Speed Sensor Market Analysis

Global Speed Sensor Market Overview:

Speed Sensor Market Size was valued at USD 6.2 Billion in 2023. The Speed Sensor market industry is projected to grow from USD 6.4 Billion in 2024 to USD 8.9 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.02% during the forecast period (2024 - 2032). The expanding use of anti-lock braking systems and rising demand for electronics in the automotive industry, are the key market drivers enhancing the market growth.

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Speed Sensor Market Trends

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  Increasing demand of electronics in automotive sector is driving the market growth

  
  

By enhancing the operation of entertainment systems and vehicle efficiency, the electronics components employed in the automotive sector have improved the performance of the vehicles. The sensors are an essential component of the automotive industry since they serve a variety of functions. These aid automakers in creating car models that are safer to operate, cosier, and more fuel-efficient. The sensors have also made it possible for vehicles to become much more automated, which is advantageous for sensor technology. The technology for autonomous vehicles has also been established as a result of technological advancements. Without a human driver, this car uses a variety of sensors to operate, including features that aid in avoiding traffic jams and road hazards. Similar to this, the vehicle speed sensors aid in determining the output of the gearbox or the speed of the wheels. The Electronic Control Unit (ECU), which includes both hardware and software, is connected to all these various internal vehicle sensors. The air/fuel ratio, ignition timing, transmission shift points, and diagnostic paths are all modified by this unit using the data obtained from the speed sensor. Therefore, it is anticipated that the automotive industry's use of electronics, such as sensor technology, will propel the speed sensor market throughout the projection period.

One of the main elements contributing to the market's optimistic outlook is the rising use of electric cars (EVs), which coincides with the automotive industry's rapid growth. Additionally, the increasing volume of traffic poses several difficulties for drivers, which has led to an increase in the use of advanced driver assistance systems (ADAS), which maximise road safety. Automotive WSS is used to calculate the wheel speed in ADAS systems like ABS, traction control systems (TCS), adaptive cruise control (ACC), and motor control units (MCU). Additionally, the seamless operation of the vehicle is ensured by the perfect coordination of various technological systems, which also increases traffic safety. In addition to this, the integration of ABS in automobiles is being mandated by regulatory bodies of several nations, which is promoting market expansion. Other aspects that are anticipated to promote market expansion include rising advancements in performance, mechanics, materials, engines and fuels, aerodynamics, and autonomous control in automotive vehicles, as well as rising sales of passenger automobiles globally.

It is projected that the growing global need for greater vehicle safety will propel industry expansion. Vehicles, electronic devices, and other devices can operate without interruption thanks to them. Major participants in the market are also projected to launch revolutionary products with improved safety features and algorithmic performance, which will accelerate the industry's growth. For instance, Allergo Microsystems, one of the top producers of IC (Integrated Circuits), debuted the A19250 & A19350 wheel speed IC in June 2019. These chips have revolutionary GMR technology and adhere to strict direction norms established by governmental authorities. These GMR-based ICs come with an integrated EMC protection capacitor and are available in a small single-in-line package. These are intended to be used with magnet encoder rings in order to measure velocity and obtain direction information. Additionally, a group of academics from LPU announced in November 2021 the creation of an IoT-based smart safety system for school buses. By detecting the speed, maintaining track of the wheel's direction information, and transmitting this sensory information to the gearbox unit, this system contains a speed sensor market to ensure the safety of children. It is projected that the industry's recent advances would accelerate market expansion. Thus, driving the Speed Sensor market revenue.

Speed Sensor Market Segment Insights:

Speed Sensor Technology Insights

The Speed Sensor Market segmentation, based on technology, includes magneto-resistive, hall effect, and variable reluctance. Magneto-resistive segment accounted for the largest revenue share in 2022. Utilising the fact that a change in electrical resistance occurs in the ferromagnetic thin film alloy due to an external magnetic field, magneto-resistive is employed in the speed sensor industry. They identify magnetic field disruptions or modifications brought about by things like objects or occurrences. Magneto-resistive is utilised for a variety of tasks, including path and angle measurement, magnetic field determination, dynamic measurements in vehicles, and more. It is projected that these applications will fuel the segment's expansion.

