Press release
Smart Railways Market to be Valued at US$ 159.6 Bn in 2025
While the outlook on future of smart railways remains positive, high cost of installing and integrating smart systems and replacement of existing systems and railway infrastructure can pose challenges to growth.
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Smart Railways Market Segmentation
To foster a better understanding on the smart railways market, Future Market Insights’ report segments the market on the basis of devices & components, services, and solutions.
The key sub-segments under devices & components include rail sensors, VSC, smart cards, networking & connectivity devices, and others. Among these, networking & connectivity devices accounted for the highest demand, totalling US$ 2.1 Bn in revenues in 2015. Networking & connectivity devices sub-segment is anticipated to increase at a CAGR of 20.1% during the forecast period 2015-2025.
The key sub-segments under services segment include cloud services, professional services, and integration and implementation services. Among these, the cloud services sub-segment is projected to increase at the highest CAGR during the forecast period.
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By services segment, the key sub-segments include passenger information system (PIS), advanced security management system (ASMS), rail operations management system, railway traffic management system (RTMS), smart ticketing system, and rail communication & networking systems (RCNS). Among these, the most lucrative segments are RTMS, ASMS, and rail operations management system.
APEJ is the Largest & Fastest Growing Market
FMI’s report also offers market forecast and analysis on the basis of region. The key regions profiled in the report include North America, Western Europe, Eastern Europe, Latin America, Asia Pacific excluding Japan, Japan, and Middle East & Africa. According to the report, Asia Pacific excluding Japan will remain the largest market for smart railways during the forecast period. Favourable government policies towards modernisation of railways, combined with easy availability of funds for investment are among the chief reasons for growth of the smart railways market in Asia Pacific.
North America and Western Europe are among the other key markets for smart railways. The smart railways market in these is expected to witness steady growth on back of wider push to incorporate IoT and Big Data in the railway ecosystem.
Key Vendors
Leading players profiled in FMI’s report include Indra Sistemas, S.A., Alcatel-Lucent S.A., IBM Corporation, Bombardier Inc., Hitachi, Ltd., ABB Group, Alstom S.A., Huawei Technologies Co. Ltd., Cisco Systems, Inc., Siemens AG, General Electric Co., and Ansaldo STS.
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