IoT in Railways Market - Forecast(2024 - 2030)

Report Code: ATR 10010 Report Format: PDF + Excel

IoT in Railways Market Overview:

IoT in Railways Market size is estimated to reach $50.58 billion by 2030, growing at a CAGR of 9.1% during the forecast period 2023-2030. The demand for IoT in the railways market is expected to witness significant growth due to the increasing usage of internet-connected technologies to enhance safety, efficiency, and passenger experience in the modern railway industry.

With the adoption of wireless connectivity, ethernet switches, and digital signage within the rail industry, the need for offering modernized and optimized passenger experiences have been also catering to the market demand for connected rail systems. In addition, the growing adoption of communication-based train control for automating traffic management and infrastructure control along with governmental initiatives towards increasing rail connectivity and operational efficiency of train operations is assisting its market growth.

Market Snapshot:

IoT in Railways Market - Report Coverage:

The “Iot in Railways Market Report - Forecast (2023-2030)” by IndustryARC, covers an in-depth analysis of the following segments in the IoT in Railways Market.



By Application Type

  • Train Tracking and Monitoring

  • Operations

  • Predictive Maintenance

  • Passenger Information System

  • Passenger Services and Mobility

  • Fair Collection System

  • Security

By Asset Type

  • Linear Asset

  • Rolling Stock

  • Diesel Locomotive

  • Electric Locomotive

  • DMU

  • EMU

  • Light rail/Tram Car

  • Subway/Metro Vehicle

  • Passenger Coach

  • Freight Wagon

By Train Service

  • Freight

  • High Speed

  • Industrial

  • Light Rail

  • Metro

  • Main Line

By Customer Type

  • Original Equipment Manufactures

  • Rail Operators

  • Rail Service Providers

By Geography

  • North America (U.S., Canada and Mexico)

  • Europe (Germany, France, UK, Italy, Spain, Russia and Rest of Europe),

  • Asia-Pacific (China, Japan, South Korea, India, Australia & New Zealand and Rest of Asia-Pacific),

  • South America (Brazil, Argentina, Chile, Colombia and Rest of South America)

  • Rest of the World (Middle East and Africa).

COVID-19 / Ukraine Crisis - Impact Analysis:

· COVID-19 caused regular railway operations to be interrupted, leading railway traffic profits to plummet. The epidemic has compelled train operators, particularly metros, to adhere to safety standards such as keeping social distance and wearing masks. With nations opening up and demand for both passenger and freight transportation beginning to revive, train operators must prepare for long-term profitability and success in the post-pandemic world. Technology-driven innovation is quickly becoming a must for corporate survival.

· The conflict between Russia and Ukraine could lead to an increase in cyberattacks, including attacks on IoT communications; communication networks could be disrupted, affecting the ability to gather and transmit data from IoT devices. This could impact the real-time monitoring of infrastructure and equipment. IoT devices, if not properly secured, could be vulnerable to cyberattacks. A crisis might lead to an increased risk of cyberattacks on railway systems, potentially disrupting operations or compromising safety. Additionally, the supply-chain disruptions caused by the conflict could worsen the electronics chip shortage and rising energy prices could cause higher inflation and lower demand for IoT solutions, which could further impact the market.

Key Takeaways:

€ Europe region held the largest share

Europe is the dominating region as it held the largest market share in 2022 up to 36% in IoT in railway market. Digital transformation initiatives, cross-border connectivity, focus on smart infrastructure, interoperability standards, high-speed rail, passenger experience enhancement, freight management, environmental sustainability, research, and innovation funding, are the major factors that have driven the adoption of IoT in the European railways industry. The developed economy of Western Europe, such as the UK, France, and Germany have well-established and advanced rail networks, and these rail infrastructures are consistently upgraded and modernized with more investment and funding by the government.

