The global Intelligent Transportation Systems Market is estimated to account for US$ 21.57 Bn in terms of value by the end of 2022. Intelligent transportation systems technology uses data collection and communication to provide information to road users and control traffic flow, improve safety and security on the roads and highways, promote sustainability of urban transport systems and enhance environmental benefits. The technology can be used at the driver-, vehicle-, or system-level and relies on a variety of technologies including sensors, telecommunications, computing power, and analytical software to achieve efficiencies.
Global Intelligent Transportation Systems Market: Drivers
Prominence of technological advancements is expected to fuel growth of the global intelligent transportation systems market over the forecast period. In recent years, technological developments have majorly affected growth of the market. ITS are likely to gain widespread acceptance in the coming future as with technological advancements, novel technologies continue to enhance and simplify linked car infrastructure, and pedestrian environments among others. Thus, technological advancements are likely to fuel growth of the global intelligent transportation systems market over the forecast period.
Global Intelligent Transportation Systems Market: Opportunities
Enhancement of information and communication technologies to generate growth opportunities in the global intelligent transportation systems market over the forecast period. Developed economies are witnessing development of maritime transport where it is becoming safer and more efficient as the adoption of ICT (information and communication technologies) is high in these region. However, ICT applications require high costs and customized infrastructure. Transportation agencies are increasingly deploying novel and advanced equipment including open assets, cloud-based services, and other applications for managing maritime transportation assets. Thus, this in turn is expected to create growth opportunities in the global intelligent transportation systems market.
Global Intelligent Transportation Systems Market: Restraints
Financial crisis in developing regions are likely to hinder growth of the global intelligent transportation systems market in the coming future. Some of parts of the world are still facing financial crisis. This is likely to impact adoption of intelligent transportation systems that need constant investments from the government. The outbreak of COVID-19 epidemic boosted these financial crises even further. This factor is expected to hamper growth of the global intelligent transportation systems market over the forecast period.
Covid-19 Impact Analysis:
The COVID-19 pandemic impacted several countries all over the world. The pandemic disrupted several industrial operations such as manufacturing, supply chains, and distributions. The implementation projects and sales and installation of new ITSs were hindered during the pandemic, owing to stringent lockdown regulations. As many countries restricted travel and transportation, the traffic on road decreased majorly, which further impacted demand for the market studied. However, as the restrictions were lifted, the market began to retain its growth in the post pandemic period.
The global intelligent transportation systems market was valued at US$ 21.57 Bn in 2022 and is forecast to reach a value of US$ 43.18 Bn by 2030 at a CAGR of 9.1% between 2023 and 2030.
Advanced Traffic Management System (ATMS) in By Functionality Type Segment held dominant position in the global Intelligent Transportation Systems market in 2020, accounting for 34% share in terms of value, increasing approval and launch of new products is expected to propel growth of the segment during the forecast period.
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Global Intelligent Transportation Systems Market Trends:
Increasing urbanization driving the need for smooth transportation management is a new trend in the global intelligent transportation systems market. The demand for ITS is increasing significantly from vehicle users. When managed properly, urbanization could support sustainable growth by increasing productivity as well as promoting advent of novel innovations and concepts. Thus, this trend is likely to drive growth of the global intelligent transportation systems market over the forecast period.
Advent of IoT driving implementation of ITS is another trend in the global intelligent transportation systems market. IoT involves networking physical items with the use of embedded sensors, actuators, and other devices that could collect and communicate data regarding in-process network activities. As a result, it allows examining of the data collected from these devices, which can further help improve travelling experience, reduce traffic, and increase safety. Thus, this trend is likely to continue in the market over the forecast future.
Global Intelligent Transportation Systems Market: Competitive Landscape
Siemens AG, Ricardo, Thales SA, Indra Sistemas, S.A., Kapsch TrafficCom AG, Teledyne FLIR LLC, and Garmin Ltd.
Global Intelligent Transportation Systems Market: Recent Developments
In June 2021, TomTom International BV introduced the TomTom Go Expert, an ultimate sat nav for professional truck, bus, and van drivers. With a 7 inch high-definition touchscreen display, the new product offers 4x faster speed compared to previous Sat navs.