SMART MOBILITY MARKET ANALYSIS

Market Challenges And Opportunities

Global Smart Mobility Market Drivers:

Increasing need for on-demand transportation services to fuel the market growth

The on-demand service includes passenger vehicle, taxi, and charter vehicles providing flexibility among other features such as tracking of vehicle, real time feedback, and rating to end customers. Various mobile applications facilitate the availability of the car and fare comparison with the correspondent. For instance, in August 2017, Migo, a search engine for on-demand rise services introduced a mobile applications, using which users can compared prices and locations of nearby taxis, ride-hailing, and car-sharing companies. With such service, customers can use various functions. Thus, with growing trend of on-demand transportation services, the adoption of smart mobility solutions is likely to increase, which in turn will boost growth of the global smart mobility market over the forecast period.

Rise in smart city initiatives to propel the market growth

Governments of several countries around the globe are supporting smart mobility concept, through smart city initiatives. For instance, the Ministry of Economy, Trade, and Industry and the Ministry of Land, Infrastructure, Transport, and Tourism of Japan developed the smart mobility challenge subsidy program, which generated a US$ 27.6 million of revenue for this program. Various governments around the world are implementing similar subsidy programs and investments. This factor is thus anticipated to augment growth of the global smart mobility market during the forecast period.

Global Smart Mobility Market Opportunities:

Increasing adoption of intelligent transportation system to generate growth opportunities in the global smart mobility market over the forecast period. Advanced cars offer safety services, which are an example of advanced aftermarket technology involving data sharing between the humans and the vehicle. Safety combines automobile technology and telecommunication to improve efficiency of vehicle, enhance safety & security measures, reduce cost of fuel consumption and maintenance, and provide assistance to drive in order to improve his overall experience of driving. Thus, the adoption intelligent transportation systems is increasing, which is likely to create growth opportunities in the market.

Enhancing performance of autonomous vehicles is anticipated to offer business opportunities in the global smart mobility market over the forecast period. Several solutions available in the market are capable of collecting, managing, exploring, interpreting, and analyzing driving data of a specific driver. The use of smart mobility creates large amount of data all the time. This provides major opportunities for superior customers experience and to establish new business avenues in autonomous driving. Thus, this factor is likely to benefits vendors in the global smart mobility market in the coming future.

Global Smart Mobility Market Restraints:

Lack of internet penetration in developing regions to hinder the market pace

Ride hailing services need availability of internet for their three parties, which are service providers, riders, and drivers. The operations of this service is carried out through use of smartphone with mandatory connectivity of internet. However, some of the regions such as Chad, Eritrea, Burundi, Somalia, among others still have low internet penetration. This factor thus impacts adoption of smart mobility, which in turn is expected to hinder growth of the global smart mobility market over the forecast period.

Concerns regarding safety of data to impede the market growth

Smart mobility is a recent concept, which is now in trend all over the world. However, this technology is vulnerable to data hacking like cyber-attacks. These events can include braking into an in-vehicle connectivity systems, and unauthorized access to several solutions of car connectivity. Hackers can access the data collected and stored by smart vehicle systems. This factor in turn is expected to limit growth of the global smart mobility market over the forecast period. However, market players are focused on development of solutions to prevent such incidences and improve data security, which is likely to aid in growth of the market.