Growing number of vehicles and increasing population has led to the need for effective traffic management. An Intelligent Transportation System (ITS) integrates the transportation network with ICT (Information and Communications Technology) to improve performance, enable multimodal transport and help alleviate road accidents and optimize fuel consumption.
The global intelligent transportation systems market was estimated to be valued at USD 14.59 billion in 2012 which is expected to reach USD 38.68 billion by 2020, growing at a CAGR of 13.0% from 2014 to 2020.
The car – and other modes of transport – are just at the beginning of their digitalisation. It is not just about to make transport safer and more efficient, but the prospects of having a bright future in selling software, hardware, and services, which attract the various companies into the market. Classic automotive players such as OEMs and suppliers will have to face serious competition from the non-automotive tech companies such as Apple, Google, Alibaba, Huawei, etc. in the future.