The Middle East and Africa's intelligent transportation system markets are projected to witness a CAGR of 11.96% during the forecast period.
Intelligent Transport Systems (ITS) are the control and information systems that use integrated communications and data processing technologies for improving the mobility of people and goods; increasing safety, reducing traffic congestion and managing incidents effectively; meeting transport policy goals and objectives – such as demand management or public transport priority measures. The development of ITS is still evolving. The extent to which these technologies are used – and the degree of sophistication in their deployment – varies from one country to another. The overall function of ITS is to improve the operation of the entire transport system (often in real-time) for transport network controllers, travelers, shippers, and other users.
More specifically, ITS includes a variety of tools, such as sensing, communications, and computing technologies – which can be applied in an integrated way to the transport system to improve its efficiency, safety, sustainability, and the resilience of network operations in the events of serious disruption.
Real time-traffic updates to passengers and drivers are one of the key growth factors of this market. The sprawling urbanization and increasing motor vehicles in the Middle-Eastern and African countries demand a smart transportation system that will ease conveyance. Upsurge in carbon footprints, fuel loss, and road fatalities also need to be addressed. With both ecological and economic adverse effects on traffic, intelligent transport system market based on advanced telecommunication and information technology is an imperative asset for the transportation sector.
Middle East and Africa intelligent transportation system Market, US$ Billion, 2019 to 2026
Source: Knowledge Sourcing Intelligence Analysis
Geographically, Middle-Eastern countries like Saudi Arabia, and the United Arab Emirates, and South Africa are modernizing mobility with extensive projects and huge investments. The reason behind this rapid urbanization with increasing population. By type, Advanced Traffic Management System (ATMS) has the largest market share, as most countries in the region are endowed with increasing vehicular traffic. Advanced Public Transportation System (APTS) is also gaining market share as the governments emphasize the public transport usage which will help reduce congestion and pollution.
Middle East and Africa intelligent transportation system Marketshare, by geography
Source: Knowledge Sourcing Intelligence Analysis
Road systems in the major cities of the Middle East and Africa are heavily plied by and overloaded; impacting economic growth raising a challenge for the policymakers. The region needs alternative financing to fund the construction of new roads and the maintenance and operation of existing networks. There is also a recognized need to encourage more people to use public transport. ITS technology can help the region tackle these challenges. There has already been an introduction of ITS in some regions and the initiatives are gaining momentum over time.
As the number of vehicles increases over time, there has been an urgent need to improve the road safety measure. Approximately, 1.3 million people die each year as a result of road traffic crashes. 93% of the world's fatalities on the roads occur in low- and middle-income countries, even though these countries have approximately 60% of the world's vehicles, according to a WHO report of 2021. The United Nations General Assembly has set an ambitious target of halving the global number of deaths and injuries from road traffic crashes by 2030. An ITS can help to reduce the total number of deaths from road accidents by smartly assisting the drivers through GPS, radiofrequency, radars, and other modes of communication systems.
The rapid adoption of the Internet of Things (IoT), Artificial Intelligence (AI), big data, and block-chain along with their significant penetration in the automotive sector is another major factor that drives the growth of the ITS market. These solutions facilitate the rapid exchange of information and data between service providers and consumers. Moreover, accurate data and real-time visibility over shipment coupled with a higher level of customer satisfaction and increasing efficiency.
An ITS system includes CCTV cameras, Microwave Detectors, Dynamic Message Signs (DMS), Advanced Traveler Information Systems (ATISs), and Highway Advisory Radio (HAR), Mobile Data Terminals (MDTs) All these hardware and software devices incur a huge upfront cost leading to high investments. This acts as a restricting factor in the adoption of ITS Systems.
The outbreak of Covid-19 in early 2020 has disrupted transportation systems and their allied industries. Regulations and policies directed by the government to control the spread of the virus have interrupted the supply chain. There has been slack in the implementation of the ITS during this period because of restrictions in the mobility of capital and labor.
However, a well-equipped ITS can help control the situation. An ITS will reduce human contact, track and monitor the vehicular flow. Such transportation technologies can offer a better service without any need for connections and better protection from viruses. These newfound avenues will help expand the market, despite the negative impacts of Covid-19.
The market leaders for the Middle East and Africa Intelligent Transportation System Market are 3M, Transcore, Denso, Thales Group, Siemens AG, Kapsch TrafficCom, EFKON GmbH, and Hitachi. The key players in the market implement growth strategies such as product launches, mergers, and acquisitions, etc. to gain a competitive advantage over their competitors. For Instance,
|Growth Rate||CAGR of 11.96% during the forecast period|
|Forecast Unit (Value)||USD Billion|
|Segments covered||Type, Application, And Country|
|Regions covered||U.A.E., Saudi Arabia, Israel, South Africa, Others|
|Companies covered||3M, Transcore, Denso, Thales Group, Siemens AG, Kapsch TrafficCom, EFKON GmbH, Hitachi|
|Customization scope||Free report customization with purchase|
1.1. Market Definition
1.2. Market Segmentation
2. RESEARCH METHODOLOGY
3. 2.1. Research Data
4. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Powers of Buyers
4.3.3. Threat of Substitutes
4.3.4. The Threat of New Entrants
4.4.5. Competitive Rivalry in Industry
4.4. Industry Value Chain Analysis
5. MIDDLE EAST AND AFRICA INTELLIGENT TRANSPORTATION MARKET MARKET BY TYPE
5.1. ATMS (Advanced Traffic Management System)
5.2. ATIS (Advanced Traffic Information System)
5.3. APTS (Advanced Public Transportation System)
5.4. ATPS (Advanced Transportation Pricing System)
5.5. Commercial Vehicle Operation
6. MIDDLE EAST AND AFRICA INTELLIGENT TRANSPORTATION MARKET MARKET BY APPLICATION
6.1. Collision Avoidance System
6.2. Traffic Monitoring
6.3. Parking Availability
6.4. Traffic Signal Control System
6.5. Fleet Management & Asset Monitoring
7. MIDDLE EAST AND AFRICA INTELLIGENT TRANSPORTATION MARKET MARKET BY COUNTRY
7.2. Saudi Arabia
7.4. South Africa
8. COMPETITIVE INTELLIGENCE
8.1. Major Players and Strategy Analysis
8.2. Emerging Players and Market Lucrative
8.3. Mergers, Acquisitions, Agreements, and Collaboration
8.4. Vendors Competitiveness Matrix
9. COMPANY PROFILES
9.4. Thales Group
9.5. Siemens AG
9.6. Kapsch TrafficCom
9.7. EFKON GmbH
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