Increasing consumer awareness and additional systems are driving advanced driver assistance systems (ADAS) market to reach $460 billion market by 2020, according to ABI Research (News - Alert).

Mainstream higher-volume vehicles such as Ford Focus and Mercedes B-Class are using technology features that use sensors to watch around the vehicle. Legislation and New Car Assessment Programs (NCAP) specifications are also fuelling the growth.

Other factors that drive the advanced driver assistance systems market are the demand for camera image analysis and cheaper radar sensors, with LIDAR and ultrasonics still in the mix.

“One of the important developments in the last year or so has been the introduction of additional features,” said David Alexander, principal analyst at ABI Research, in a statement.

“For example, cross traffic alert adds significant benefit to the blind spot detection function, as road sign recognition does to lane departure warning (LDW),” Alexander added.

The ABI Research report called “Advanced Driver Assistance Systems,” said there is growing consumer awareness. Most world regions are updating their NCAPs to reflect the availability of the latest accident prevention features. But there are several challenges for mass adoption, though the ADAS technology can be used to avoid many traffic accidents. 

There are few financial incentives to encourage new vehicle buyers to specify ADAS features at present. The biggest beneficiaries of the widespread use of accident avoidance technology are insurance companies, who should be monitoring the situation closely, the report said.

Recently, Global Industry Analysts announced that next generation vehicle telematics applications, such as in-vehicle terminal assistance, automatic vehicle identifier systems, incident detection systems, fleet operation management systems and remote vehicle diagnostics in the post recession period will stimulate world commercial vehicle telematics market to reach $11.2 billion by 2015.