The global smart mobility market is expected to grow at a CAGR of around 20.5% from 2020 to 2027 and expected to reach the market value of around US$ 70.5 Bn by 2027.
Smart mobility entails deploying new technology to move people and goods through our city in ways that are faster, safer, and cleaner, as well as more affordable and equitable. As the demand for urban mobility grows, so do the needs. Changing travel habits, the rise of collaborative mobility, the demand for services that increase convenience, speed, and predictability, as well as evolving customer expectations toward customization, will necessitate more intelligent infrastructure capable of meeting these extended mobility requirements. The equation is simple: there can be no Smart City without Smart Mobility, and there can be no Smart Mobility without Smart Infrastructure.
High involvement of government for smart cities leads to growth of global smart mobility market
Currently, 53% of the population lives in cities, and by 2050, this figure is expected to rise to 67%. According to the City of Austin's report, the Austin City Council and the Capital Metropolitan Transportation Authority's (Capital Metro) Board of Directors each requested that their organizations create a roadmap for achieving smart mobility technologies and services for the Austin region, with Resolutions 20170302-391 and AI-2017-463, respectively. Rather than focusing on the technologies themselves, each organization focuses on the outcomes that the technologies can provide to their constituents, such as safety, mobility, access, affordability, and equity. SEMI, on the other hand, hopes to connect the automotive and electronics supply chains where interests, challenges, and opportunities intersect through the Smart Mobility Initiative. Vehicle manufacturers, tier 1 and tier 2 suppliers, design firms, device manufacturers, and semiconductor and sensor manufacturing equipment and materials suppliers are among the companies represented. As SEMI Smart Mobility Initiative members, these companies aim to maximize business opportunities, share technological developments and roadmaps, and accelerate the introduction of new automotive electronics applications to the market.
Technological advancements propel the growth of global smart mobility market
Because of recent technological advancements such as remote sensing, advanced analytics, automated operations, crowd sourcing, and integrated scheduling and control, traditional "bricks and mortar" infrastructure can now be used more effectively, as well as operated and maintained more efficiently. The deployment of an integrated transportation ‘info-structure,' based on V2I (vehicle to infrastructure), I2V (infrastructure to vehicle), and V2V (vehicle to infrastructure) communications, but also on the availability of open and high-quality transportation data, will significantly improve transportation network performance and efficiency. Simultaneously, location-based and traffic-related services will enable robust built-in data privacy and security solutions. Furthermore, cities are beginning to collect and manage data from a wide range of sources, including connected dedicated short range communications (DSRC) infrastructure, bluetooth and smart phone data, and a slew of new sensors that can measure everything from air quality to road conditions. Expansion of DSRC or 5G technology could be the connective tissue that enables smart mobility by connecting shared/EV/AV vehicle data to infrastructure and the cloud.
Rising demand for shared used mobility bolster the growth of global smart mobility market
The term "shared-use" refers to a situation in which two or more Public transportation; taxis and limos; bike sharing; car sharing (round-trip, one-way, and personal vehicle sharing); ridesharing (car-pooling, van-pooling); ride-sourcing/ride-splitting; scooter sharing; shuttle services; neighborhood jitneys; and commercial delivery vehicles providing flexible goods movement are all examples of mobility. Promoting shared-use practices now will have immediate benefits in terms of taking drivers off the road and reducing congestion, greenhouse gas emissions, and household transportation costs, even without the benefit of electric and autonomous vehicles, providing a more immediate way to shape the future with affordable, accessible, and equitable multimodal options. It is critical to cultivate shared mobility practices now in order to begin the behavioral shift toward a shared, electric autonomous vehicle future.
The global smart mobility market is segmented based on element, solution, and technology. By element, the market is segmented as bike commuting, car sharing, and ride sharing. Based on solution, the market is segmented as traffic management, parking management, mobility management, and others. By technology, the market is segmented as 3G & 4G, Wi-Fi, GPS, RFID, embedded system, and others
According to the element, the ride sharing segment promotes the growth of the global smart mobility market. Rising demand for ride sharing will see significant growth as millions of Americans drive to work alone every day, often in tandem with neighbors who are driving to similar locations. Furthermore, increasing ride sharing for approximately US$ 30.3 can result in the greatest potential savings. These savings would come from a variety of sources, including $15.8 Bn in direct annual savings to new carpoolers due to reduced vehicle upkeep, $11.6 Bn in indirect savings from reduced congestion costs, and $1.8 Bn in reduced annual road infrastructure costs. Furthermore, traffic-related accidents could be reduced by 22,915 per year (savings of US$847 Mn per year), while carbon dioxide emissions could be reduced by 9.1 million metric tons per year (savings of US$338 Mn).
The mobility management segment accounts for the largest share of the global smart mobility market by solution. Mobility management measures are particularly effective when implemented concurrently with other sustainable transportation projects, such as the introduction of new public transportation services (e.g., new rolling stock, new ticketing pricing schemes), infrastructure, and the installation of new bicycle racks or the implementation of a new carpooling platform in the city.
Wifi technology dominates the global smart mobility market in terms of technology. Wi-Fi technologies are intended to provide exceptional signal coverage and high-speed transmission for devices used in indoor activities. Cellular service, such as 5G, on the other hand, is intended to provide continuous data connectivity for outdoor networks. Next-generation wireless communication techniques, in conjunction with the Internet of Things (IoT) and Artificial Intelligence (AI), will create a new paradigm that will allow novel application scenarios and services to be deployed in future intelligent transportation and smart cities by effectively sharing information among different entities in a fast, flexible, and reliable manner.
Europe anticipated to hold dominating market share for the smart mobility market, Asia Pacific fastest growing regional market
The smart mobility market is expected to be dominated by Europe. This is because an ever-increasing population necessitates high energy consumption. The integration of advanced technologies will open up lucrative opportunities for the growth of Europe's global smart mobility market.
Asia Pacific, on the other hand, is expected to have the fastest growing CAGR in the coming years due to a high reliance on private vehicles, which is due not only to robust household income growth but also to auto-oriented spatial arrangement and a rudimentary public transportation system. As a result, the country still has a lot of potential and room for improvement in terms of public transportation infrastructure, services, and management, particularly for local vulnerable and marginalized groups.
The prominent players of the global smart mobility involve Cisco Systems, Inc., Excelfore, The Ford Motor Company, Innoviz Technologies Ltd, Maas Global Ltd, QUALIX INFORMATION SYSTEM, Robert Bosch GmbH, and among others
Market By Element
Market By Solution
Market By Technology
3G & 4G
Smart mobility market is expected to reach a market value of around US$ 70.5 Bn by 2027.
The smart mobility market is expected to grow at a CAGR of around 20.5% from 2020 to 2027.
Based on element, ride sharing segment is the leading segment in the overall market.
Technological advancement is one of the prominent factors that drive the demand smart mobility market.
Cisco Systems, Inc., Excelfore, The Ford Motor Company, Innoviz Technologies Ltd, Maas Global Ltd, QUALIX INFORMATION SYSTEM, Robert Bosch GmbH, and among others.
Europe is anticipated to grab the highest market share in the regional market
Asia Pacific is expected to be the fastest growing market in the forthcoming years