by The global IoT in transportation market enables connectivity for transportation infrastructure and vehicles through integration of advanced technologies. Devices such as sensors, actuators, and embedded systems facilitate connected transportation systems for monitoring assets, streamlining fleet management, predictive maintenance, and improving driver and passenger experience. Growing demand for smart mobility, fuel efficiency and reduced emissions are driving adoption of IoT solutions in transportation.
The Global IoT in Transportation Market is estimated to be valued at US$ 758.45 Bn in 2024 and is expected to exhibit a CAGR of 14.% over the forecast period between 2024 to 2031.
Key Takeaways
Key players operating in the IoT in Transportation are Amazon Web Services (AWS), ARM Holdings, Dell, Ericsson, Google, Huawei, IBM Corporation, Intel Corporation, Microsoft, Oracle, Qualcomm, RTI, SAP, Siemens, Telefonica. AWS IoT offerings enable connected vehicle systems through cloud services for data analytics, fleet management and smart infrastructure. ARM develops semiconductor IP for integrated solutions in areas including telematics control units.
Growing demand for fleet management, predictive maintenance and traffic management are fueling adoption of IoT across segments like automotive, roadways and railways. Intelligent systems help streamline logistics, reduce downtime and improve transportation efficiency.
Increasing focus on smart cities and global connectivity initiatives are further driving the global expansion of IoT in Transportation Market Demand. 5G rolled outs will accelerate deployment of advanced IoT systems across borders, enabling applications like remote vehicle diagnostics, autonomous driving and smart ticketing.
Market Key Trends
Edge computing is gaining prominence to support low latency applications for autonomous vehicles and traffic infrastructure. Deploying edge gateways equipped with SIM cards allows processing data locally for applications that require real-time analysis like collision avoidance. This overcomes bandwidth limitations of transmitting large volumes of data to the cloud. Edge IoT is helping transportation systems become more self-sufficient with distributed intelligence.
Porter’s Analysis
Threat of new entrants: Transportation equipment providers have significant technology and IP barriers to entry. Bargaining power of buyers: Transportation providers have some bargaining power but need IoT technologies and standards to improve fleets and operations. Bargaining power of suppliers: Leading technology providers like ARM, Intel, and Qualcomm set IoT hardware and software standards. Threat of new substitutes: No viable substitutes exist currently for connecting operational technology to digital infrastructure and analytics. Competitive rivalry: Fierce competition exists among technology giants and rising startups to enable next-generation connected transportation solutions.
Geographical Regions
North America accounts for the largest share of the IoT in transportation market currently due to wide adoption of fleet and freight management solutions across various logistics hubs.
The Asia Pacific region is expected to be the fastest growing market during the forecast period driven by government initiatives and investments in smart infrastructure projects across countries like China, India, and Japan to modernize urban transportation networks using IoT technologies.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Alice Mutum
Alice Mutum is a seasoned senior content editor at Coherent Market Insights, leveraging extensive expertise gained from her previous role as a content writer. With seven years in content development, Alice masterfully employs SEO best practices and cutting-edge digital marketing strategies to craft high-ranking, impactful content. As an editor, she meticulously ensures flawless grammar and punctuation, precise data accuracy, and perfect alignment with audience needs in every research report. Alice's dedication to excellence and her strategic approach to content make her an invaluable asset in the world of market insights. LinkedIn
