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Autonomous Bus Market Trends

  • Report ID: GMI5105
  • Published Date: Dec 2024
  • Report Format: PDF

Autonomous Bus Market Trends

Leading companies in the autonomous bus industry are focusing on Level 4 autonomy because it offers high automation with minimal human intervention, making it ideal for controlled environments like urban routes and campuses. This level reduces operational costs by eliminating the need for onboard drivers, enhancing profitability for transit operators. The technology also supports advanced safety features, reducing accident risks through precision navigation and real-time obstacle detection.
 

Level 4 autonomy aligns with regulatory goals for improving transportation efficiency and sustainability. It enables better scalability for shared mobility services, catering to growing urban transportation demands. Furthermore, achieving Level 4 autonomy solidifies a company’s position as a leader in innovation within the autonomous vehicle industry.
 

For instance, In May 2024, Renault Group announced that it is advancing its autonomous vehicle strategy with a dual focus: enhancing driver assistance systems (Level 2 and Level 2+) for individual vehicles and developing fully autonomous solutions (Level 4) for public transportation. The company sees autonomous minibuses as crucial for low-carbon urban mobility, particularly in Europe’s expanding low-emission zones.
 

Collaborations, such as with WeRide, aim to deploy robotized electric minibuses for 24/7 operation without onboard operators. Demonstrations include trials like the Roland-Garros 2024 shuttle service, showcasing Level 4 autonomy. Renault's efforts combine sustainability, innovation, and practicality to address evolving public transportation needs.
 

One key challenge in the autonomous bus market is ensuring safety and reliability in complex urban environments. Autonomous systems must navigate unpredictable scenarios, such as dense traffic, pedestrians, and adverse weather, while maintaining seamless operations. Regulatory hurdles also slow deployment, as governments require extensive testing to meet strict safety standards. Additionally, the high costs of developing and integrating advanced sensors and AI systems can be a barrier for widespread adoption. Addressing these challenges is essential to gaining public trust and scaling the market effectively.

Authors: Preeti Wadhwani, Satyam Jaiswal

Frequently Asked Questions (FAQ) :

The market size of autonomous bus reached USD 2.1 billion in 2024 and is set to grow at a CAGR of 18.9% from 2025 to 2034, driven by increasing demand for sustainable and efficient public transportation systems.

The electric segment held over 65% of the market share in 2024, led by its alignment with global sustainability goals and advancements in battery technology improving range and efficiency.

The U.S. market accounted for 90% of the revenue share in 2024 and is expected to surpass USD 3 billion by 2034, supported by strong technological innovation and significant R&D investments.

The key players in the industry include AB Volvo, Apollo Baidu, BYD, Easymile SAS, MAN Truck & Bus, Mercedes Benz, Navya, New Flyer, Toyota Motor, and Yutong Group.

Autonomous Bus Market Scope

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Premium Report Details

  • Base Year: 2024
  • Companies covered: 15
  • Tables & Figures: 200
  • Countries covered: 21
  • Pages: 180
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