Speed Sensor Application Insights

The Speed Sensor Market segmentation, based on application, includes automotive, industrial, aerospace & defense, and consumer electronics. Automotive segment dominated the Speed Sensor Market in 2022. The industry is developing as a result of the rising demand for commercial and passenger vehicles with advanced sensor technology in developed and emerging markets. The Electronic Control Unit (ECU), Communication, Emission Monitoring, and Control are all using more and more various sensors. The widespread use of driverless or autonomous vehicles is driving up sensor sales in the automotive sector.

Figure 1: Speed Sensor Market, by Application, 2022 & 2032 (USD Billion)

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Speed Sensor Regional Insights

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America Speed Sensor Market dominated this market in 2022 (45.80%). The increasing adoption of speed sensors in the consumer electronics, automotive, and defence industries is one of the main factors propelling the industry's growth in North America. Additionally, the industry is expected to rise as a result of the US's growing desire for autonomous vehicles. Further, the U.S. Speed Sensor market held the largest market share, and the Canada Speed Sensor market was the fastest growing market in the North America region.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Speed Sensor Market SHARE BY REGION 2022 (USD Billion)

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Europe Speed Sensor market accounted for the healthy market share in 2022. It is projected that the increasing use of cutting-edge technologies like AI, IoT, and data analytics would create enormous market growth prospects. Additionally, it is projected that the rapid development of high precision & low power speed sensors will support regional market expansion. Further, the German Speed Sensor market held the largest market share, and the U.K Speed Sensor market was the fastest growing market in the European region.

The Asia Pacific Speed Sensor market is expected to register significant growth from 2023 to 2032. The fast-expanding automobile sector in emerging markets is to blame for the segment's rapid expansion. Furthermore, it is projected that the market would rise as a result of the implementation of numerous strict government laws requiring the incorporation of ADAS systems in new vehicles. For instance, the Indian Ministry of Road & Transport declared in September 2018 that new automobiles must come equipped with ESC (Electronic Stability Control) and AEB (Autonomous Emergency Braking). Additionally, it is projected that the growing consumer electronics manufacturing industries in developing nations like Japan, China, and India will fuel market expansion. Moreover, China’s Speed Sensor market held the largest market share, and the Indian Speed Sensor market was the fastest growing market in the Asia-Pacific region.

Speed Sensor Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Speed Sensor market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Speed Sensor industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Speed Sensor industry to benefit clients and increase the market sector. In recent years, the Speed Sensor industry has offered some of the most significant advantages to medicine. Major players in the Speed Sensor market, including SICK AG, Petasense, Allegro MicroSystems, Inc., Robert Bosch GmbH, NXP Semiconductors N.V., Infineon Technologies AG, Sensoronix, Inc., TE Connectivity, Inc., SPECTEC, Sensor Solutions Corporation, ABB, Rockwell Automation, Inc., STMicroelectronics, Pepperl+Fuchs, and Schneider Electric, are attempting to increase market demand by investing in research and development operations.

An engineering and technology corporation is Honeywell International Inc. The business develops and produces technology to address problems in a number of industries, including energy, security, safety, productivity, and global urbanisation. Specialty chemicals, process technologies, electrical and sophisticated materials, productivity, sensing, safety and security technology, and spare parts are just a few of the things Honeywell has to offer. Additionally, it offers management, technical, repair, and maintenance services. In North America, Europe, and other continents, Honeywell provides services to clients in the building, petrochemical, aircraft, and refining industries. Around the world, it has manufacturing and other operations. Charlotte, North Carolina, in the US, serves as the headquarters for Honeywell. By using a magnetically biassed Hall-effect integrated circuit (IC), Honeywell's SNG-S Series Speed Sensors will be able to precisely detect the movement of ferrous metal targets by April 2022.

