Artificial Intelligence in Transportation Market Size and Demand Forecast

1. Demand for AI in Transportation Sector to be Highest in North America 1 © Prescient & Strategic (P&S) Intelligence Pvt. Ltd. All rights reserved

2. The automotive industry is among the most prominent industries across the globe and is undergoing continuous technological advancements, the latest one being the development of autonomous vehicles. These vehicles have different levels of autonomy, and the level 5 autonomous cars have the capability of operating without of the presence of a driver. These innovations, however, wouldn’t have been possible if it weren’t for artificial intelligence (AI). It is the technology that allows real-time and reliable recognition of objects around the vehicles, which makes possible the proper functionality of autonomous vehicles. Owing to such factors, the adoption of AI in transportation has been increasing rapidly. To receive free sample pages of this report@ https://www.psmarketresearch.com/market-analysis/ai-in- transportation-market/report-sample The demand for AI in the transportation sector is further increasing due to the growing focus on decreasing the operating cost of transportation. AI offers various opportunities when it comes to reducing cost and making operations more time efficient. The advanced navigation systems in vehicles enable the driver to follow optimized routes and avoid traffic jams. This can further aid in speeding up deliveries. Other than this, AI-based solutions make vehicles safer and more secure. For example, AI-based technologies including adaptive cruise control and auto emergency braking help in preventing potential road accidents and further reduce driver fatigue. The AI in transportation market is further projected to register growth due to the opportunities that are being presented by truck platooning. Platooning is among the various steps that is required for achieving autonomous driving. It offers several advantages such as improved safety features, reduced fuel consumption, and decreased emissions of harmful gases. A number of initiatives have been taken in the past few years in a number of countries for enabling truck platooning and further developments in the field are predicted to taken in the coming years as well. The global AI in transportation market is expected to generate a revenue of $3.5 billion by 2023, rising from $1.4 billion, and is predicted to progress at a 16.5% CAGR during the forecast period (2018–2023). In terms of offering, the market is categorized into hardware and software, between which, the software category accounted for the major share of the market in 2017. This is due to the rising utilization of software as a service platform, including the Microsoft Azure, in human-machine interface applications. On the basis of technology, the market is divided into natural language processing, deep learning, and computer vision. Out of these, the deep learning technology held the largest share of the market in 2017, since it allows vehicles to be more intelligent and provided better 2 © Prescient & Strategic (P&S) Intelligence Pvt. Ltd. All rights reserved

3. driving experience in various situations, considering weather conditions and road terrain. Geographically, North America is projected to dominate the AI in transportation market in the coming years, owing to the increasing sales of premium trucks. In addition to this, rising government support and increased funding for autonomous vehicles in the regions is also leading to the growth of the market. Hence, the demand for AI in the transportation sector is growing because of the development of autonomous vehicles, technological advancements, and rising focus on truck platooning. 3 © Prescient & Strategic (P&S) Intelligence Pvt. Ltd. All rights reserved

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