The global Artificial Intelligence in Transportation market, which was valued at around 1.12 billion dollars in 2019 and is expected to generate revenues of 16.1 billion dollars by 2026, is expected to grow at a CAGR of roughly 18 percent between 2020 and 2026.
By machine learning technology, deep learning technology is expected to be the largest and fastest growing segment of the worldwide market. Deep learning is widely employed in the creation of self-driving vehicles, which must perceive, think, drive, and learn. The final step is “learn,” which will rely heavily on deep learning to achieve fully autonomous vehicles. Many firms are investing in the development of self-driving trucks that utilise deep learning technology to interpret images, recognise speech, and analyse data.
According to application, autonomous trucks are expected to be the fastest-growing section of the worldwide artificial intelligence in transportation industry. The use of artificial intelligence technologies to autonomous trucks is the primary goal. Previously, AI research focused on traffic and navigation systems, but now the focus has turned to developing fully autonomous vehicles. Volvo (Sweden), Scania (Sweden), and Daimler (Germany) are among the companies developing and testing fully autonomous trucks.
Truck platooning is expected to be the next big thing in this industry. Sensor fusion, signal recognition, forward collision warning, and lane keep assist are all artificial intelligence technologies that are driving truck platooning. The rise of the truck platooning business has been pushed by rising environmental concerns, increased fuel efficiency, rigorous government pollution rules, and concerns about traffic congestion.
According to Ertico’s ITS4CV (Intelligent Transport Systems for Commercial Vehicles) study, platooning can reduce CO2 emissions by up to 16 percent for following vehicles and up to 8% for leading vehicles by keeping the trucks closer together at a steady pace and reducing stopping and accelerating. Transportation sector players such as Volvo, Scania, Daimler, Otto, and MAN are constantly upgrading their truck platooning systems thanks to artificial intelligence.
In terms of value, North America is expected to be the greatest market for artificial intelligence in transportation. Trucks are the most important contributor to North America’s transportation sector. The transportation business in the region is predicted to grow as a result of regulatory changes such as the Compliance, Safety, and Accountability (CSA) Act and improvements to the Hours of Service Solution (HOS). As a result, the artificial intelligence transportation market is predicted to grow rapidly.
Furthermore, the region’s strong financial position allows these governments to invest extensively in cutting-edge Artificial Intelligence technologies. According to the Center for Automotive Research, Mexico has received USD 20.00 billion in automotive investments over the last four years. In terms of value, Asia Oceania is expected to be the fastest expanding market for artificial intelligence in transportation. Strong economic growth, a burgeoning logistics and supply chain industry, a move from unorganised 3PL (third party logistics) to organised 3PL (third party logistics), and a continually expanding population are all factors driving artificial intelligence in transportation market growth in the region. These factors have contributed significantly to the increased manufacture and sale of commercial vehicles, particularly trucks.
Primary and secondary sources are used in the report’s research methodology, which is based on a top-down approach to data triangulation. The research includes an examination of country-level rules governing autonomous driving as well as an examination of the various applications for artificial intelligence in transportation that have been studied (autonomous trucks, HMI in trucks, and semi-autonomous trucks). This study looks at historical trends as well as current penetration levels by country and application.
The forecast is based on a number of criteria, including government legislation, important events, public acceptability, the country’s level of automation, and OEM adoption rates. Primary respondents, including specialists in the artificial intelligence in transportation business, AI professionals and consultants, and software and hardware providers, have debated and validated the findings. Associations like the Association for the Advancement of Artificial Intelligence (AAAI) and the European Coordinating Committee for Artificial Intelligence (ECCAI), artificial intelligence software and hardware suppliers’ websites and annual reports, and paid databases and directories like Factiva and Bloomberg are examples of secondary sources.
COVID-19’S EFFECT ON ARTIFICIAL INTELLIGENCE IN THE TRANSPORTATION MARKET
Coronavirus has had a significant impact on the transportation industry. People’s travel habits have changed as a result of the pandemic. Without a doubt, public transportation companies are reforming their working methods with the safety of passengers in mind, in order to recover their trust. Sanitation and the proper application of social distancing are now required security measures. The reintroduction of services may result in a surge in demand for the transportation system. Similarly, business and business travel will be on the rise.
The transportation system must meet this demand while adhering to the directives. Many transportation system challenges can be solved with Artificial Intelligence (Al), Internet of Things (loT), and Intelligent Transportation System (ITS) applications. Monitoring compliance with specified COVID criteria, while improving efficiency and convenience of monitoring, can assist limit person-to-person transmission and avert cluster epidemics in public transit networks.
Recent Developments: Scania’s new universal search engine, which uses cutting-edge artificial intelligence technology, allows Scania workshops to address vehicle-related problems faster.
Artificial Intelligence In Transportation Market Changing market conditions (Market Dynamics)
Significant Market driversÂ
There are a few factors driving demand for AI in the transportation business. In many areas, the number of traffic accidents is rising. These collisions are being caused by an increase in the number of automobiles on the road. The demand for AI in transportation is expanding as the number of road accidents rises. In-vehicle artificial intelligence technology can protect the driver from collisions. It can deliver real-time information on roadways and crucial signage. It alerts the user to regions that are prone to accidents. artificial intelligence transportation has a higher level of safety. The greater the use of AI in automobiles, the safer the roads will become.
Furthermore, the market for driverless vehicles is exploding. Autonomous vehicles are expensive. Furthermore, many people today choose these types of vehicles. Autonomous vehicles have artificial intelligence built in. AI technology is critical in autonomous vehicles, from driving to vehicle maintenance. The increased demand for self-driving cars is a major driver in this sector. Deep learning is used by the majority of autonomous cars. Deep learning is a combination of Artificial intelligence and machine learning. Artificial intelligence allows autonomous vehicles to think, drive, and learn. Another driver for this market is the rising desire for autonomous trucks. All of these reasons will result in a profit for Artificial intelligence in the transportation market.
Opportunities for market Growth
This market will benefit greatly from truck platooning. In the next years, it is expected to be the most profitable section of the market. Truck platooning will become more common as Artificial intelligence advances in the transportation industry. In addition, in the coming years, Artificial intelligence transportation will have a plethora of functions. It will bring in new customers to the market. Sensors, voice recognition, signal recognition, and fusion will be integrated to give growth potential. During the projected period, the Artificial intelligence in Transportation Market will grow at a rapid pace. Furthermore, several governments are enacting strict legislation to reduce carbon emissions.
The ideal option is to use Artificial intelligence in transportation technologies. It’s a technology that saves money on gas and lowers carbon emissions. This government regulation will be beneficial to the market’s development. Furthermore, issues about traffic segmentation are growing all the time. AI in transportation allows for more efficient routes. The Artificial intelligence system can direct the driver to less congested routes. This broad range of AI-assisted transportation will present tremendous growth opportunities.
