Railway Management System Market Size to hit $64bn by 2024

Railway Management System Market size is set to exceed USD 64 billion by 2024; according to a new research report by Global Market Insights, Inc

The railway management system market growth is attributed to the increasing adoption of IoT and digitalization in the railway industry. IoT allows the rail operators to have proper information about the train’s location with respect to other trains to ensure passengers’ safety. It also automatically regulates the trains speed on the basis of real-time information, in turn, reducing the chances of collision driving their adoption in the railway management system market. The deployment of digital technologies in railways enhances the customer experience by delivering value-added services to its customers, increasing reliability, safety, efficiency, and the overall performance of the railways driving market growth.

Furthermore, the rising trend of smart cities also has a positive impact on the railway management system market as a majority of smart cities opportunities & capabilities revolve around public transport networks. These systems help in implementing technology and data for improving railway efficiency, sustainability, and mobility. For instance, the Indian Ministry of Railways partnered with the Ministry of Urban Development for ensuring the development of smart stations under the country’s ongoing Smart Cities mission. Under this initiative, around 400 stations in the country are presently being redeveloped aimed at providing improved facilities and easier access to passengers.

The Passenger Information System (PIS) holds the highest growth potential in the railway management system market. Due to a rising competition in the market and growing passenger expectations, train operating companies are continually striving to augment passenger satisfaction by delivering more information than just departure and arrival timings. Various reference messages and advertising content are displayed on the information devices inside & outside trains, enabling passengers to know their precise location, next train stops, and other beneficial information related to the train’s path. In December 2018, Luminator Technology Group (LTG) partnered with KeTech Systems Limited (KeTech) for developing real-time enhanced passenger information systems. This will provide flexible solutions delivering content-rich & real-time information to its passengers.

The system integration & deployment service segment dominates the railway management system market with a industry revenue of over USD 1 billion in 2017. Railway operators are working toward transforming their traditional network systems with advanced IP-based technologies. Hence, adopting efficient system integration & deployment services assist them in integrating their existing legacy systems with new technologies as well as deploying new systems for creating cost-efficient and highly-scalable & secured solutions delivering an enhanced end-to-end connectivity. These services also assist rail operators by reducing their deployment time & cost enabling, efficient work capabilities with reduced disruptions.

The cloud deployment model is growing at the fastest rate in the railway management system market due to various benefits that it offers such as ongoing software updates and easy access anywhere using the browser, making it easier for rail authorities to carry out their operations. These models are also highly secure & scalable, augmenting their demand in the railway management system market. In January 2018, Network Rail partnered with Preservica for creating a cloud-hosted digital archive developed to actively preserve and deliver secure access to important digital assets and operational information from the historical data of UK railway networks.

The Asia Pacific railway management system market is anticipated to grow at the fastest rate at a CAGR of over 14% over the forecast timeframe. The major factors contributing to market growth in this region include the strategic initiatives adopted by the government, which include smart cities and digitalization coupled with the increasing GDP of the Asian countries. Furthermore, as transportation infrastructure in some of the countries is still in development phases, various companies are making strategic investments in this region due to a huge growth potential driving the railway management system market demand. For instance, in January 2018, China Railway Corp invested USD 112 billion to bring about the development of China’s fast rail network.

The major companies working in the railway management system market include ABB, Ansaldo, EKE Electronics, Frequentis, Cisco, IBM, Nokia, Huawei, Bombardier, Indra, Toshiba, Trimble, Thales, Hitachi, Siemens, Alstom, Atos, Sierra Wireless, Thales, and Amadeus. These companies offer various rail management solutions & services to meet the growing needs of passengers. The major strategy adopted for expansion is partnerships & collaborations as it assists the companies to expand their regional presence, thereby serving a larger customer base. For instance, in September 2016, Cubic Innovation entered into a working collaboration with various industry leaders and academic partners for developing a prototype that integrates ticketing technologies to support a large number of passengers at train station fare gates.

The railway management system market research report includes an in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2013 to 2024, for the following segments:

Railway Management System Market, By Component

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