Smart Traffic Management to Generate $18.5 Billion in Revenue by 2028

By 2028 smart traffic management spending will be up 75% from a 2023 figure of $10.6 billion, according to Juniper Research. This significant growth will be due to increasing government funding for smart city initiatives, with transport being at the center of urban transformation projects.

The research found that it is vital to deploy traffic analysis and systems at the earliest stage of city planning to avoid costly retrofits at a later point; given the fundamental nature and impact of traffic flow on a city’s infrastructure. “Cities need to avoid solutions that will likely become obsolete quickly, or result in vendor lock-in. By opening their process to a wide pool of vendors and developers, cities will encourage innovation and interest from a variety of stakeholders and partners,” commented research author Cara Malone.

The research urges vendors to consider developing customised smart traffic management systems for cities in emerging regions; due to growing issues surrounding congestion. Smart traffic management can significantly reduce congestion, with Juniper Research forecasting a saving of 7 billion hours through smart traffic management solutions globally by 2028, with developed regions making up 75% of this.

There are however concerns surrounding the implementation of these solutions in developing regions. Driving rules and regulations in developing regions can be very different, with the level of technological infrastructure also not being equivalent. As such, vendors must create scalable solutions that can be customized for local circumstances.