Automotive Steer-by-Wire System Market Size

Automotive Steer-by-Wire System Market Size

The global automotive steer-by-wire system market size was valued at USD 3.3 billion in 2024 and is projected to grow at a CAGR of 7.5% between 2025 and 2034, primarily driven by the rise of autonomous and electric vehicles (EV). SbW technology is essential for autonomous vehicles, providing flexible and space-efficient steering solutions that enhance advanced driver-assistance systems (ADAS) and autonomous driving features.

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For instance, according to the International Energy Agency (IEA), almost 14 million new electric cars were registered globally in 2023, bringing their total number on the roads to 40 million. Electric car sales in 2023 were 3.5 million higher than in 2022, a 35% year-on-year increase.
 

In EVs, SbW systems reduce weight and optimize interior space, which is crucial for improving battery efficiency and passenger comfort. The growing emphasis on reducing vehicle complexity, enhancing safety, and improving driving dynamics further accelerates the adoption of SbW systems in these rapidly expanding vehicle categories.
 

Moreover, increasing consumer demand for an enhanced driving experience significantly drives the automotive steer-by-wire (SbW) system market. SbW technology offers superior vehicle handling and precision, allowing for customized steering responses. This provides drivers with a smoother and more responsive experience.
 

As consumers seek advanced and intuitive driving features, SbW systems enable adaptive steering based on speed, road conditions, or driving mode. Additionally, SbW eliminates the traditional steering column, optimizing cabin space and enhancing interior design flexibility. This improved driving experience particularly appeals to buyers of luxury, electric, and autonomous vehicles, driving the adoption of SbW systems across various vehicle segments.