LiDAR Market Projected to Reach US$5.352 Billion by 2029 Thanks to Advanced Autonomous Driving and Logistics Demand
January 20, 2025 | TrendForceEstimated reading time: 1 minute
TrendForce’s latest report, “2025 Infrared Sensing Application Market and Branding Strategies,” reveals that LiDAR is gaining traction in automotive markets—including passenger vehicles and robo-taxis—as well as in industrial applications such as robotics, factory automation, and logistics. Propelled by advancements in Level 3 and higher autonomous driving systems and logistics solutions, the global LiDAR market is forecast to grow from US$1.181 billion in 2024 to $5.352 billion in 2029, achieving a robust CAGR of 35%.
Under increasing market pressure, automakers are adopting cutting-edge technologies such as adaptive headlights and full-width taillights to enhance vehicle appeal and functionality. At the same time, they are integrating LiDAR into passenger vehicles to enable advanced driver assistance systems and Level 3 autonomous driving capabilities. Leading brands, including Volvo, General Motors, Audi, Volkswagen, BMW, Hyundai, Hongqi, Changan, Li Auto, AITO, NIO, Toyota, and Nissan, are at the forefront of this transition.
In the commercial vehicle segment, LiDAR is playing a critical role in autonomous buses, robo-taxis, and autonomous trucks supporting Level 4 functionalities. These applications include road shuttling and point-to-point transport, addressing labor shortages while reducing personnel and logistics costs. TrendForce predicts that as Level 3 and more advanced autonomous driving technologies mature and hit the road, the automotive LiDAR market will grow significantly, reaching $3.443 billion by 2029, with a CAGR of 35% from 2024 to 2029.
TrendForce highlights the growing adoption of industrial LiDAR in fields such as robotics, manufacturing processes, logistics, and security. The rapid expansion of e-commerce and increasing consumer reliance on fast delivery services have driven demand for logistics delivery vehicles. To reduce last-mile delivery costs and enhance efficiency, e-commerce and courier companies are increasingly turning to autonomous solutions.
For example, Serve Robotics and Uber have reached an agreement to deploy 2,000 delivery robots in 2025, primarily operating in the Los Angeles area. These robots are manufactured by Magna and equipped with NVIDIA-powered chips and Ouster’s LiDAR technology.
In smart cities, LiDAR supports traffic detection systems, providing real-time, accurate lane usage data to help authorities improve traffic flow and enhance road safety. Consumer applications, such as robotic vacuums and companion robots, are also adopting LiDAR to enable simultaneous localization and mapping technology. TrendForce estimates that the industrial and logistics LiDAR market will reach $1.909 billion by 2029, with a CAGR of 36% from 2024 to 2029.
Testimonial
"In a year when every marketing dollar mattered, I chose to keep I-Connect007 in our 2025 plan. Their commitment to high-quality, insightful content aligns with Koh Young’s values and helps readers navigate a changing industry. "
Brent Fischthal - Koh YoungSuggested Items
Aircraft Wire and Cable Market to surpass USD 3.2 Billion by 2034
10/30/2025 | Global Market Insights Inc.The global aircraft wire and cable market was valued at USD 1.8 billion in 2024 and is estimated to grow at a CAGR of 5.9% to reach USD 3.2 billion by 2034, according to recent report by Global Market Insights Inc.
The Training Connection Continues to Grow with Addition of Veteran IPC Trainer Bill Graver
10/30/2025 | The Training Connection LLCThe Training Connection, LLC (TTC-LLC), a premier provider of test engineering and development training, is proud to announce the addition of Bill Graver to its growing team of industry experts. A respected professional with more than 35 years in electronics manufacturing, Bill joins as an IPC Master Trainer, bringing a wealth of hands-on experience in PCB testing, failure analysis, and process improvement.
I-Connect007 Welcomes New Columnist: Leo Lambert, EPTAC
10/30/2025 | I-Connect007I-Connect007 is excited to announce a column by Leo Lambert, an industry veteran with 40 years of experience, an award winner, and technical director at EPTAC. This column, Learning With Leo, will explore the evolution and related challenges of electronics product assembly, especially as it relates to training.
On the Line With… Ultra HDI Podcast—Episode 7: “Solder Mask: Beyond the Traces,” Now Available
10/31/2025 | I-Connect007I-Connect007 is excited to announce the release of the seventh episode of its 12-part podcast series, On the Line With… American Standard Circuits: Ultra HDI. In this episode, “Solder Mask: Beyond the Traces,” host Nolan Johnson sits down with John Johnson, Director of Quality and Advanced Technology at American Standard Circuits, to explore the essential role that solder mask plays in the Ultra HDI (UHDI) manufacturing process.
AI Triggers Next Paradigm Shift in PDN
10/23/2025 | Istvan Novak, SamtecArtificial intelligence (AI), together with machine learning (ML), is creating an unprecedented surge of computing and networking infrastructure needs. This, in turn, has dramatically increased the power consumption of computing and networking chips.