ID: MRFR/AM/9272-HCR | 449 Pages | Published By Sejal Akre on March 2023
Intelligent Traffic Management System Market is expected to be valued at USD 20.18 Billion with a CAGR of 5% Forecast by 2028
According to MRFR analysis, the global intelligent traffic management system market is expected to reach around 18.7 billion in 2028.
An intelligent traffic management system is an advanced application that aims to provide innovative services related to traffic management and different modes of transport. It enables users to be better informed, efficient, more coordinated, and make smarter use of transport networks. It improves the mobility of goods and people, reduces traffic congestion, and increases safety. It also meets the transport policy objectives, such as public transport priority measures. In this system, communication and information technologies are functional in the fields of road infrastructure, users, road transport, vehicles, and traffic management. This system plays an important role in delivering an efficient and effective means of mass evacuation of people in situations such as fires, natural disasters, terrorist attacks, and riots.
The demand for Intelligent Traffic Management System is increasing mainly due to favorable government initiatives for effective traffic management, increased need to reduce traffic congestion, rapid development of smart cities globally. Governments across the globe are likely to focus on developing infrastructure that accompanies transportation networks for smart cities and the hard-earned money of commuters globally. Several governments are adopting intelligent traffic management systems to enhance road safety and operational performance of the transport system and reduce the impact of transportation on the environment. Municipalities are mainly looking for new ways to minimize on-road traffic congestion by implementing an intelligent traffic management system. To implement an intelligent traffic management system, significant funds are required. Countries such as Japan, Dubai, and the United States are heavily investing in different projects involving ITMS. For instance, in 2020, the UK government invested 1.9 million USD (£1.5 million) in three projects to trial innovative technologies and new ways to improve driving conditions, cut traffic congestion, and reduce time spent in traffic jams. These systems minimize air pollution, congestion, and delays.
Furthermore, the intelligent traffic management system (ITMS) contributes to a wide variety of smart city applications, including Smart Traffic Signal Control (STSC), eco-driving, broadcasting messages, prioritizing public transport at traffic signals, and confirming the safe passage of emergency vehicles by Emergency Vehicle Signal Preemption (EVSP) at traffic signals. In addition, the high installation cost and a lack of skilled professionals hinder the growth of the global intelligence traffic management system market over the forecast period.
Covid Impact Analysis
With the continuous spread of the novel coronavirus across the world, automakers are taking extreme measures in the form of plant closures to halt the spread of COVID-19. The situation remains uncertain as more European companies suspend work activities, and the US and APAC automakers extend shutdown periods. The automakers' plans on North American production are an effort to slow the spread of the COVID-19 virus; however, currently the region is the global epicentre of the outbreak, with the daily number of confirmed cases outstripping the number in any other region. In the US and Canada, the response of government has been a combination of state or provincial, federal, and local measures. A decline in global automotive production due to closure of factory operations knowingly impacted the market demand for intelligent traffic management systems. Instantaneously, unwavering efforts by major automotive companies to develop more advanced forms of transport kept demand afloat.
The outbreak of the pandemic COVID-19 has severely affected the market in terms of new sales and installations, although, the existing Intelligent Traffic Management System (ITMS) installations across the world are being used efficiently. Various major system manufacturers have suspended their operations temporarily due to disruptions in the supply of components. A decline in global automotive production due to closure of factory operations knowingly impacted the market demand for intelligent traffic management systems. Instantaneously, unwavering efforts by major automotive companies to develop more advanced forms of transport kept demand afloat. Companies, buyers, and suppliers are equally affected by the outbreak of the COVID-19 pandemic and the global intelligence traffic management system market is expected to continue facing the challenges in 2021 as well. The production schedules are particularly at risk owing to supply chain disruptions, thereby restraining the growth of the market and posing threats to the incumbents of the market.
Reduce the accident rate in Tire 1 cities across the globe
Prominent players of the intelligent traffic management system market include Siemens AG, Quarterhill Inc., Thales Group, Q-Free ASA, and Baumer Holding AG. This is mainly due to the large production bases, global presence, and large distribution network and consumers globally. These players are engaged in the expansion of its production facilities of Intelligent Traffic Management System. For instance, in January 2021 Q-Free ASA launched Kinetic Signals to manage traffic signals centrally. Kinetic Signals features a comprehensive intersection editor, interactive reporting, built-in ATSPMs, and a detail-rich database management system to competently control and monitor traffic signals in real-time across cities.