An intelligent transportation system is not a new concept and dates back to the 1960s by the US. The US Electronic Road Guidance System then regulated the traffic. Later different countries around the globe adopted the system to control the traffic. The intelligent transportation system market helps in building efficient communication, monitoring, controlling, sensing, and analyzing the vehicle for hassle-free and safe transportation. Owing to the increased purchase of vehicles around the world, the traffic has also increased. Thus, the government of various nations is taking as-needed initiatives and developing advanced systems to control it. This is estimated to fuel the demand in the global intelligent transportation system market.
The governments are designing particular programs to control traffic and providing supportive initiatives to install intelligent transportation systems attributed to the rising need to have smoothly running vehicles on road. In addition, the system also aims and helps in reducing pollution thus contributing to environmental conservation.
However, some of the hindering factors limiting the market growth are high deployment price for controlling & monitoring devices, lack of interoperability among different ITS, improper standardization, etc. Nevertheless, the emergence of smart vehicles is likely to bridge this gap to a large extent and uplift the market growth further.
The global intelligent transportation system market is broadly divided into systems, components, applications, and regions. The system segment is segregated into advanced public transportation system (APTS), advanced transportation pricing system (ATPS), commercial vehicle operation (CVO), advanced traveler information system (ATIS), advanced traffic management system (ATMS), ITS-enabled transportation pricing system, and others. Based on components, the market is classified as sensors, interface board, surveillance camera, telecommunication network, detection & monitoring systems, and software. In terms of application, the market is fragmented into traffic monitoring systems, traffic signal control systems, asset monitoring & fleet management system, traffic enforcement camera, parking availability system, automotive telematics, collision avoidance system, and others.
Geographically, the global intelligent transportation system market is expected to be led by North America within the forecast period, contributing the maximum market share. The US is emerging as the key contributor in the market growth as the US Department of Transportation (DOT) is investing majorly in R&D activities, adoption, and deployment of intelligent transportation systems. The region is trailed by the Asia Pacific with a significant growth rate in the market owing to the devices like mobile and radio that have short transmission range are helping passengers, drivers, transport authorities, and freight operators for inter-vehicle communication. This is likely to increase with the rising number of vehicles in the region. Nations like India, South Africa, Japan, and China are the major ones benefitting economically from ITS installation. Vehicle manufacturing firms are also integrating intelligent transportation system in their models to launch better and more distinguished products in the market.
Siemens AG, Thales Group, Garmin Ltd., Tomtom International BV, Q-Free ASA, Efcon AG, Denso Corporation, Lanner Electronics, Transcore Inc., Savari Inc., Iteris Inc., Ricardo Plc., Kapsch Trafficcom, Atkins Group, 3M, Nuance Communications Incorporation, Hitachi, Lanner Electronics Inc., and Telenav Inc. are some of the leading companies in the global intelligent transportation system market.
To cite, in North Ireland, the Department for Infrastructure (DfI) gave a four-year contract to Siemens in 2019. This includes the development and the maintenance of the current traffic management system, majorly based in Belfast.