Intelligent Transportation System Market Size, Share, Opportunities, And Trends By Type (ATMS (Advanced Traffic Management System), ATIS (Advanced Traffic Information System), APTS (Advanced Public Transportation System), ITS-enabled Transportation Pricing System, Commercial Vehicle Operation), By Application (Collision Avoidance System, Traffic Monitoring, Parking Availability, Traffic Signal Control System, Fleet Management & Asset Monitoring, Others), And By Geography - Forecasts From 2023 To 2028

The global intelligent transportation system market is expected to grow at a CAGR of 7.17% from US$57.33 billion in 2025 to US$81.06 billion in 2030.

As urbanization intensifies and vehicle numbers rise, traffic congestion plagues many cities. ITS systems mitigate this by optimizing traffic flow and reducing travel times, especially in densely populated regions.

Advancements in artificial intelligence, machine learning, and the Internet of Things (IoT) are driving the development of sophisticated ITS solutions. These technologies enable real-time data collection and analysis, delivering accurate traffic and travel time updates to users. For example, Bosch’s Community-Based Parking (CBP) system, launched in 2020, uses data from connected vehicles to locate parking spaces. By 2024, Bosch expanded this with AI-enhanced predictive parking features, reflecting ongoing innovation. Similarly, Siemens’ Sitraffic ESCoS, introduced in 2020, now integrates 5G to enhance real-time traffic optimization.

Urbanization is fuelling ITS market growth as rising urban populations increase road congestion. ITS solutions manage traffic flow, optimize signal timings, and provide real-time traveler information to improve mobility. Demand for efficient, reliable public transportation systems is also surging in cities. Government initiatives further accelerate growth by funding ITS projects and promoting sustainability. 

Key Developments:

• In December 2022, Honda Motor Co unveiled Honda Sensing 360, a safety and driver-assistive system that eliminates blind spots, prevents collisions, and reduces driver fatigue by monitoring surroundings and preempting risks.

Collision avoidance systems (CAS), a vital ITS application, warn drivers of potential crashes. Rising motor vehicle fatalities—42,915 in the US in 2021 (NHTSA)—heighten CAS demand by underscoring road safety needs. Advances in sensor and radar technologies enhance CAS affordability and effectiveness, boosting market growth through 2029.

Geographically, the ITS market is segmented into North America, South America, Europe, Middle East and Africa, and Asia Pacific. North America benefits from initiatives like the US Department of Transportation’s Intelligent Transportation Systems Joint Program Office (ITS JPO). The ITS JPO drives R&D, with its 2023-2028 Strategic Plan emphasizing automation and sustainability, advancing transportation technology. In conclusion, the ITS market thrives on urbanization, technological innovation, and government support, delivering efficiency, safety, and sustainability gains.

Segmentation:

• By Type
  • ATMS (Advanced Traffic Management System)
  • ATIS (Advanced Traffic Information System)
  • APTS (Advanced Public Transportation System)
  • ITS-enabled Transportation Pricing System
  • Commercial Vehicle Operation
• By Application
  • Collision Avoidance System
  • Traffic Monitoring
  • Parking Availability
  • Traffic Signal Control System
  • Fleet Management & Asset Monitoring
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • UK
    • France
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Israel
    • Other
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Thailand
    • Indonesia
    • Taiwan
    • Others

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1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base, and Forecast Years Timeline

2. RESEARCH METHODOLOGY  

2.1. Research Data

2.2. Assumptions

3. EXECUTIVE SUMMARY

3.1. Research Highlights

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. GLOBAL INTELLIGENT TRANSPORTATION SYSTEM MARKET BY TYPE

5.1. Introduction

5.2. ATMS (Advanced Traffic Management System)

5.3. ATIS (Advanced Traffic Information System)

5.4. APTS (Advanced Public Transportation System)

5.5. ITS-enabled Transportation Pricing System

5.6. Commercial Vehicle Operation

6. GLOBAL INTELLIGENT TRANSPORTATION SYSTEM MARKET BY APPLICATION

6.1. Introduction

6.2. Collision Avoidance System 

6.3. Traffic Monitoring

6.4. Parking Availability

6.5. Traffic Signal Control System

6.6. Fleet Management & Asset Monitoring

6.7. Others

7. GLOBAL INTELLIGENT TRANSPORTATION SYSTEM MARKET BY GEOGRAPHY 

7.1. Introduction

7.2. North America 

7.2.1. By Type

7.2.2. By Application

7.2.3. By Country

7.2.3.1. USA

7.2.3.2. Canada

7.2.3.3. Mexico

7.3. South America 

7.3.1. By Type

7.3.2. By Application

7.3.3. By Country

7.3.3.1. Brazil

7.3.3.2. Argentina 

7.3.3.3. Others

7.4. Europe

7.4.1. By Type

7.4.2. By Application

7.4.3. By Country

7.4.3.1. Germany

7.4.3.2. UK

7.4.3.3. France

7.4.3.4. Spain

7.4.3.5. Others

7.5. Middle East and Africa

7.5.1. By Type

7.5.2. By Application

7.5.3. By Country

7.5.3.1. Saudi Arabia 

7.5.3.2. UAE

7.5.3.3. Israel

7.5.3.4. Others

7.6. Asia pacific

7.6.1. By Type

7.6.2. By Application

7.6.3. By Country

7.6.3.1. China

7.6.3.2. India

7.6.3.3. Japan

7.6.3.4. South Korea 

7.6.3.5. Thailand

7.6.3.6. Indonesia

7.6.3.7. Taiwan

7.6.3.8. Others

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Emerging Players and Market Lucrativeness

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Vendor Competitiveness Matrix

9. COMPANY PROFILES

9.1. 3M

9.2. Transcore

9.3. Denso

9.4. Thales Group 

9.5. Siemens AG 

9.6. Kapsch TrafficCom

9.7. EFKON

9.8. Hitachi

3M

Transcore

Denso

Thales Group

Siemens AG

Kapsch TrafficCom

EFKON

Hitachi