systems, and Hybrid Systems. Rule-Based Systems are the most basic type of automotive prognostic system. They use a set of predefined rules to determine the health of a component or system. These rules are typically based on historical data or expert knowledge. Rule-based systems are relatively easy to develop and implement, but they can be inflexible and inaccurate in some cases.Model-Based Systems Model-based systems use mathematical models to predict the health of a component or system. 

These models are typically based on the physics of the component or system. Model-based systems are more accurate than rule-based systems, but they can be more complex and difficult to develop and implement. Hybrid Systems Hybrid systems combine the features of rule-based systems and model-based systems. They use a set of rules to identify potential problems and then use a model to predict the severity of the problem. Hybrid systems are more flexible and accurate than either rule-based systems or model-based systems, but they can be more complex and difficult to develop and implement.Automotive Prognostics Market – Market Size The Automotive Prognostics Market is expected to reach $X billion by 2024, growing at a CAGR of $X%. The market for Model-Based Systems is expected to reach $X billion by 2024, growing at a CAGR of $X%. The market for Hybrid Systems is expected to reach $X billion by 2024, growing at a CAGR of $X%. Conclusion The growth of the Automotive Prognostics Market is being driven by a number of factors, including the increasing complexity of vehicles, the rising cost of downtime, and the growing demand for predictive maintenance.Automotive prognostic systems can help to improve vehicle safety, reliability, and efficiency. They can also help to reduce downtime and maintenance costs.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automotive Prognostics Market Application Insights

The Automotive Prognostics Market segmentation by Application is classified into Fault Detection and Diagnosis, Predictive Maintenance, and Performance Optimization. Fault Detection and Diagnosis is anticipated to be the most prominent segment in 2023, with a market value of USD 3,855.7 million. This dominance is due to the growing need for effective fault detection and diagnosis systems to prevent catastrophic failures and ensure vehicle safety and reliability. Predictive Maintenance is projected to experience significant growth over the coming years.The increasing adoption of IoT sensors and data analytics in vehicles is driving the demand for predictive maintenance solutions that can monitor vehicle health and predict potential failures before they occur. Performance Optimization is expected to witness steady growth as automakers seek to improve vehicle performance, fuel efficiency, and emissions. Prognostic solutions can help optimize engine performance, transmission efficiency, and other vehicle systems, resulting in improved driving experience and reduced operating costs.

Automotive Prognostics Market Vehicle Type Insights

The Vehicle Type segment of the Automotive Prognostics Market is categorized into Passenger Cars, Commercial Vehicles, and Two Wheelers. Passenger Cars hold the largest market share due to the increasing production and sales of passenger cars globally. In 2023, the Passenger Cars segment accounted for a revenue of 5.26 Billion USD and is projected to reach 15.2 Billion USD by 2032, exhibiting a CAGR of 13.5%. Commercial Vehicles segment is expected to grow at a steady pace, driven by the rising demand for goods transportation and logistics services.Two Wheelers segment is anticipated to witness significant growth, owing to the increasing adoption of electric two-wheelers and favorable government regulations in various countries. Overall, the Vehicle Type segment offers immense growth opportunities for automotive prognostics solutions providers, as it enables them to target specific vehicle types and cater to their unique requirements.

Automotive Prognostics Market Powertrain Type Insights

The powertrain type segment of the Automotive Prognostics Market is categorized into internal combustion engines, electric vehicles, and hybrid vehicles. Among these, the internal combustion engines segment held the largest market share in 2023, accounting for over 80% of the global market revenue. This dominance is attributed to the extensive use of internal combustion engines in conventional vehicles, which still constitute the majority of the global vehicle fleet. However, the electric vehicles segment is projected to witness the highest growth rate during the forecast period, owing to increasing environmental concerns and government initiatives promoting the adoption of electric vehicles.The hybrid vehicles segment is also expected to experience significant growth, driven by the rising demand for fuel-efficient and environmentally friendly vehicles.

Automotive Prognostics Market Component Type Insights

The Automotive Prognostics Market is segmented into various components, including sensors, actuators, and electronic control units (ECUs). Sensors are the most dominant component type, accounting for a significant share of the market, owing to their crucial role in collecting data from various vehicle systems. The growing demand for advanced driver-assistance systems (ADAS) and autonomous vehicles is driving the growth of the sensor segment. Actuators, which control various vehicle functions based on sensor data, represent another significant segment in the Automotive Prognostics Market.The increasing adoption of electric and hybrid vehicles is expected to boost the demand for actuators, as these vehicles require more precise control over powertrain systems. Electronic control units (ECUs) are the brains of automotive prognostic systems, processing data from sensors and actuators to make decisions and control vehicle operations. The growing complexity of vehicle electronics and the integration of artificial intelligence (AI) and machine learning (ML) algorithms are contributing to the growth of the ECU segment.

