The global intelligent traffic management system market size was valued at US$ 10.4 billion in 2022, and anticipated to grow at a CAGR of 14.2% over the forecast period. A smart traffic management system promotes mobility, road safety, and traffic flow. The rise of smart cities is one of the main factors influencing demand for intelligent traffic management systems. Transportation officials are able to respond to emergencies more quickly due to improved traffic efficiency. In addition, increasing the usage of public transit can help create smart cities by reducing airborne pollutants and carbon dioxide emissions. Additionally, these traffic control solutions offer real-time data for analysis and prompt emergency response. During the projected period, these benefits provided by ITMS would further support market expansion.
The number of vehicles on the road has increased due to the expanding urban population and the quick industrialisation, which has led to severe traffic congestion. As a result, the market for intelligent traffic management systems is anticipated to increase significantly due to safety concerns for urban planners and excessive CO2 emissions. Road congestion in Europe costs about 1% of the region's Gross Domestic Product, according to the European Joint Research Centre (JRC). Mitigation has been given top attention by the vast majority of regional organisations responsible for designing and maintaining urban infrastructure. Furthermore, the intelligent traffic management system (ITMS) enables smart mobility solutions, which can be useful for identifying solutions to all of these issues and expanding the ITMS sector.
During the course of the anticipated period, advancements in VR and AL are expected to support market expansion. The advancement of artificial intelligence and virtual reality has the potential to enhance global transportation networks. For motorised transportation, these technologies include the creation of visualisation and a head-up display. Both drivers and other users of the transportation system benefit from these. Al has the power to alter the way the system is modelled.
Providers of traffic control solutions are using Al. For instance, Lilin, a Taiwanese maker of IP video-based systems, presented the Aida ALPR series, an Al-based traffic management system, together with a variety of surveillance cameras and other cutting-edge municipal gear, in March 2020. This integrated system provides accurate object detection for plate recognition, parking space detection, vehicle speed detection, truck, motorcycle, and pedestrian offences.
During the projection period, the market expansion is probably being constrained by the slow development of the infrastructural infrastructure. In order to process information in real time, the intelligent traffic management system needs a fast data speed. Because of this, infrastructure for the development of new technologies is not progressing at the appropriate rate. Furthermore, another significant aspect that is anticipated to impede market expansion in the next years is the high cost of goods and their deployment. The development of intelligent traffic management systems requires a significant investment due to the high cost of the equipment, which is expected to have a negative effect on the global market.
Solution Insights
By solution, the market is bifurcated into traffic monitoring system, traffic signal control system, traffic enforcement camera, integrated corridor management, intelligent driver information system, and others. The traffic monitoring system segment is accounted for the largest revenue share in 2021. The development of smart city projects, the expansion of adaptive traffic controls, and supportive government initiatives to build out traffic infrastructures are the main driving forces behind the expansion of the global market for intelligent traffic management systems. For instance, the ambitious smart cities programme of the Indian government aims for the construction of 599 roadway projects across the nation during a five-year period.
Regional Insights
Due to significant investments in R&D, adoption of intelligent traffic management systems, and implementation, North America dominated the worldwide intelligent traffic management system market in 2022 and is predicted to continue to do so during the forecast period. Technology developments and efforts to reduce traffic congestion in order to increase efficiency through real-time insights are preparing the area for a revolution in traffic management.
With the rapid technological advancements and network expansion in the region of Asia Pacific, the market is likely to have considerable growth throughout the forecast period. By 2050, Asia's population is anticipated to total 5.26 billion, with over 64% of that number living in cities, according to the UN's 2017 World Population Prospects. As a result, it is anticipated that in nations like China, India, and South Korea, demand for intelligent traffic management systems will rise rapidly. Also, the initiatives launched by these regions governments are probably going to boost market expansion and demand.
Key Companies Insights
Some of the major companies studied under the market scope are as follows: Cubic Corporation, SNC-Lavalin Group (Atkins), Thales Group, Kapsch TrafficCom, International Business Machines Corporation, General Electric Company, TransCore, Siemens AG, TomTom International BV, Q-Free ASA, and Others. Due to the presence of numerous players on a global and regional level, prominent players operating in the market face strong rivalry. Furthermore, to gain competitive advantage the players in the ecosystem use a variety of strategies including mergers and acquisitions, geographic expansion, launch of new products, research & development for expanding their product portfolio, and others.
In 2021, the WizSense/WizMind series, which focuses on the transmission of AI value, HDCVI 6.0 Plus, which offers continued advancement in over-coax technology, and Full-color 2.0, which offers excellent performance in extremely low light conditions were all introduced by Dahua Technology, a leading provider of video-centric smart IoT solutions and services.
Segments
By Solution
• Traffic Monitoring System
• Traffic Signal Control System
• Traffic Enforcement Camera
• Integrated Corridor Management
• Intelligent Driver Information System
• Others
By Application
• Highway
• Managed Lanes
• Others
By Geography
• North America
o U.S.
o Canada
o Mexico
• Europe
o U.K.
o Germany
o France
o Italy
o Spain
o Russia
• Asia-Pacific
o Japan
o China
o India
o Australia
o South Korea
o ASEAN
• Latin America
o Brazil
o Argentina
o Colombia
• MEA
o South Africa
o Saudi Arabia
o UAE
o Egypt