The Global "Railway Management System Market" is expected to grow at a CAGR during the forecasting period (2022-2029).
The growing urbanization all around the world is anticipated to drive the adoption of the Railway Management System in the forecast period.
Railway Management System is a train-borne distributed system with takes care of the following operations including Operations Management, Traffic Management, Asset Management, Control, Maintenance Management, Communication and Networking, Security, Analytics, Passenger Information, and Freight Information. It comprises computer devices and software, human-machine interfaces, digital and analog input/ output (I/O) capability, and the data networks to connect all these in a secure and fault-resistant manner.
The report covers all the major trends and drivers playing a vital role in the growth of the global Railway Management System market. The global Railway Management System market has been segmented based on Component, Solution, Services, and Region.
The global Railway Management System Market is primarily driven by growing urbanization coupled with the demand for mass transit is increasing to ease congestion and traffic in the cities. The common transport for the city dwellers is the metro. Hence, governments all around the world are investing heavily in metro transportation to cover larger areas of cities so that people can commute easily. In 2018, the most urbanized regions were: Northern America (82%), Latin America and the Caribbean (81%), Europe (74%), and Oceania (68%). While Asia has only about 50% level of urbanization, it is home to 54% of the world's urban population. Africa, with an urbanization level of 43%, at the world level is on par with Europe, representing 13% of the world's urban population. The urban population increases considerably faster in developing regions than in developed ones.
However, the high initial cost of deployment will be hampered the growth of the Railway Management System market.
By Solution, the global Railway Management System Market is segmented into Rail Operations Management System, Rail Traffic Management System, Rail Asset Management System, Rail Control System, Rail Maintenance Management System, Rail Communication and Networking System, Rail Security, and Others. Rail Traffic Management System has the dominant position in the Railway Management System market due to the growing railway industry and the need to maintain traffic for increasing number of trains. The entire rail operations can be regularized from a central control system. This central administration system uses real-time data over high-speed communication links across trains and rail infrastructures to automate the traffic. Rail traffic management involves signaling, traffic control, routing, and train schedules. It is expected that Rail traffics management system will grow at a CAGR of ~YY% during the forecast period.
By Services, the global Railway Management System Market is segmented into Consulting, System Integration and Deployment, and Support and Maintenance. System integration and deployment have higher dominance in the Services segment of the Railway Management System market as they help identify the need for adaptation or upgradation to support the smart railways software in the existing infrastructures and avoid the restriction of such software. However, due to low cost and great end-to-end solutions Consulting segment will be growing with higher CAGR for the forecast period.
By geography, the global Railway Management System Market is segmented into North America, Asia-Pacific (APAC), Europe, South America, and the Middle East and Africa (MEA).
APAC holds the largest market share for Railway Management System Market due to economic rise and growing investment activity by the government of developing nations like China and India has high demands for Railway Management System. The growing urbanization coupled with the rising demand for in-city railway transportation in the region is another reason for the market to grow in the forecast period. Urban transportation infrastructure in India needs big investment and massive up-gradation. It is estimated by various studies that 60% of Indians will be living in urban areas by 2050. In 2016-17, the government earmarked INR 100 billion (US$ 1.5 billion) for the metro projects. It is important to note that urban transport is a state subject. Thus, the planning, execution, and development of urban transport facilities are done by the states and union territories.
However, North America is after APAC in terms of the market share of the Railway Management System Market due to the high adoption of advanced technologies. The presence of large companies like IBM, Bombardier, and General Electric is in the region. In May 2017, Bombardier announced that it had signed a six-year, $700 million agreement with IBM that includes IBM Services and IBM Cloud management of the aerospace and transportation company’s worldwide IT infrastructure.
Key players are adopting strategies such as investing in R&D, new product launches, expansion in distribution channels to stand out as strong competitors in the market. Global Railway Management System Market is a fragmented market with the presence of various global and regional players in the market. The major players include Alstom SA, Cisco Systems Inc., General Electric, ABB Limited, and IBM Corporation. Other key players in the market include Hitachi Limited, Huawei Technologies Co. Ltd, Indra Sistemas SA, Siemens AG, and Alcatel-Lucent.
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