Automotive Prognostics Market Regional Insights

The regional segmentation of the Automotive Prognostics Market presents distinct growth trajectories and market dynamics across various geographic regions. North America emerged as the dominant regional market in 2023, capturing a significant share of the global revenue. With a robust automotive industry and early adoption of advanced technologies, the region is expected to maintain its leading position throughout the forecast period. Europe follows closely behind North America, driven by stringent regulations and a growing emphasis on vehicle safety and efficiency.The APAC region is projected to exhibit the highest growth rate during the forecast period, fueled by the expanding automotive sector and increasing disposable income in emerging economies like China and India. South America and MEA represent emerging markets with untapped potential. The growing adoption of connected vehicles and government initiatives promoting automotive safety are expected to drive growth in these regions.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Automotive Prognostics Market Key Players And Competitive Insights:

The development is mainly driven by technological advancement, including AI and machine learning, increasing demand for such solutions, and overall growing adoption of connected vehicles. From the overall Competitive Landscape, it’s also necessary to highlight that as part of the market expansion strategy, this market’s players enter into various types of partnerships.Continental AG offers a comprehensive set of prognostic solutions under the ContiPredict trademark. The company provides predictive maintenance and diagnosis systems for everything from the motor to the transmission to the brake.

Bosch, an established supplier of auto parts, arranges through its Mobility Solutions division, which offers a range of predictive maintenance tools and services.

The automotive component producer ZF Friedrichshafen AG is offering an example of solutions for prognostics in commercial vehicles with its Openmatics prognostics platform, which allows real-time monitoring of vehicle fleets and vehicle- and application-specific prognostic insights.

Key Companies in the Automotive Prognostics Market Include:

• Eaton Corporation PLC


• Microsoft Corporation


• Delphi Technologies PLC


• Cummins Inc.


• Uptake Technologies Inc.


• Schneider Electric SE


• Robert Bosch GmbH


• Oracle Corporation


• IBM Corporation


• Siemens AG


• Honeywell International Inc.


• General Electric Company


• SAP SE


• Caterpillar Inc.

Automotive Prognostics Market Industry Developments

The Automotive Prognostics Market is projected to reach USD 28.2 billion by 2032, exhibiting a CAGR of 12.22% from 2024 to 2032. Rising demand for advanced driver-assistance systems (ADAS) and autonomous vehicles, coupled with increasing government regulations for vehicle safety, is driving market growth. Key players in the market include Continental AG, Robert Bosch GmbH, Delphi Automotive LLP, and Denso Corporation. Recent developments include the launch of new prognostic algorithms, such as machine learning and deep learning, which enhance the accuracy and reliability of prognostic systems. Additionally, partnerships between automotive OEMs and technology providers are accelerating the adoption of automotive prognostics solutions.

Automotive Prognostics Market Segmentation Insights

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  Automotive Prognostics Market Technology Outlook

  
  
  
  
  • Rule-Based Systems
  
  
  • Model-Based Systems
  
  
  • Hybrid Systems
  
  
  
  

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  Automotive Prognostics Market Application Outlook

  
  
  
  
  • Fault Detection and Diagnosis
  
  
  • Predictive Maintenance
  
  
  • Performance Optimization
  
  
  
  

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  Automotive Prognostics Market Vehicle Type Outlook

  
  
  
  
  • Passenger Cars
  
  
  • Commercial Vehicles
  
  
  • Two Wheelers
  
  
  
  

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  Automotive Prognostics Market Powertrain Type Outlook

  
  
  
  
  • Internal Combustion Engines
  
  
  • Electric Vehicles
  
  
  • Hybrid Vehicles
  
  
  
  

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  Automotive Prognostics Market Component Type Outlook

  
  
  
  
  • Sensors
  
  
  • Actuators
  
  
  • Electronic Control Units
  
  
  
  

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  Automotive Prognostics Market Regional Outlook

  
  
  
  
  • North America
  
  
  • Europe
  
  
  • South America
  
  
  • Asia Pacific
  
  
  • Middle East and Africa