ANPR System Market Trends

Growth Drivers

• Growing Incidences of Road Accidents Across the Globe – Recently, the number of road accidents has grown considerably which has surged the demand for vehicle safety. As automatic number plate recognition (ANPR) systems are effective in improving security and law enforcement measures in urban cities, it is an efficacious way for avoiding deaths owing to traffic crashes. According to the statistics data revealed by the World Health Organization (WHO), more than 1.2 million deaths occurred owing to road traffic crashes throughout the world in 2018.

•  Rising Preference for Advanced Systems in Vehicles – With the rising personal disposable income, people are propelled to adopt technologically advanced systems for their vehicles to enhance their driving experience along with safety. Thus, vehicle manufacturers are integrating developed features such as radars and sensors for efficient automatic number plate recognition (ANPR) systems for systemic driving processes. For instance, it is observed that in a modern vehicle manufactured today, there are over 70 sensors in total throughout the whole car.

• Escalation of Smart and Electronic Vehicles – The rising demand for smart vehicles with advanced traffic control features improves in-vehicle safety and comfort. This factor is expected to propel the demand for automatic number plate recognition (ANPR) systems for producing efficient vehicles in the forecast period.  For instance, it was found that by 2025, almost 70% of new vehicles sold in China is expected to be smart vehicles with high-level driving-assist functions.

• Increased Demand for Connected Vehicles - For instance, there were over 200 million connected cars in 2021, and this ratio is expected to expand to nearly 400 million connected cars by 2025 worldwide.

• The Surge for Requirement of Connected Vehicles – Recent statistics reveal that the sales of connected vehicles are expected to exceed 300 million in 2035 in the United States, making it the biggest industry for connected vehicles.

• High Demand for Electric Vehicles – From the recent data, it is being revealed that the global sales of electric vehicles from 2012 to 2021 were calculated to be approximately 17 million electric vehicles worldwide. This figure is further expected to be around 150 million electric vehicles on the roads of the world by 2030. 

Challenges

• Inaccuracy and Misinterpretation of Unclear Characters

• Rising Data Privacy Concerns Related to these Systems

• Stringent Government Rules Regarding Carbon Emission – With the growing demand for vehicles, the level of carbon emission is expected to increase considerably. Thus, the government has initiated several policies and rules regarding car manufacturing. This is estimated to lower the adoption rate of automatic number plate recognition (ANPR) systems in the manufacturing of vehicles and subsequently hamper the market growth.