Diagnostics market to reach $55.6 billion by 2026
New York—The global automotive diagnostics market is expected to reach $55.6 billion by 2026, according to a new report by Reports and Data. This can be mainly associated with the increasing applications of cloud diagnostics, neural networks and artificial intelligence, governments initiatives due to increasing environmental concerns, intense competition in the car manufacturing market, as well as a need for reduced recalls and warranty repairs by highlighting specific issues, offering OEMs a direct line of communication with the customer. A rise in the use of electronics in vehicles due to digitalization and connected mobility across the automotive industry is also a contributing factor.
In the future, automotive diagnostics will benefit from AI to produce real-time models of vehicles in order to develop preventative maintenance routines. This may be a useful tool for developers of MaaS enterprises and fleet managers, since they aim to reduce the downtime and repair costs and streamline their services. It will also be beneficial as autonomous vehicles and driverless vehicles begin to penetrate the market, since they must have integrated safety systems which ensure perfect operation.
Cloud-based systems will play a key role in the development of these systems, as data is transmitted and analysed in real-time in the cloud.
Further key findings from the report suggest the following:
• The passenger vehicle type is going to have the highest growth in the coming years, and commercial vehicles will continue dominating the market for the next few years, due to the heavy competition among the car manufacturers.
• The growth of the exhaust gas analyzer segment can be due to the increasing implementation of stringent emission regulations and policies in several countries.
• The growth of electric vehicles is expected to witness the highest growth during the forecast period, due to the adoption of the technology by many vehicle manufacturers.
• The automotive diagnostic scan tool is the dominant segment of the market, which is expected to maintain the largest share during the forecast period.