COVID-19 IMPACT SURVEY MAY 2020
The global market for Smart Highway is projected to reach US$62.6 billion by 2025, driven by growing interest in smart cities as the only sustainable way to accommodate 7+ billion people on earth and the ensuing increase in smart transportation and intelligent transportation systems (ITS). Smart highways are an integral part of smart transportation which encompasses car sharing; congestion management; emergency response; integrated traffic light management; public information systems; road user charging; smart parking; and traffic monitoring and management. The need for smart transportation is growing more urgent than ever with global cities plagued by increasing congestion on roads and rise in vehicular emissions. Governments worldwide are focusing on building infrastructure which is key to economic growth and societal evolution. The new budgetary focus on infrastructure comes at a time when infrastructure around the world is collapsing as a result of chronic underfunding of critical infrastructure. A key driver of optimism for bigger transportation development budgets in the coming years, is the infrastructure gap in global roadways to the tune of US$8 trillion for the cumulative period 2016-2040, which remains the highest as compared to US$2 trillion for rail, US$3 trillion for energy, US$1 trillion for water & US$2 trillion for telecom.
Against this backdrop, world`s highways will rapidly evolve and develop supported by committed government support and initiatives aimed at connecting cities and countries for better economic growth and gains. The importance attached to transportation infrastructure development can be put into perspective by the fact that over 25% to 30% of World Bank funding support to developing countries is purposed for transportation infrastructure projects, higher than health, education and social services. Benefits offered by smart highway which makes it a vital accompaniment for transportation infrastructure development include more efficient operation of highways; safer travel and reduced risk of accidents; reduced congestion, faster driving that lowers vehicular emissions; provision of smart services for travelers and transport fleets; more efficient traffic management; among others. Few of the enabling technologies for smart highways include wireless communication technologies; Internet of Things (IoT); artificial intelligence; telematics; and smart/connected cars. Growing number of smart cars especially is a trend that bodes well for smart highway technologies, primarily because situational awareness and context aware smart and connected cars are a primary requirement for intelligent transportation system.
Smart cars help exchange information with other vehicles, traffic-management centers, and private companies about traffic congestion, accidents, and weather conditions. Improved driver and road safety is the very important and primary goal of intelligent transportation systems and smart highways. In this regard, continuous information about the driver, driving conditions and road conditions needs to be exchanged between the driver, the vehicle, road infrastructure and the centralized traffic management system. A smart car integrated with sensors is capable of doing just this. The impact of connected cars will be felt in the three broad areas of In-Vehicle Communication, Vehicle-to-Vehicle Communication, and Vehicle-to-Infrastructure Communication. Connectivity, in this regard, will be deployed through Infotainment, Navigation and Telematics. The United States, Europe and Japan represent large markets worldwide with a combined share of 83.9% of the global market. The United States also ranks as the fastest growing market with a CAGR of 15.8% over the analysis period supported by the desperate need to rebuild America`s crumbling infrastructure, which will trip the country into an era of repair and modernization.