IoT in Intelligent Transport System Market

IoT in Transport Intelligent System Market Outlook (2024 to 2034)

Worldwide revenue from the demand for IoT in transport intelligent systems is estimated to stand at US$ 158.32 billion in 2024 and is approximated to increase at a CAGR of 9.1% to reach US$ 377.19 billion by 2034.

A technology network designed to increase the sustainability, security, and effectiveness of transportation networks is known as an intelligent transportation system (ITS). To regulate traffic flow, lessen congestion, enhance mobility, and boost road safety, Intelligent Transportation Systems (ITS) make use of information, communication, sensor, and control technology.

Dynamic message signs, electronic toll collection, vehicle-to-infrastructure (V2I) communication, traffic monitoring cameras, and advanced traffic signal controllers are some of the parts that make up this system.

By gathering and evaluating real-time data, ITS enhances the entire transportation infrastructure and ensures more intelligent decisions about traffic management. ITS's ultimate objective is to improve the accessibility, dependability, and environmental friendliness of urban transportation systems, which is ultimately contributing to the overall expansion of the IoT in transport intelligent system market growth.

As stated in the intelligent transportation system industry outlook, the market is driven by several significant reasons. The adoption of ITS systems is primarily motivated by the increasing need to enhance road safety and manage the increasing traffic congestion.

More governments and transportation agencies throughout the world are investing in ITS to improve traffic flow efficiency and reduce accident rates. In addition, advancements in communication and sensor technologies, including IoT and AI, enable more intricate and networked transportation systems.

The focus on eco-friendly modes of transportation and the expansion of smart cities are some other pivotal factors driving the need for ITS applications. Encouraging government policies and funding initiatives for smart transportation infrastructure are also contributing to the growth of the industry.

Report Attribute	Detail
IoT in Transport Intelligent System Market Size (2024E)	US$ 158.32 Billion
Forecasted Market Value (2034F)	US$ 377.19 Billion
Global Market Growth Rate (2024 to 2034)	9.1% CAGR
East Asia Market Value (2034F)	US$ 129.75 Billion
North America Market Share (2034F)	27.8%
Railways Segment Value (2034F)	US$ 62.24 Billion
United States Market Value (2034F)	US$ 76.86 Billion
Key Companies Profiled	NEC Corporation; Amazon Web Services; SAP SE; BICS SA/NV; Rockwell Automation, Inc.; Bosch Software Innovations GmbH; PTC Inc.; Cisco Systems Inc.; Oracle Corporation; Honeywell International; Octonion SA; Intel Corporation; Novire Technologies; IBM Corporation; Kaa IoT Technologies, LLC

What Factors are Helping Manufacturers to Escalate Their Profits in the Market?

“Extensive Application in Traffic Control Making IoT Technologies More Popular”

According to projections made through IoT in transport intelligent system industry analysis, the need for services helping in traffic management will increase in the future years. IoT-connected devices will boost transportation safety, and industry leaders are actively investing in diversifying their product lines with state-of-the-art IoT-driven technology.

The growing focus on research and development to improve IoT-integrated software and reduce operating costs are the primary factors propelling the market. The railway network is growing significantly because of the surging demand for metropolitan connections worldwide, which is good news for the industry. IoT is widely utilized in the railroad industry for preventative maintenance, optimizing capacity, and managing schedules.

Therefore, the sector reduces delays while increasing operational effectiveness and safety. High product usage in highway cars is also positively influencing market growth because of the growing need for connected mobility solutions that reduce commute times.

It boosts efficiency by optimizing performance while using the minimal resources possible. By incorporating IoT into freight planning, this difficult objective is accomplished. One tactic for reducing logistics and transportation resource usage is to increase multimodal visibility, which is leading to rising IoT in transport intelligent system market size.

“Robotics and Digitalization Trends Improving Sales of IoT-integrated Systems”

The logistics sector is rapidly digitizing with the use of robotics, self-driving technology, and data analytics to address labor shortages and boost operational effectiveness. The use of robots in data analytics, supply chain management, warehousing, and machine learning is not only solving the labor shortage but also boosting technological efficiency. These initiatives for digital transformation are altering the environment of logistics operations.

The industry is changing with the use of AI technologies in streamlining processes and doing away with manual labor. They demonstrate reliability by promising on-time order fulfillment. Together with Internet of Things services, the most recent 5G wireless network technology provides secure infrastructure and quick data transfer. Over the next ten years, this will hasten the expansion of IoT in the logistics transportation sector.

“Increasing Usage of e-Commerce Stimulating Sales through Online Distribution Platforms”

The e-Commerce business is seeing a boom in smart logistics and supply chain operations due to the Internet of Things and the widespread use of disposable smart sensors. The worldwide e-Commerce sector, which currently accounts for 18 to 20% of all retail sales, is expanding significantly. Consumer demands for prompt, free shipping and reasonable costs are driving the growth of the sector.

Several businesses are incorporating IoT services into their logistics operations to manage erratic shipments and unexpected orders in response to changing consumer behavior in the e-Commerce sector. IoT solutions have become better known with the expansion of e-Commerce and the demand for quick product delivery. This increase in demand is fueled by investments in the logistics sector's digitalization, technological advancements, and contactless delivery techniques.

What is Minimizing the Profits of IoT System Producers Worldwide?

