IoT in Transportation Market Report by Type (Hardware, Software, Services), Mode of Transport (Roadways, Railways, Airways, Maritime), Application (Traffic Congestion Control Systems, Automotive Telematics, Reservation, Toll and Ticketing Systems, Security and Surveillance Systems, Remote Monitoring, and Others), and Region 2025-2033

IoT in Transportation Market Report by Type (Hardware, Software, Services), Mode of Transport (Roadways, Railways, Airways, Maritime), Application (Traffic Congestion Control Systems, Automotive Telematics, Reservation, Toll and Ticketing Systems, Security and Surveillance Systems, Remote Monitoring, and Others), and Region 2025-2033

Report Format: PDF+Excel | Report ID: SR112024A5059
Year End sale Buy Now

Market Overview:

The global IoT in transportation market size reached USD 167.4 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 691.7 Billion by 2033, exhibiting a growth rate (CAGR) of 16.22% during 2025-2033.

Report Attribute 
Key Statistics
Base Year
2024
Forecast Years
2025-2033
Historical Years
2019-2024
Market Size in 2024
USD 167.4 Billion
Market Forecast in 2033
USD 691.7 Billion
Market Growth Rate 2025-2033 16.22%


The Internet of Things (IoT) refers to a technological solution that is used for connecting mechanical equipment, vehicles, and objects to the internet. It utilizes actuators, embedded sensors, and other devices to gather and transmit data regarding real-world activities, such as road conditions, traffic, vehicle diagnostics, driving behavior, fuel usage, and alerts for speeding. It is widely used for remote monitoring, traffic congestion control system, automotive telematics, security and surveillance system, reservation, and toll and ticketing systems. IoT in transportation assists in improving safety, enhancing operation performance, customer experience, and optimizing maintenance by reducing recurring complexities and providing remote diagnosis and real-time monitoring. As a result, it is widely used in airways, railways, maritime, and roadways.

IoT in Transportation Market Trends:

Significant growth in the railway system due to the increasing need for urban connectivity across the globe is creating a positive outlook for the market. IoT in railways is commonly used to check the flow of passengers, timetable management, capacity optimization, and predictive maintenance. In line with this, the introduction of smart railway systems that is equipped with IoT enabled sensors and devices to monitor conveyance performance and environmental conditions is acting as another growth-inducing factor. This, in turn, is aiding the sector in improving operational efficiency and safety, while reducing delays. Additionally, the widespread product adoption in roadway vehicles due to the increasing need for interconnected mobility solutions that reduce commute time and road traffic is positively impacting the market growth. Other factors, including the rising spending capacities of consumers, particularly in emerging economies, enhanced internet connectivity, significant expansion in the information and communications technology (ICT) sector, and the implementation of various government initiatives for the development of smart cities, are anticipated to drive the market toward growth.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the global IoT in transportation market report, along with forecasts at the global, regional and country level from 2025-2033. Our report has categorized the market based on type, mode of transport and application.

Breakup by Type:

  • Hardware
  • Software
  • Services
     

Breakup by Mode of Transport:

  • Roadways
  • Railways
  • Airways
  • Maritime
     

Breakup by Application:

  • Traffic Congestion Control Systems
  • Automotive Telematics
  • Reservation, Toll and Ticketing Systems
  • Security and Surveillance Systems
  • Remote Monitoring
  • Others
     

Breakup by Region:

  • North America
    • United States
    • Canada
  • Asia-Pacific
    • China
    • Japan
    • India
    • South Korea
    • Australia
    • Indonesia
    • Others
  • Europe
    • Germany
    • France
    • United Kingdom
    • Italy
    • Spain
    • Russia
    • Others
  • Latin America
    • Brazil
    • Mexico
    • Others
  • Middle East and Africa


Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players being Alcatel-Lucent Enterprise (China Huaxin Post and Telecom Technologies Co. Limited), AT&T Inc., Cisco Systems Inc., DENSO Corporation, Garmin Ltd, International Business Machines Corporation, Microsoft Corporation, Sierra Wireless Inc., Software Aktiengesellschaft, Thales Group, TomTom N.V. and Verizon Communications Inc.

Report Coverage:

Report Features Details
Base Year of the Analysis 2024
Historical Period 2019-2024
Forecast Period 2025-2033
Units Billion USD
Segment Coverage Type, Mode of Transport, Application, Region
Region Covered  Asia Pacific, Europe, North America, Latin America, Middle East and Africa
Countries Covered United States, Canada, Germany, France, United Kingdom, Italy, Spain, Russia, China, Japan, India, South Korea, Australia, Indonesia, Brazil, Mexico
Companies Covered Alcatel-Lucent Enterprise (China Huaxin Post and Telecom Technologies Co. Limited), AT&T Inc., Cisco Systems Inc., DENSO Corporation, Garmin Ltd, International Business Machines Corporation, Microsoft Corporation, Sierra Wireless Inc., Software Aktiengesellschaft, Thales Group, TomTom N.V., Verizon Communications Inc.
Customization Scope 10% Free Customization
Post-Sale Analyst Support 10-12 Weeks
Delivery Format PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request)

Key Questions Answered in This Report

The global IoT in transportation market was valued at USD 167.4 Billion in 2024.

We expect the global IoT in transportation market to exhibit a CAGR of 16.22% during 2025-2033.

The sudden outbreak of the COVID-19 pandemic had led to the implementation of stringent lockdown regulations across several nations resulting in transportation restrictions, thereby negatively impacting the global market for IoT in transportation solution.

The increasing adoption of IoT in transportation solution in improving safety, enhancing operation performance and customer experience, optimizing maintenance by reducing recurring complexities, etc., is primarily driving the global IoT in transportation market.

Based on the type, the global IoT in transportation market can be categorized into hardware, software, and services. Currently, hardware exhibits clear dominance in the market.

Based on the mode of transport, the global IoT in transportation market has been segmented into roadways, railways, airways, and maritime. Among these, roadways currently hold the largest market share.

Based on the application, the global IoT in transportation market can be bifurcated into traffic congestion control systems, automotive telematics, reservation, toll and ticketing systems, security and surveillance systems, remote monitoring, and others. Currently, automotive telematics accounts for the majority of the total market share.

On a regional level, the market has been classified into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America, where North America currently dominates the global market.

Some of the major players in the global IoT in transportation market include Alcatel-Lucent Enterprise (China Huaxin Post and Telecom Technologies Co. Limited), AT&T Inc., Cisco Systems Inc., DENSO Corporation, Garmin Ltd, International Business Machines Corporation, Microsoft Corporation, Sierra Wireless Inc., Software Aktiengesellschaft, Thales Group, TomTom N.V., and Verizon Communications Inc.

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IoT in Transportation Market Report by Type (Hardware, Software, Services), Mode of Transport (Roadways, Railways, Airways, Maritime), Application (Traffic Congestion Control Systems, Automotive Telematics, Reservation, Toll and Ticketing Systems, Security and Surveillance Systems, Remote Monitoring, and Others), and Region 2025-2033
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