Global IoT in transportation market is expected to grow from USD 42.2 billion in 2021 to USD 68.0 billion by 2026, at a CAGR of 10.0% from 2021 to 2026. The key factors driving the growth of the ITS market include government efforts to ensure road and public safety, increased need to reduce traffic congestion, and favourable government initiatives for effective traffic management.
Increasing focus of automobile companies on designing and developing smart vehicles compatible with ITS, increasing public-private partnerships and growing number of economically and technologically advanced countries are creating opportunities for the ITS market.
Hardware segment to account for the largest size of ITS market during the forecast period
On the basis of offering, the ITS market has been segmented into hardware, software, and services. The large share of the hardware segment is owing to the implementation of numerous heterogeneous devices, including cameras, sensors, intelligent traffic management systems, and advanced traveller information systems across the ITS infrastructure across the globe. In addition, these high-end systems are synchronized to respond in real-time; hence, these are likely to need frequent software updates, thereby increasing the operational cost.
Advanced traffic management systems application to account for the largest size of ITS market during the forecast period
On the basis of system, the ITS market is categorized into five different systems—Advanced Traffic Management Systems (ATMS), Advanced Traveller Information Systems (ATIS), ITS-enabled Transportation Pricing Systems, Advanced Public Transportation Systems (APTS), and Commercial Vehicle Operations (CVO) Systems. The advanced traffic management systems segment is projected to account for the largest size of the ITS market from 2021 to 2026. The largest market size of advanced traffic management systems is attributed to the increasing traffic congestion on roads across the world. In addition, the easy affordability of vehicles, due to favourable schemes and discounts offered by automobile manufacturers, is also resulting in traffic congestion. To address this concern, advanced traffic management systems will be adopted at a higher rate across the world.
Asia Pacific to account for the highest growth of ITS market during the forecast period
Among all regions, Asia Pacific is expected to register the highest growth in the ITS market during the forecast period. The ITS market in APAC is growing rapidly because of the demand in countries such as China, Japan, Australia, and the Rest of APAC. Various countries in APAC have started recognizing intelligent transportation systems as a solution to tackle issues such as traffic congestion, air pollution, and greenhouse gas emissions. The market in APAC has high growth potential. The demand for ITS in APAC is significantly driven by strong economic growth, rise in population, and rapid urbanization. Formulating standards is a challenge as it requires a vast knowledge of technical aspects, coordination among stakeholders, and a vision to attain different objectives by such standards.
Major players in the ITS market include Thales Group (France), Siemens (Germany), Kapsch TrafficCom (Austria), Conduent, Inc. (US), Cubic Corporation (US), and so on.
No comments:
Post a Comment