Press release
Smart Highways Market Outlook 2025-2031: AI, IoT, 5G Connectivity, and EV Infrastructure Driving a Robust 17.95% CAGR in Intelligent Road Networks
Smart Highways market is poised to grow at a CAGR of 17.95 % by 2031.According to DataM Intelligence has published a new research report on "Smart Highways Market Size 2025". The report explores comprehensive and insightful Information about various key factors like Regional Growth, Segmentation, CAGR, Business Revenue Status of Top Key Players and Drivers. The purpose of this report is to provide a telescopic view of the current market size by value and volume, opportunities, and development status.
Smart highways are digitally enabled road infrastructures that integrate IoT sensors, AI, smart lighting, traffic management systems, electric vehicle (EV) charging, and connected communication technologies to enhance road safety, traffic efficiency, sustainability, and real-time mobility management. They play a key role in future-ready transportation ecosystems and smart city development.
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β£ Recent Developments:
United States: Recent Industry Developments
β In July 2025, several U.S. states expanded AI-driven traffic monitoring and adaptive signal control systems on major highways to reduce congestion and accidents.
β In June 2025, pilot corridors integrated wireless EV charging lanes and smart road sensors to support electric mobility and data-driven maintenance.
β In May 2025, transportation authorities deployed connected vehicle-to-infrastructure (V2I) systems enabling real-time hazard alerts and traffic updates.
Europe: Recent Industry Developments
β In July 2025, European countries advanced smart highway lighting systems that adjust brightness based on traffic density and weather conditions.
β In June 2025, smart highways integrated 5G connectivity and digital twin platforms to improve predictive maintenance and traffic flow optimization.
β In May 2025, EU-funded projects scaled solar-powered road surfaces and energy-harvesting pavements to support sustainable infrastructure goals.
Asia-Pacific: Recent Industry Developments
β In July 2025, China expanded AI-powered smart expressways with automated tolling, incident detection, and autonomous vehicle readiness.
β In June 2025, India accelerated deployment of smart highway corridors featuring real-time traffic analytics, smart signage, and centralized control centers.
β In May 2025, Japan and South Korea enhanced connected highway ecosystems to support autonomous driving trials and intelligent transport systems (ITS).
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β£ Top Industry Players:
ABB Ltd, ALE International, AT&T Inc., Cisco System Inc., IBM Corporation, Huawei Technologies Co. Ltd., LG CSN, Honeywell International Inc., Schneider Electric SE, and Siemens AG.
β£ Market Segments:
The market is segmented by component into software for the smart highways industry, hardware, and services. Software solutions play a critical role in traffic optimization, data analytics, and real-time decision-making, while hardware includes sensors, cameras, communication devices, and control units installed along highways. Services cover system integration, maintenance, consulting, and managed services that ensure smooth and continuous operation of smart highway infrastructure.
Based on the deployment model, the market is categorized into cloud-based and on-premise solutions. Cloud-based deployment enables scalable data storage, advanced analytics, and centralized traffic management, whereas on-premise systems are preferred where data security, regulatory compliance, or low-latency processing is a priority.
By technology, the market includes Intelligent Transportation Management Systems, traffic management systems, communication systems, and monitoring systems, along with other supporting technologies. These technologies collectively enhance traffic flow, improve road safety, enable real-time surveillance, and support connected and autonomous vehicle ecosystems on smart highways.
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Regional Break out:
β North America - US, Canada, Mexico
β Europe- Germany, Russia, UK, France, Italy, Rest of Europe
β Asia Pacific- China, India, Japan, Australia, Rest of Asia Pacific
β South America- Brazil, Argentina, Colombia, Rest of South America
β Middle East and Africa- Saudi Arabia, UAE, Oman, Bahrain, Qatar, Kuwait, Israel
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