“Expensive Infrastructure Making Market Condition Little Stagnant”

Installing cutting-edge ITS tools is somewhat expensive. Potentially high growth economies are not able to pay this, which limits growth and diminishes opportunities for the expansion of the global market size. The successful future of intelligent transportation systems is impacted by the rising need for qualified operators and technicians, which is one of the key obstacles in market expansion.

Country-wise Insights

Since digitalization is a constant trend, several governments around the world are focusing heavily on improving their infrastructure. This is making the IoT system manufacturers even richer.

Some of the leading countries having a noteworthy contribution to this market include the United States, South Korea, Canada, Japan, China, and others. Among these, the United States market is evaluated to hold 73.3% of the IoT in transport intelligent system market share in the North American region by 2034.

Why is the United States a Promising Market Place for Companies?

“Increasing Use of Advanced Supply Chain and Logistics Making Market More Fertile”

Attribute	United States
Market Value (2024E)	US$ 29.45 Billion
Growth Rate (2024 to 2034)	10.1% CAGR
Projected Value (2034F)	US$ 76.86 Billion

The market growth has been accelerated by the digital revolution in the United States, which has been crucial for managing transportation infrastructure. It is anticipated that more supply chain companies, more IoT solutions, and growing internet usage will drive IoT investment in the country.

To improve supply chain transparency, several companies in the logistics and supply chain industries are utilizing cloud-based technologies, such as Oracle Blockchain Applications Cloud and Internet of Things devices. The use of cloud-based software has increased dramatically because of big American companies' cost-consciousness.

What is the Sales Outlook for IoT Components in China?

“Skilled Workers Ensuring Easier Manufacturing and Exporting of Electronic IoT Components”

Attribute	China
Market Value (2024E)	US$ 34.94 Billion
Growth Rate (2024 to 2034)	10% CAGR
Projected Value (2034F)	US$ 90.96 Billion

A mix of technological know-how and sophisticated production capabilities is helping the country's electronics manufacturing industry, especially in IoT components. From sensors and processors to connection modules, several manufacturers are producing more complex IoT components by utilizing their highly trained labor pool. This knowledge is increasing export possibilities by producing goods of a better caliber that satisfy global standards.
Given the robust increasing trends in both local and foreign demand, the sales picture seems incredibly positive. China's strategic focus on digital transformation and Industry 4.0 projects are driving significant developments, according to the IoT in transport intelligent system industry analysis.

Category-wise Analysis

Several components are used by electronic manufacturers to make IoT devices, as mentioned in the IoT in transport intelligent system industry outlook. Some of the major applications of IoTs include roadways, railways, and maritime.

Which Component is Showing a Good Profit for IoT Manufacturers Worldwide?

“Hardware IoT Components Demanded More Compared to Software Ones”

Attribute	Hardware
Segment Value (2024E)	US$ 52.4 Billion
Growth Rate (2024 to 2034)	8.1% CAGR
Projected Value (2034F)	US$ 113.53 Billion

The growing integration of IoT devices across industries, from linked cars to smart factories, is responsible for hardware domination. Advanced sensors and communication modules, which are the foundation of IoT infrastructure, are in particularly high demand.

Hardware components are preferred because of their essential role in the development of the Internet of Things and the ongoing requirement to expand the physical infrastructure. Hardware components need regular upgrades and replacements to ensure consistent demand, even though software solutions are crucial.

What Application Makes a Higher Usage of IoT Intelligent Systems?

“Maritime Companies Using IoT Equipment More Frequently”

Attribute	Maritime
Segment Value (2024E)	US$ 61.43 Billion
Growth Rate (2024 to 2034)	8.5% CAGR
Projected Value (2034F)	US$ 139.18 Billion

Traditional shipping and port operations are revolutionized by the marine industry, which has become a prominent adopter of IoT intelligent technologies. Significant efficiency gains are driven by shipping firms' growing use of IoT technologies for cargo management, maintenance monitoring, and vessel tracking.

Applications for maritime IoT include automated port operations and real-time vessel performance monitoring. While linked systems allow for predictive maintenance and route optimization, smart sensors monitor vital elements, such as fuel usage, engine efficiency, and weather.

IoT-enabled technologies for automated cargo handling, berth management, and container tracking are implemented by several ports. Because of this digital revolution, operating expenses have decreased, safety has increased, and logistical efficiency has increased.

Business Landscape

Key players in the IoT in transport intelligent system market are constantly improving their working and supply to stay ahead in the IoT in transport intelligent system market trend.

• To track vehicle fleets and manufacturing, as well as to expand healthcare to rural regions, Amdocs started working with telecom operators in January 2024 to investigate 5G and IoT application cases in logistics, healthcare, connected cars, and gadgets.
• An Egyptian digital logistics company, Khazenly raised US$ 2.5 million in startup money in July 2022 to expand internationally and develop new products under the combined administration of Shorooq Partners and Arzan Venture Capital.

Fact.MR provides detailed information about the price points of key producers of IoT in transport intelligent systems positioned across the world, sales growth, production capacity, and speculative technological expansion, in this new market report.

Segmentation of IoT in Transport Intelligent System Market Research

• By Component :

  • Hardware
  • Software
  • Services

• By End-Use Vertical :

  • Roadways
  • Railways
  • Airways
  • Maritime

• By Region :

  • North America
  • Western Europe
  • Eastern Europe
  • Latin America
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa