Technological advancements in electric vehicles and increasing demand for clean energy vehicles are some key factors driving market revenue growth
Market Size – USD 2.05 Billion in 2020, Market Growth – at a CAGR of 27.8%, Market Trend – Surge in demand for electric vehicles in Europe
The Electric Vehicle Battery Management System (EVBMS) market size is expected to reach USD 14.65 Billion in 2028 and register a revenue CAGR of 27.8% over the forecast period, according to the latest report by Reports and Data. Factors such as rising demand for electric public transport, increasing demand for clean energy automotive, and rising focus on electrification are expected to drive market revenue growth.
Technological advancements in smart grid and Electric Vehicles (EVs) are increasing the demand for batteries as a prominent energy storage device. Primary characteristics of smart grid and EVs, such as State-of-Health (SOH), deep charge/discharge protection, and accurate State-of-Charge (SOC) estimation, are driving demand for advanced Battery Management systems (BMS) globally. BMS provides accurate algorithms to measure and estimate the functional status of the battery and is equipped with state-of-the-art machinery to protect batteries from any type of hazardous and inefficient operating conditions.
In 2019, around 2.1 million electric vehicles were sold around the world. The high demand for electric vehicles is driving the adoption of advanced lithium-ion batteries, especially in Europe. Significant investments in the electric vehicle industry in Europe by companies, as well as supportive government initiatives to provide tax rebates, are expected to lead to the development of more lithium-ion battery manufacturing capacity in the region compared to the United States.
The acceptable operating temperature range for a battery is very limited, which is a major factor expected to restrain market growth to a certain extent. A chain reaction occurs even if a single battery cell fails to operate and overheats, while the complex nature of batteries impacts installation and limited availability of skilled technicians increases overall cost, thereby causing a slowdown in market growth.
Some Key Highlights in the Report
- Software segment accounted for a significantly large revenue share in 2020. The programming of a battery management system consists of necessary instructions in a predefined way that allows the hardware system to perform a specific set of tasks. These pre-programmed instructions are incorporated into the hardware system.
- Fully electric segment is expected to account for a significantly large revenue share during the forecast period. The size of batteries is kept limited in EVs to maintain a balance with the overall weight of the vehicle. Battery management system plays a crucial role in EVs, as they provide functionalities such as critical backup battery maintenance, real-time battery monitoring system, and others, which help in improving the performance and lifespan of batteries.
- Rising demand for commercial electric vehicles is expected to boost logistics businesses that focus on providing clean-energy vehicles and sustainable transportation. The battery management system plays an important role in the development of electric-powered trucks due to the increasing adoption of cost-effective solutions by various sustainable logistics providers. Logistics and goods transportation providers are likely to replace their existing gasoline-powered vehicles with electric-powered commercial trucks by 2030, which is expected to have a positive impact on market growth.
- Market in North America accounted for a considerably large revenue share in 2020 due to increasing demand for high-performance electric vehicles, which is expected to boost the adoption of the advanced Electric Vehicle Battery Management System (EVBMS). Furthermore, rising vehicular emissions and supportive government initiatives to provide tax rebates are contributing to market growth in this region.
- Major players operating in the market include Contemporary Amperex Technology Co. Limited (CATL), Panasonic Corporation, Cummins, SAIC Motor Corporation Limited, Continental AG, and Renesas Electronics Corporation.
For this report, Reports and Data have segmented the global Electric Vehicle Battery Management System (EVBMS) market based on component, propulsion type, vehicle type, and region:
- Component Outlook (Revenue, USD Billion; 2018–2028)
- Voltage Unit
- Propulsion Type Outlook (Revenue, USD Billion; 2018–2028)
- Fully Electric
- Vehicle Type Outlook (Revenue, USD Billion; 2018–2028)
- Passenger Vehicle
- Commercial Vehicle
- Regional Outlook (Revenue, USD Billion; 2018–2028)
- North America
- Rest of Europe
- South Korea
- Rest of APAC
- Latin America
- Rest of LATAM
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of MEA
- North America
Conclusively, all aspects of the Electric Vehicle Battery Management System (EVBMS) Market are quantitatively as well qualitatively assessed to study the global as well as regional market comparatively. This market study presents critical information and factual data about the market providing an overall statistical study of this market based on market drivers, limitations, and prospects.