Mobility as a Service Market Trends

Growth Drivers

• Upsurge in the Number of Connected Vehicles – with the surge in 5G and the internet of things (IoT). Continuous growth of vehicles becoming more and more connected is expected to propel mobility as a service market in the forecasted period, as mobility is becoming more data driven these days. It was found that, globally, more than 47 million connected cars were sold in 2020, and the number grew by 20% in 2021.
• Rising Adoption of Bicycle-Sharing System – As per a data of 2020, 360 Chinese cities had dockless bike-sharing systems, concluding 47 million trips each day on an average.
• Increasing Adoption of Mobility as a Service – for instance, in September 2019, Berlin's public transport authority Berliner Verkehrsbetriebe (BVG) launched world’s first large scale and city owned project "Jelbi", marking continued development of Mobility as a Service. It is estimated that, MaaS will lead to a commuter time saving equal to 2.7 days per MaaS user per year by 2027, as it will provide much-improved routes and travel options as well as aid in reducing road congestion.
• Growing Number of Autonomous Vehicles – For instance, it is projected that by 2040, there will be more than 30 million autonomous vehicles on the road.
• Increasing Automotive Pollution – According to the 2021 data, vehicle contributes 290 gigagrams of PM2.5 annually in India.

Challenges

• Deficit of Wireless Connection - Mobility service entails connecting to the vehicle via wireless network with internet connectivity of 5G and 4G LTE connection with high-speed broadband over smart phones. However, a lack of connectivity is owing to cause problems connecting for mobility, resulting in a reduction in market growth.
• Dependency on Respective Governments and their Policies
• Concern about Data Privacy