Global Transportation Systems and Analytics Market to Reach $113.4 Billion by 2026

With governments worldwide forced to improve their innovative capabilities to resolve the grand challenges of the world in terms of transportation, energy and water resources, advanced transportation systems with its ability to better balance scarce energy resources, individual and public transportation needs and reduce pollutant emissions, is poised to benefit. Rising impetus for enhancing road safety and escalating socio-environmental and economic implications of traffic congestions worldwide are the key driving factors for investments in advanced transportation systems and analytics. Banking on the ever-growing fundamental vitality of the said implications, these are likely to remain strong growth propellants for the sector in the upcoming years. Sustainable transportation systems are the future of modern cities and the focus on efficient and environmentally friendly mobility will only gather additional focus in the upcoming years since quality of life of modern citizens depends on it. Transportation analytics systems are designed to extract data pertaining to transportation and offer actionable insights. Built on powerful analysis and reporting tools, these systems measure performance related to transport logistics. Analytics systems automatically receive data from multiple sources, which is processed for generating exhaustive reports that offer meaningful insights to help organizations in reducing traffic congestion, optimizing the public transport system and improving efficiency. The market encompasses a broad range of transport management solutions including ticketing, fleet and parking management systems to assist companies in managing logistics and transportation functions.

Amid the COVID-19 crisis, the global market for Transportation Systems and Analytics estimated at US$57.4 Billion in the year 2020, is projected to reach a revised size of US$113.4 Billion by 2026, growing at a CAGR of 12.1% over the analysis period. Analytics Solutions, one of the segments analyzed in the report, is projected to grow at a 12.9% CAGR to reach US$60.7 Billion by the end of the analysis period. After a thorough analysis of the business implications of the pandemic and its induced economic crisis, growth in the Management Solutions segment is readjusted to a revised 11.1% CAGR for the next 7-year period. This segment currently accounts for a 34.7% share of the global Transportation Systems and Analytics market.

The U.S. Market is Estimated at $17.5 Billion in 2021, While China is Forecast to Reach $20.9 Billion by 2026

The Transportation Systems and Analytics market in the U.S. is estimated at US$17.5 Billion in the year 2021. The country currently accounts for a 28.48% share in the global market. China, the world second largest economy, is forecast to reach an estimated market size of US$20.9 Billion in the year 2026 trailing a CAGR of 14.4% through the analysis period. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 10.2% and 11% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 11.1% CAGR while Rest of European market (as defined in the study) will reach US$24 Billion by the close of the analysis period.

In the coming years, more advanced deployments are expected in small towns and rural areas. More accessible and affordable transport system solutions are expected to prove beneficial for all types and sizes of cities. Factors such as smart cities, metros and high-speed railways make a significant contribution to adoption of smart solutions. Ongoing efforts by various countries to promote smart cities and implement sophisticated commuting systems are expected to augment the demand for advanced transportation systems. The market growth is also ignited by increasing investment in smart connectivity platforms, rapid urbanization and integration of sophisticated technologies into existing transportation analytics solutions. Increasing transition of people to urban areas coupled with rising population is likely to drive the demand for transportation systems and analytics for dealing with traffic issues. Traffic congestion leads to environmental concerns, increases fuel consumption, pushes travel time and reduces the effectiveness of transportation management.

Advanced Transportation Control Systems Segment to Reach $22.5 Billion by 2026

In the global Advanced Transportation Control Systems segment, USA, Canada, Japan, China and Europe will drive the 11.6% CAGR estimated for this segment. These regional markets accounting for a combined market size of US$8.6 Billion in the year 2020 will reach a projected size of US$18.6 Billion by the close of the analysis period. China will remain among the fastest growing in this cluster of regional markets. Led by countries such as Australia, India, and South Korea, the market in Asia-Pacific is forecast to reach US$2.8 Billion by the year 2026.