€ IoT for Train Tracking and Monitoring Systems is Leading the Market

IoT (Internet of Things) has transformed various industries, including railways, by enabling efficient tracking, monitoring, and management of assets. It automates real-time monitoring of equipment by using smart sensors and machine vision cameras and controls to gather data from tracks, locomotives, trains, and equipment. With edge computing, data is analyzed

close to where it is collected in near-real time, and alerts can be triggered if issues are detected. IoT-based train tracking and monitoring systems have gained prominence in real-time tracking and safety enhancement as it has been very useful for loco pilots in avoiding accidents and ensuring the safety of the passengers.

€ IoT for High-Speed Trains is Expected to Witness the Highest growth

There's been growing interest in using IoT technologies to enhance the efficiency, safety, and passenger experience in high-speed trains. The Internet of things (IoT), a new generation of application infrastructure and strategic developing technologies, will unavoidably be included in the rapid development of high-speed railways. Compared to conventional rail and road choices, high-speed railroads offer a speedier form of transportation. Because they shorten the distance between cities, they are attractive to both business and leisure travelers. Using IoT in high-speed railways can efficiently handle congestion and overcrowding, which create operational inefficiencies.

€ Increasing Need for Operational Efficiency in Railways

The increasing need for operational efficiency in railways is driven by various factors that influence the industry's performance, effectiveness, and sustainability. Urbanization, congestion and capacity constraints, travel times, cost management, competitiveness, and environmental sustainability are driving the need for operation efficiency in railways. Using deep learning and AI through computer vision, sensors, and smart cameras can efficiently manage overcrowding, congestion, and downtime.

· High initial cost of deployment in the installation of IoT in railways

The initial cost of implementing IoT solutions in railways is high. Expenses associated with financing a smart railway project may be a major factor limiting market growth. Sensor deployment and maintenance, data management and analytics, communication infrastructure, integration, cybersecurity concerns, and workforce training with rising upfront installation costs, are barriers to the widespread adoption of IoT in the railways. The limited railway budgets are a barrier to the deployment of advanced railway technologies. Initial significant investment to install ground-level devices, arrange transmission networks between end users, and manage the integration of new and existing systems within railway premises, as well as the predictive maintenance cost, is hampering the growth of this market.

IoT in Railways Market Share (%) By Region, 2022

Key Market Players: 

Product/Service launches, approvals, patents and events, acquisitions, partnerships and collaborations are key strategies adopted by players in the IoT in Railways Market. The top 10 companies in this industry are listed below Alstom
  1.  Hitachi

  2.  Cisco

  3.  Wabtech

  4. Siemens

  5. IBM

  6.  Huawei

  7. Honeywell

  8. ABB

  9. Toshiba

Scope of Report: 

                    Report Metric


Base Year Considered


Forecast Period




Market Size in 2030

$50.58 billion

Segments Covered

Application Type, Asset Type, Train Service, Customer Type, and Region


Geographies Covered

North America (U.S., Canada and Mexico), Europe (Germany, France, UK, Italy, Spain, Russia and Rest of Europe), Asia-Pacific (China, Japan, South Korea, India, Australia, New Zealand and Rest of Asia-Pacific), South America (Brazil, Argentina, Chile, Colombia and Rest of South America), Rest of the World (Middle East and Africa).

