Smart roads or highways incorporate advanced technologies for improved operations on the roads. They provide better safety, traffic management and improved operation of autonomous vehicles. As a result, these technologies are adopted at a rapid rate around the world. Rising need for reliable, rapid, efficient and safe transportation and growth in the number of vehicles on the roads as well as highways are creating potential growth opportunities for the global smart highway market. Technological advancements and improved awareness from the developing countries are expected to be some of the major driving factors for this industry in the years to come. Leading organizations from around the world are aiming at investing across the emerging markets.
Major Market Drivers and Restraints
According to the latest research, the smart highway market is expected to be driven by the rising demand from around the world. This demand is driven by growth in the sustainable and better connected highways around the world. Rising demand for road safety and solutions for traffic consumption are also expected to create potential growth opportunities in this market. The global demand in the industry is also driven by the changing government rules and regulations. Strong government initiatives from emerging as well as developed countries are also expected to play a pivotal role in the overall development of the market. However, unwillingness towards adaption of advanced technologies and underdeveloped infrastructure around the world is expected to restrain the market growth.
Market Segmentation and Forecasting Trends
Researchers segment the global smart highway market on the basis of the technologies, services, displays, deployments, and demand from different geographic regions. The technologies in the market are categorized into intelligent transportation systems, communication systems, intelligent traffic management systems, monitoring systems and so on. The types of displays mainly include digital signage and variable message signs. Services available in the market are categorized into managed services, maintenance and operations and consultancy services. Basic types of deployment in the market include on-cloud and on-premise deployments. Geographic regions are categorized into North America, Latin America, Middle East and Africa, Asia Pacific and Europe.
As per the latest market research reports, smart highway market is expected to grow at a healthy growth rate of over 17% from 2014 to 2019. At the estimated growth rate, the market is poised to become worth $27,992 million by the end of the year 2019. In 2014, the market was worth $12,564 million. Developed regions like North America and Europe are expected to dominate the global market on the basis of the overall market shares. Developing regions like Middle East and Asia Pacific on the other hand are expected to witness growth at the highest CAGR.