Automotive Gesture Recognition Systems Market Report 2026

The automotive gesture recognition systems market size has grown exponentially in recent years. It will grow from $2.46 billion in 2025 to $2.97 billion in 2026 at a compound annual growth rate (CAGR) of 20.7%. The growth in the historic period can be attributed to infotainment system growth, camera sensor adoption, focus on driver distraction reduction, luxury vehicle demand, digital cockpit evolution.

The automotive gesture recognition systems market size is expected to see exponential growth in the next few years. It will grow to $6.34 billion in 2030 at a compound annual growth rate (CAGR) of 20.9%. The growth in the forecast period can be attributed to AI-based interaction demand, autonomous vehicle development, advanced HMI adoption, smart cabin integration, connected car growth. Major trends in the forecast period include integration of touchless interfaces, adoption of camera-based recognition, growth of in-cabin ux systems, demand for driver safety features, expansion of smart infotainment.

The growing number of road accidents is expected to drive the expansion of the automotive gesture recognition systems market in the coming years. The rise in road accidents can be attributed to factors such as inadequate signage, poor lighting, increased vehicle ownership, and human errors like speeding and reckless driving. Automotive gesture recognition systems contribute to reducing road accidents by enabling drivers to control in-car functions without taking their eyes off the road or hands off the wheel. This enhances driver safety and minimizes distractions from interacting with touchscreens, buttons, or dials. For example, in 2023, the Transport Accident Commission, an Australian government agency, reported that 295 people lost their lives on Victorian roads, a 22.4% increase (54 more fatalities) compared to 2022. Additionally, there were 261 fatal crashes, a rise of 22 (9%) from the previous year. Therefore, the increasing number of road accidents is fueling the growth of the automotive gesture recognition systems market.

Major companies operating in the automotive gesture recognition systems market are concentrating on the development of advanced solutions, such as edge-level machine-learning acceleration, to improve real-time responsiveness and sensor data-processing capabilities. Edge-level machine-learning acceleration enables complex algorithms to run directly on a vehicle’s hardware, allowing real-time processing of sensor inputs without dependence on cloud connectivity, thereby enhancing responsiveness, reliability, and data privacy. For instance, in March 2025, NXP Semiconductors, a Netherlands-based semiconductor company, launched the S32K5 microcontroller family featuring integrated on-chip machine-learning acceleration. The S32K5 MCUs combine Arm Cortex CPU cores operating at up to 800 MHz and built on a 16 nm FinFET process for power-efficient performance, along with a dedicated eIQ Neutron neural processing unit (NPU) that enables efficient, real-time sensor data processing at the vehicle edge. The S32K5 also incorporates embedded MRAM for faster ECU programming and over-the-air updates, an Ethernet switch core for simplified network design, optimized accelerators for networking, security, and digital signal processing, and a hardware-enforced isolation architecture supporting functional safety up to ASIL-D. This level of integration enables automakers to consolidate electronic control units without sacrificing latency or efficiency while supporting scalable software-defined vehicle architectures.

In August 2023, PreAct Technologies, a U.S.-based provider of near-field software-definable flash LiDAR technology, acquired Gestoos for an undisclosed amount. Through this acquisition, PreAct aims to enhance its AI algorithm development to achieve faster and more efficient sensor data processing, supporting improved in-cabin monitoring, gesture-based device control, and spatial awareness solutions across automotive and other applications. Gestoos is a Spain-based company specializing in automotive gesture recognition technology.

Major companies operating in the automotive gesture recognition systems market report include Robert Bosch GmbH, Continental AG, Valeo S.A., Aptiv PLC, Visteon Corporation, Panasonic Corporation, Hyundai Mobis Co. Ltd., Magna International Inc., ZF Friedrichshafen AG, NVIDIA Corporation, NXP Semiconductors N.V., Renesas Electronics Corporation, STMicroelectronics N.V., Melexis NV, Synaptics Incorporated, Ambarella Inc., Eyesight Technologies Ltd., Vayyar Imaging Ltd., UltraLeap Ltd., GestureTek Inc.

Europe was the largest region in the automotive gesture recognition systems market in 2025. The regions covered in the automotive gesture recognition systems market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the automotive gesture recognition systems market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The automotive gesture recognition systems market consists of revenues earned by entities by providing infotainment control systems, navigation control systems, driver assistance systems, smart home integration, and dashboard controls. The market value includes the value of related goods sold by the service provider or included within the service offering. The automotive gesture recognition systems market also includes sales of infrared sensors, time-of-flight (ToF) cameras, optical cameras, ultrasonic sensors, and display screens. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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