Market Size of Smart Highway Industry
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 55.80 Billion |
| Market Size (2029) | USD 137.98 Billion |
| CAGR (2024 - 2029) | 19.85 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Smart Highway Market Analysis
The Smart Highway Market size is estimated at USD 55.80 billion in 2024, and is expected to reach USD 137.98 billion by 2029, growing at a CAGR of 19.85% during the forecast period (2024-2029).
The growing investment in smart cities, along with benefits associated with smart technologies, such as traffic safety improvement and data-driven traffic control to reduce infrastructure damage, drives the growth of the smart highway market.
- With rapid urbanization, an increase in greenhouse gas (GHG) emissions contributes to an expanding carbon footprint and forcing the adoption of clean and sustainable technology for intelligent transportation. For instance, according to the United States Environmental Protection Agency, Greenhouse gas (GHG) emissions from transportation account for about 28 percent of total United States greenhouse gas emissions.
- Smart transport management systems use digital sensors that can acquire and record data in a landslide, poor weather conditions, and traffic congestions. They can display forecasts and alerts on LED screens across the states and national highways.
- The market is driven by many factors, such as reducing the number of accidents occurring on highways, providing safe and efficient transportation systems, and reducing the transportation time on highways connecting the major cities of a country. All of these can be done by implementing smart technologies, which efficiently monitor traffic and help properly functioning highways while providing real-time information to the authorities.
- The Lack of infrastructural support in developing countries can significantly restrain the smart highway market. Implementing smart highways necessitates substantial investment in technology, sensors, communication networks, and a skilled workforce. Developing countries often face budget constraints, and governments may prioritize other essential sectors over advanced transportation infrastructure.
- The outbreak of COVID-19 significantly impacted the construction process of highway projects, particularly after the initial outbreak, due to supply chain disruptions as a result of lockdown-induced transportation restrictions. Additionally, the consequent reduction in traffic also impacted toll collection and other revenue streams from the highways. However, the pandemic also attracted attention to the benefits of smart technologies on highways, which is expected to support the growth of the studied market during the forecast period.
