Published By : 25 Nov 2016 | Published By : QYRESEARCH
The global population in urban areas in swiftly growing and it is expected that above 70% of the people will live in metropolitan areas by the end of 2050. The growth in urban population as well as the growing number of vehicle owners are creating a demand for better transportation networks. Traffic congestion is being observed by both developed and developing nations. Thus, an intelligent transportation system (ITS) is the need of the hour.
Transport is the backbone of a country’s social and economic development and thus it is important that traffic signals and incidents that cause jams and high carbon emissions are eliminated. Congestion cost is a problem for any country as it increases the fuel consumption and also the travel time. Associations such as intelligent transportation system Canada and intelligent transportation system Turkey help in saving congestion and reduce greenhouse gas emissions. Road accidents are causing 2.2% of all the deaths globally. The growing need to improve road safety will also help drive the global intelligent transportation system market.
Negative Impact of Economic Slowdown on ITS Funding
The reduced funding for intelligent transportation system projects poses a significant challenge to the market. The low funding does not allow transportation agencies to deploy intelligent transportation system technologies. Another problem facing the global intelligent transportation system market is a lack of interoperability for electronic toll collection systems (ETC). The difference in toll collection concepts technologies used by highway toll collection operators becomes an issue. Wireless technologies used in ITS systems are developing constantly to improve the reliability and interoperability of transportation networks and this will create new opportunities of growth in the market.
One of the key trend observed among vehicle manufacturers in developed nations is the installment of advanced navigation and infotainment systems in the cars. The use of such technologies in vehicles is resulting in a high preference for technological advancements and this will contribute to the growth of the ITS market