According to a recent report published by Allied Market Research, titled, "Smart Highway Market by Component, Deployment Mode and Technology: Global Opportunity Analysis and Industry Forecast, 2019–2026," the global smart highway market size was valued at $23.67 billion in 2018, and is projected to reach $92.38 billion by 2026, growing at a CAGR of 18.7% from 2019 to 2026.
Smart Highways are installed to integrate technologies such as developing solar energy with photovoltaic pavements, refining the operation of transport vehicles, and for monitoring the condition of the highway and roads. In addition, smart roads generally consist of different computing technologies, such as sensors and smart monitoring systems, which are all linked into a monitoring unit. Furthermore, the need for better and sustainable highways form across the globe and demand for safer roads drive the growth of the market. In addition, various government initiatives taken for reducing the rise in pollution and increase in congestions on the roads fuel the growth of the market. However, unwilling to adopt new ways of transport hampers the growth of the market. Furthermore, surge in advance technologies in the transportation sector and emergence of smart vehicles are expected to provide lucrative opportunities for the growth of the global market.
By technology, the global smart highway market was led by the intelligent transportation management system segment in 2018 and is projected to maintain its dominance during the forecast period. The major factors that drive the adoption of intelligent transportation management system in smart highway market include rise in adoption of smart transport system to reduce the traffic congestion problems and various government initiatives for smart transport infrastructure. However, the monitoring system segment is expected to grow at a highest rate during the forecast period, owing to surge in adoption of various monitoring system for tracking the speed of the vehicle and to increase the safety of the road.
Region wise, the smart highway market was dominated by North America in 2018 and is expected to retain its position during the forecast period. The major factors that drive the growth of the market in this region include growing demand for smart road from several developed countries and increase in government funding for development of smart roads. However, Asia-Pacific is expected to witness the highest growth rate during the forecast period due to technological advancement and different government initiatives for smart highway projects.
Key Findings of the Study:
- On the basis of component, the hardware segment led the smart highway market in terms of revenue in 2018.
- By deployment model, the on-premise segment accounted for the highest smart highway market share in 2018.
- Region wise, North America generated the highest revenue in 2018.
- Depending on the technology, the intelligent transportation management system segment is anticipated to exhibit substantial growth during the forecast period.
The key players profiled in the smart highway market analysis are ABB Ltd, ALE International, AT&T Inc., Cisco System Inc., IBM Corporation, Huawei Technologies Co. Ltd., LG CSN, Honeywell International Inc., Schneider Electric SE and Siemens AG. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry.