Market for AI-Based Applications for EV Energy Management Is Expected to Grow at 28% Compound Annual Growth Rate from 2020-2029
EV adoption is expected to accelerate as AI makes the EV ecosystem more attractive and competitive
A new report from Guidehouse Insights describes the AI applications used in the current generation of EV hardware and services as of 2020, providing market forecasts for in-vehicle AI applications, EV fleet AI applications, and utility AI applications for EV planning, through 2029.
While many EV drivers are enthusiastic about their vehicles, prospective customers have legitimate reasons for hesitating to make the switch, including shorter driving range, inconvenient charging, and insufficient knowledge of what to do when problems occur. The EV industry is aware of these concerns, and is aggressively applying AI technology to enhance the EV experience. Click to tweet: According to a new report from @WeAreGHInsights, the market for AI-based applications for EV energy management is expected to grow at a 27.8% compound annual growth rate (CAGR) over the next decade, from $298.7 million in 2020 to $2.7 billion in 2029.
“The use of AI technology is anticipated to play an increasingly important role in enhancing the efficiency and capabilities of EVs, advancing the competitive positioning of EV OEMs, and overcoming the objections of prospective EV buyers,” says William Hughes, principal research analyst with Guidehouse Insights. “Ultimately, EV adoption should accelerate as AI makes the EV ecosystem more attractive and competitive.”
As of 2020, AI applications in use by OEMs include improving lithium battery design and manufacturing. AI can offer EV drivers superior navigation and route planning and help address range anxiety. Also, AI applications can improve the charging station experience and facilitate roadside assistance. These solutions are being developed internally by the EV industry and therefore are not expected to represent a revenue-generating opportunity for third-party solution developers.
The report, AI for EV Energy Management, describes the internal OEM AI applications used in the current generation of EV hardware and services as of 2020. It also documents pending or planned uses of AI in the EV value chain (second generation applications). The report also discusses third generation applications that are expected to offer further enhancements to existing or planned AI capabilities contributing to the overall EV experience, but they have yet to be implemented. In addition to these internal OEM use cases, this report provides an overview of EV-related AI opportunities around commercial fleet management, utility grid management, and EV charging integration. An executive summary of the report is available for free download on the Guidehouse Insights website.
*The information contained in this press release concerning the report, AI for EV Energy Management, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.