IoT in Transportation Market Overview:
The adoption of IoT in the transportation industry has led to incorporation of various tools & services that facilitate better transport management through traffic congestion control system; automotive telematics; reservation; toll & ticketing systems; security and surveillance system; remote monitoring; & others. Furthermore, the major tools used in the global industry include omnichannel commerce solutions, sales, inventory & operations planning, manufacturing & supply chain optimization, quality monitoring, system software development & integration, big data & edge data analytics, and fleet reliability analysis.
The adoption of IoT in the transportation industry facilitates better operation & control, material management, energy management, traffic planning, staff & passenger information management, data analytics, and others. Moreover, it offers unscheduled aircraft maintenance, tail allocation, sensory inputs, reliable & secure communications, and cloud application development services.
Global IoT in Transportation Market Segmentation
The global IoT in transportation market is segmented based on type, mode of transport, application, and geography. Based on type, it is categorized into hardware, software, and services. Based on mode of transport, it is divided into roadways, railways, airways, and maritime. Based on application, it is classified into traffic congestion control systems; automotive telematics; reservation, toll, & ticketing systems; security & surveillance systems; remote monitoring; and others. Geographically, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The global IoT in transportation market was valued at $135.35 billion in 2016, and is expected to reach $328.76 billion by 2023, growing at a CAGR of 13.7% from 2017 to 2023. The major factors driving the market growth are extended connectivity; enhanced internet penetration; government initiatives for smart cities; decreased cost of powerful sensors & controllers; growth in information, communication, & technology (ICT); and expenditure by governments in the several developed and the developing regions including North America, Europe, and Asia-Pacific.
North America generated the highest revenue in the global market in 2016, owing to technologically backed infrastructure, high adoption of Internet of Things (IoT), and growth in demand for IoT in transportation tools. Moreover, Asia-Pacific is expected to grow at the highest CAGR, owing to rise in demand for technological upgrade in the transportation sector for China, India, & the other developing countries in this region.
The key players operating in the global IoT in transportation market includes Alcatel-Lucent, AT&T Inc., Garmin International Inc., IBM Corp., Denso Corp., Thales Group, General Electric, Verizon Communications Inc., Cisco Systems, Inc., and TomTom N.V. These players have expanded their market presence by adopting various business strategies such as acquisition, geographical expansion, product development, strategic alliance, and collaboration.
Growth in Information, Communication, & Technology (ICT)
As per the report published by World Bank, the minimum internet penetration rate is 15% in the least developed countries of South Asia and Sub-¬Saharan Africa. Further, technological innovation drives the development of Information & Communication Technology (ICT) infrastructure.
Decrease in the Cost of Sensors & Controllers
The increase in internet penetration, infrastructural development, growth in demand for automation and analytics are the factors that reduce the cost of powerful sensors and controllers used in the transportation sector. Furthermore, various tools and software provided by the key market players is used to optimize devices that helps reduce costs and manages the connectivity of devices effectively.
Government Expenditure for Smart Cities and Smart Transportation Systems in Several Developed and Developing Regions
IoT in transportation is an ongoing trend in business intelligence and analytics, owing to the growing acceptance of this acceptance and increasing utilization rate across the globe. However, high costs associated with the implementation of this system across enterprises hamper the market growth. The government of several developed & developing countries has invested and supported IoT usage in the several developed and the developing regions especially Asia-Pacific, North America, and Europe.
- In-depth analyses of the global IoT in transportation industry and dynamics are provided to understand the market scenario.
- Quantitative analyses of the current trends and future estimations from 2017 to 2023 are provided to assist the strategists and stakeholders to capitalize on the prevailing opportunities in the global market.
- Porter’s five forces analysis examines the competitive structure of the market and explains about the factors that influence the market entry and expansion.
- A detailed analysis of geography enables the identification of profitable segments for market players.
- Comprehensive analyses of the trends, sub segments, and key revenue pockets are provided in the report.
- Detailed analyses of the key players operating in the global industry and their business strategies are anticipated to assist stakeholders to take informed business decisions.
IoT in Transportation Market Key Segments:
By Mode Of Transport
- Traffic Congestion Control Systems
- Automotive Telematics
- Reservation, Toll, & Ticketing Systems
- Security & Surveillance Systems
- Remote Monitoring
- North America
- Rest of Europe
- Rest of Asia-Pacific
- Latin America
- Middle East
The Key Players Profiled in the Report are:
- AT&T Inc.
- Garmin International Inc.
- IBM Corp.
- Denso Corp.
- Thales Group
- General Electric
- Verizon Communications Inc.
- Cisco Systems, Inc.
- TomTom N.V.