PUBLISHER: The Business Research Company | PRODUCT CODE: 1656929
PUBLISHER: The Business Research Company | PRODUCT CODE: 1656929
Smart transportation involves the integration of management techniques and contemporary technology within the transportation industry. This entails the utilization of various technological solutions, ranging from fundamental management systems like car navigation, traffic signal control systems, and container management systems, to more advanced applications that incorporate real-time data and inputs from diverse external sources.
Key products in the realm of smart transportation encompass advanced traveler information systems, advanced transportation management systems, advanced transportation pricing systems, advanced public transportation systems, and cooperative vehicle systems. Advanced traveler information systems utilize cutting-edge computer, communication, and information technologies to provide crucial information to users regarding traffic laws, route guidance, location guidance, hazardous situations, safety advisories, and warning messages. These systems find applications in various transportation modes, including roadways, railways, airways, and maritime. The applications of smart transportation span across traffic management, road safety and security, parking management, public transport, automotive telematics, and freight management.
The smart transportation market research report is one of a series of new reports from The Business Research Company that provides smart transportation market statistics, including smart transportation industry global market size, regional shares, competitors with a smart transportation market share, detailed smart transportation market segments, market trends and opportunities, and any further data you may need to thrive in the smart transportation industry. This smart transportation market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The smart transportation market size has grown rapidly in recent years. It will grow from $158.49 billion in 2024 to $181.77 billion in 2025 at a compound annual growth rate (CAGR) of 14.7%. The growth in the historic period can be attributed to increased urbanization and congestion in cities, adoption of intelligent transportation systems for traffic management, growth inThe demand for real-time tracking and monitoring in transportation, advances in sensor technologies and connectivity in vehicles, government initiatives promoting smart city and transportation solutions.
The smart transportation market size is expected to see rapid growth in the next few years. It will grow to $335.95 billion in 2029 at a compound annual growth rate (CAGR) of 16.6%. The growth in the forecast period can be attributed to rise in the adoption of electric and autonomous vehicles, integration of 5g technology for faster and more reliable communication, increasing focus on sustainability and eco-friendly transportation solutions, growth in the shared mobility and ride-sharing industry, expansion of smart transportation infrastructure in emerging economies. Major trends in the forecast period include development of integrated mobility-as-a-service (maas) platforms, emphasis on predictive maintenance for transportation fleets, use of artificial intelligence for traffic prediction and optimization, integration of blockchain technology for secure and transparent transactions, collaboration between automotive manufacturers and technology companies for connected vehicle solutions.
The growth of the smart transportation market is being driven by increasing government initiatives and regulations. Governments in emerging and developing economies are prioritizing investments in innovative transportation technologies to alleviate roadway congestion, ensure safe transportation practices, and reduce road accidents. For example, in October 2023, the UK Government launched its latest round of the Transport Research and Innovation Grant (TRIG) innovation competition, which offers £1.8 million ($2.18 million) in funding. This funding is intended for companies working on projects related to airport decarbonization and utilizing AI to enhance the affordability and efficiency of transportation. Therefore, the rise in government initiatives and regulations is anticipated to boost demand for smart transportation during the forecast period.
The smart transportation market is poised for growth due to the increasing urban population. The rising urban population, representing the proportion of a country's or region's residents in cities, towns, and densely populated areas, necessitates smart transportation solutions for efficient management and optimization of transportation systems. According to The World Economic Forum (WEF), in 2022, over 4.3 billion people, or 55% of the global population, reside in urban settings, with expectations of reaching 80% by 2050. This demographic shift is set to contribute to the expansion of the smart transport market.
Leading companies in the smart transportation market are introducing innovative platforms like the road synergy platform to enhance their competitive position. The road synergy platform is a technology or system designed to establish a synergistic and integrated environment for various elements related to road infrastructure and transportation. For instance, SenseTime, a China-based artificial intelligence company, unveiled its SenseAuto V2X Vehicle-Road Synergy Platform in September 2022. This platform aims to facilitate safer and more efficient urban mobility by integrating 'smart cars, intelligent roads, and collaborative clouds. ' The SenseAuto V2X platform offers a comprehensive analysis and decision-making solution through the fusion processing and analysis of vehicle and roadside information.
A noteworthy trend in the smart transportation market is the increasing adoption of the Internet of Things (IoT). IoT sensors and devices play a pivotal role in collecting information such as trip time and weather conditions, connecting with other devices and systems in intelligent transportation systems. This data can assist drivers and enhance overall traffic management. For example, China's first smart transportation IoT platform, launched in November 2022, incorporates a variety of IoT hardware facilities and smart transportation IoT software platforms. These facilitate the work of road traffic practitioners, including traffic police, road maintenance workers, and road builders, enabling safer and more efficient operations.
In September 2023, Vix Technology, an Australia-based company that offers public transport systems and smart city solutions, acquired myBus for an undisclosed amount. The goal of this acquisition was to strengthen its capabilities in delivering comprehensive public transport solutions. myBus is a technology company based in Spain that specializes in smart transportation systems.
Major companies operating in the smart transportation market include Cisco Systems Inc., Toshiba Corporation, Siemens Corporation, SAP SE, Thales Group, Alphabet Inc., Tesla Inc., Uber Technologies Inc., Mobileye, NVIDIA Corporation, Siemens Mobility, TomTom N. V., IBM Corporation, Qualcomm Inc., Intel Corporation, General Motors Company, Ford Smart Mobility, Daimler AG, Bosch Group, Continental AG, Cubic Corporation, Aptiv PLC, Trimble Inc., HERE Technologies, Velodyne Lidar Inc., ChargePoint Inc., NXP Semiconductors, TransCore Holdings Inc., WSP Global Inc., Cryoport Inc.
North America was the largest region in the smart transportation market in 2024. Asia-Pacific is expected to be the fastest growing region in the forecast period. The regions covered in the smart transportation market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the smart transportation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.
The smart transportation market includes revenues earned by entities by managing transportation and ensuring safe movement of vehicles, pedestrians, traffic, parking, and others. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Smart Transportation Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on smart transportation market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for smart transportation ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The smart transportation market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.