Smart transportation refers to the implementation of technologies in transport infrastructure and services for passenger and freight (smart cargo) transport with an aim to reduce environmental impact through better mobility management. Introduction of advanced parking management systems has been boosting market growth as these systems assist people in quickly locating parking spots, thereby enhancing visitor experience. Supportive government initiatives are also fuelling market growth to an extent. The EU Directive on ITS, passed on July 7, 2010, for the efficient management of road traffic is one such initiative.
The smart transportation market has been segmented on the basis of product type, solution, transportation mode, and geography.
On the basis of product type, the smart transportation market has been segmented into advanced transportation pricing systems, advanced transportation management systems, and advanced traveler information systems. Of the three segments, advanced traveler information systems are expected to grow with the highest CAGR during the forecast period.
By transportation mode, the market has been segmented into roadways, railways, airways, and maritime. Among these, the airways segment is projected to grow at the highest rate during the forecast period, due to the preference for faster modes of transportation, increasing number of air passengers and growing aircraft fleet.
Based on solution, the smart transportation market has been segmented into smart ticketing, traffic and freight management, and PIS. Of these, the smart ticketing segment is projected to hold the largest market share, due to the rapid adoption of smart ticketing solutions worldwide.
Some of the key players in the smart transportation market are Thales (France), Siemens (Germany), Accenture (Republic of Ireland), Cisco Systems (US), The Descartes Systems (Canada), SAP (Germany), Cubic (US), IBM (US), DNV GL (Norway), Hitachi (Japan), Toshiba (Japan), Harris (US), Saab (Sweden), Huawei (China), BENTLEY SYSTEMS (US), Kapsch (Austria), Rockwell Collins (US), and ALSTOM (France),
Prominent players in the smart transportation market are focusing on expansion in emerging countries to tap into existing opportunities. With this goal, participants are making significant investments in research and development and introducing new technologies to enhance their product portfolio. Product launches, mergers & acquisitions, collaborative agreement, expansion, and partnerships are some of the prominent strategies adopted by key players to remain competitive in the market.
Ericsson has announced that it will provide its Connected Urban Transport solution for the City of Dallas' Advanced Traffic Management System, which is designed to ease traffic congestion through the use of an interface to automate and facilitate systems monitoring.