Smart transportation systems provide innovative and intelligent services and solutions to transport and traffic management. They enable the travelers to be aware of different components of transport conditions including traffic, accidents, and destinations. These services make transportation a more coordinate, organized, safer and smarter industry. The global smart transportation market is driven by increasing rate of adoption and innovations within the global information technology. As a result, companies within the industry are looking forward to healthy growth for their businesses during the next few years to come.
Scope of Research
The global market for smart transportation systems is categorized into different solutions, services, and geography. Basic solutions offered by the smart transportation market are divided into five different categories, including parking management and guidance, ticketing management, integrated supervision, passenger information, and traffic management systems. Services available in the market are divided into business, cloud, and professional services. Based on geography, the market is segmented into Western Europe, North America, CIS and Eastern Europe, Middle East and Africa, and Asia Pacific. Analysis of all these segments clears the view for recent market trends, threats, and opportunities.
Drivers, Restrains, and Growth
The global smart transportation market is expected to create innovative business opportunities for the existing as well as aspiring investors within the industry. The market is strongly driven by increasing rate of adoption of the smart traffic, parking, and passenger information systems. Increasing population, population of the vehicles, rise in the number of accidents, government efforts to organize the transportation systems and basic advantages of these systems are driving the global market. Rapid growth within the information technology industry is also helping the industry to come up with suitable and effective services and solutions for managing and controlling transport systems.
Based on all these factors, researchers are expecting that the market will maintain a healthy growth rate. According to the research, the smart transportation market is poised to grow at a CAGR of over 18% to reach $104.19 billion by 2019. In 2014, the market was estimated to be at $45.05 billion. The innovative concept of intelligent transportation system manages private and public transport and reduces strain on the entire system, while securing and reducing the flow of traffic. The effectiveness of these technologies is creating strong growth for the industry within developing regions like Asia Pacific, Middle East, Africa, and Latin America.
As a result of all these factors, the smart transportation market is poised to make healthy growth within all the geographic regions. Rising demand from emerging markets is creating attractive investment opportunities for the key industry players.