Key Market Players

  1.  Alstom

  2.  Hitachi

  3.  Cisco

  4.  Wabtech

  5. Siemens

  6. IBM

  7.  Huawei

  8. Honeywell

  9. ABB

  10. Toshiba

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1. IoT in Railways Market- Overview
2. IoT in Railways Market- Executive Summary
3. IoT in Railways Market–Comparative Analysis 
    3.1. Company Benchmarking – Key Companies
    3.2. Financials Analysis–Key Companies
    3.3. Market Share Analysis- Key Companies
    3.4. Patent Analysis - Global
    3.5. Pricing Analysis–Average Pricing
4. IoT in Railways Market– Startup companies Scenario Premium
    4.1. Investments
    4.2. Revenue
    4.3. Venture Capital and Funding Scenario
5. IoT in Railways Market– Industry Market Entry Scenario Premium
    5.1. Regulatory Framework Overview
    5.2. New Business and Ease of Doing business index
    5.3. Case studies of successful ventures
6. IoT in Railways Market - Forces
    6.1. Market Drivers
    6.2. Market Constraints & Challenges
    6.3. Porters five force model
        6.3.1. Bargaining power of suppliers
        6.3.2. Bargaining powers of customers
        6.3.3. Threat of new entrants
        6.3.4. Rivalry among existing players
        6.3.5. Threat of substitutes 
7. IoT in Railways Market- Strategic Analysis 
    7.1. Value Chain Analysis
    7.2. Opportunities Analysis
    7.3. Market Life Cycle Analysis
8. IoT in Railways Market- By Application Type
    8.1. Train Tracking and Monitoring
    8.2. Predictive Maintenance
    8.3. Passenger Information System
    8.4. Passenger Services and Mobility
    8.5. Fair Collection System
    8.6. Security
9. IoT in Railways Market- By Asset Type
    9.1. Linear Asset
    9.2. Rolling Stock
        9.2.1. Diesel Locomotive
        9.2.2. Electric Locomotive
        9.2.3. DMU
        9.2.4. EMU
        9.2.5. Light rail/Tram Car
        9.2.6. Subway/Metro Vehicle
        9.2.7. Passenger Coach
        9.2.8.Freight Wagon
10. IoT in Railways Market- By Train Service
    10.1. Freight
    10.2. High Speed
    10.3. Industrial
    10.4. Light Rail
    10.5. Metro
    10.6. Main line
11. IoT in Railways Market- By Customer Type
    11.1. Original Equipment Manufactures
    11.2. Rail Operators
    11.3. Rail Service Providers
12. IoT in Railways Market- By Geography
    12.1. North America
        12.1.1. U.S.
        12.1.2. Canada
        12.1.3. Mexico
    12.2.1. U.K.
        12.2.2. Germany
        12.2.3. France
        12.2.4. Italy
        12.2.5. Spain
        12.2.6. Russia
        12.2.7. Netherlands
        12.2.8. Rest of Europe
    12.3. Asia-Pacific
        12.3.1. China
        12.3.2. Japan
        12.3.3. South Korea
        12.3.4. India
        12.3.5. Australia
        12.3.6. Indonesia
        12.3.7. Malaysia
        12.3.8. Rest of Asia-Pacific
    12.4.  America
        12.4.1. Brazil
        12.4.2. Argentina
        12.4.3. Chile
        12.4.4. Colombia
        12.4.5. Others
    12.5. Rest of the World
        12.5.1. Middle East
        12.5.2. Africa
13. IoT in Railways Market – Entropy
14. IoT in Railways Market – Industry/Segment Competition Landscape Premium  
    14.1. Market Share Analysis
        14.1.1. Market Share by Region – Key companies
        14.1.2. Market Share by Countries – Key Companies
    14.2. Competition Matrix
    14.3. Best Practices for Companies
15. IoT in Railways Market– Key Company List by Country Premium
16. IoT in Railways Market Company Analysis (Overview, Financials, Developments, Product Portfolio)
    16.1. Alstom
    16.2. Hitachi
    16.3. Cisco
    16.4. Wabtech
    16.5. Siemens
    16.6. IBM
    16.7. Huawei
    16.8. Honeywell
    16.9. ABB
    16.10. Toshiba
    16.11. Others
*Financials would be provided on a best-efforts basis for private companies"
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The IoT in Railways Market is projected to grow at 9.1% CAGR during the forecast period 2023-2030.

Global IoT in Railways Market size is estimated to be $27.49 billion in 2023 and is projected to reach $50.58 billion by 2030.

The leading players in the IoT in Railways Market are Alstom, Hitachi, Cisco, Wabtech, Siemens, IBM, Huawei, Honeywell, ABB, Toshiba .

We can also expect advances in automation over the next few years as more railway companies adopt driverless trains equipped with AI-powered sensors that detect obstacles ahead of them and adjust their speed accordingly - helping keep passengers safe while reducing operational costs.

The expansion of high-speed railways, surging autonomous and IoT operations, and leading ecological integrity are the key factors expected to drive the growth of the market during the forecast period.