Intelligent Transportation System Market Improves With Real-Time Routing

The global intelligent transportation system (ITS) market size was valued at USD 54.5 billion in 2024 and is projected to reach USD 90.4 billion by 2030, expanding at a CAGR of 9.2% from 2025 to 2030. The market’s growth is primarily driven by increasing demand for traffic control solutions, rising adoption of smart vehicles, enhanced safety and monitoring enabled by License Plate Recognition (LPR) systems and modern cameras, as well as rapid advancements in smart city development across the world.

Key Market Trends & Insights

• North America held the majority revenue share of over 35.2% in 2024.
• By mode of transportation, the roadway segment accounted for the largest share at 39.4% in 2024.
• By roadway offering, the hardware segment led the market in 2024.
• By roadway system type, the Advanced Traffic Management System (ATMS) segment captured the largest revenue share in 2024.
• By roadway application, traffic management remained the dominant segment in 2024.

Market Size & Forecast

• 2024 Market Size: USD 54.5 Billion
• 2030 Projected Market Size: USD 90.4 Billion
• CAGR (2025–2030): 9.2%
• Largest Market (2024): North America
• Fastest-Growing Region: Asia Pacific

Intelligent Transportation Systems enable optimized traffic management, improved mobility, and enhanced road safety, strengthening their adoption across urban infrastructures. Growing numbers of vehicles across roadways, rails, airways, and maritime transport, along with aging transport infrastructure and increasing data management challenges, are collectively supporting ITS market expansion. The need for seamless traffic coordination and enhanced public transportation networks has led to rapid deployment of advanced traffic management systems across all major transport modes.

Infrastructure upgrades and global expansion of rail networks further present significant opportunities for ITS providers. Market participants are increasingly forming collaborations to integrate digital technologies into large-scale transportation systems. For example, in October 2023, CSX Corporation partnered with Siemens AG to optimize railway traffic across over 20,000 miles of track in North America using Siemens’ TPS.live and Controlguide Core Dispatch System (CDS), demonstrating the growing role of digital automation in modernizing rail operations.

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Key Intelligent Transportation System (ITS) Company Insights

Major companies participating in the ITS market include Thales Group, Hitachi Ltd., NEC Corporation, Siemens AG, among others.

Thales Group offers extensive solutions in traffic management, rail signaling, communications, and aerospace, enabling comprehensive ITS integration.

NEC Corporation delivers advanced data-driven traffic management systems designed to improve traffic flow, reduce congestion, and enhance transportation efficiency.

Leading Intelligent Transportation Systems Companies

• L3Harris Technologies, Inc.
• KONGSBERG
• NEC Corporation
• Teledyne Technologies Incorporated
• Thales Group
• Siemens AG
• Advantech Co., Ltd.
• Aireon
• Indra Sistemas, S.A.
• Hitachi, Ltd.

Conclusion

The Intelligent Transportation System market is experiencing strong growth, driven by smart mobility trends, rapid digitalization, and increasing emphasis on traffic safety and efficiency. Advancements in roadway technologies, rising vehicle volumes, and global infrastructure development continue to fuel ITS adoption across regions. With expanding transportation networks and greater integration of automation, analytics, and communication technologies, the market is poised for sustained expansion through 2030.

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