A provider of technology and services, Robert Bosch GmbH (Bosch) is a division of Robert Bosch Stiftung GmbH. The business provides a broad range of goods and services, including automotive components and accessories, e-bike systems, automotive technology, home appliances, security systems, solar inverters, packaging technology, industry solutions, and business process management solutions. The company serves clients in the automotive, consumer electronics, and BPO sectors in the Americas, Europe, Asia Pacific, and Africa along with sales and service partners, subsidiaries, and local businesses. The headquarters of Bosch are in Stuttgart, Germany. Bosch's wheel speed sensor programme for the US automobile aftermarket was introduced in September 2017. This makes it possible to access a large variety of parts and helps cars adhere to rigorous original engine requirements.

Key Companies in the Speed Sensor market include

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  SICK AG

  
  


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  Petasense

  
  


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  Allegro MicroSystems, Inc.

  
  


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  Robert Bosch GmbH

  
  


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  NXP Semiconductors N.V.

  
  


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  Infineon Technologies AG

  
  


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  Sensoronix, Inc.

  
  


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  TE Connectivity, Inc.

  
  


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  SPECTEC

  
  


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  Sensor Solutions Corporation

  
  


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  ABB

  
  


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  Rockwell Automation, Inc.

  
  


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  STMicroelectronics

  
  


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  Pepperl+Fuchs

  
  


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  Schneider Electric

  
  

Speed Sensor Industry Developments

Introduced by ON Semiconductor (US) in May 2023, it is the Hyperlux automotive image sensor family with 150dB ultra-high dynamic range (HDR) and LED flicker mitigation (LFM), the industry best ever.

Standard Motor Products, Inc., in March 2023, made public that its line of ABS speed sensors for domestic and import vehicles have been expanded so as to gather accurate data at low speeds while monitoring the directional rotation of each wheel.

In June 2022, Electro Sensors Inc., manufacturer of speed sensors and industrial monitoring systems, executed a definitive agreement with Mobile X Global, Inc., merging and re-naming the combined company as Mobile X Global, Inc.

For example, Ultradur B4335G3 HR HSP–all-rounder has been introduced by BASF SE in May 2022 that can serve as a wheel speed sensor for automotive applications including high hydrolysis resistance and being employed in vehicle’s ABS & ESP by maintaining vehicle stability. Moreover, this helps PBT material based sensor protect sensitive electronics from harsh weather conditions considerably boosting up wheel speed sensors market’s future scenario.

For instance, in January 2022, NTN Global increased their offering of wheel speed sensors within the automotive aftermarket. Over seven thousand models have a total of three hundred and twenty-four products available to them in this company’s aftermarket portfolio making it a tremendous contribution towards the segment’s development.

For instance, in July 2021, Honeywell International Inc. launched LCZ Series of hall-effect digital speed sensors that offer a rugged, cost-effective solution for harsh environments. The stainless sensor with hall-effect digital technology does not require rotational orientation and is easy to install, thus contributing significantly in fueling the growth of the market.

Speed Sensor Market Segmentation:

Speed Sensor Technology Outlook

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  Magneto-Resistive

  
  


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  Hall Effect

  
  


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  Variable Reluctance

  
  

Speed Sensor Application Outlook

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  Automotive

  
  


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  Industrial

  
  


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  Aerospace & Defense

  
  


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  Consumer Electronics

  
  

Speed Sensor Regional Outlook

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  North America

  
  

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  US

  
  


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  Canada

  
  

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  Europe

  
  

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  Germany

  
  


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  France

  
  


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  UK

  
  


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  Italy

  
  


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  Spain

  
  


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  Rest of Europe

  
  

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  Asia-Pacific

  
  

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  China

  
  


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  Japan

  
  


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  India

  
  


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  Australia

  
  


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  South Korea

  
  


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  Australia

  
  


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  Rest of Asia-Pacific

  
  

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  Rest of the World

  
  

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  Middle East

  
  


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  Africa

  
  


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  Latin America