Digitalisation Drives Europe’s $3.1 Billion Smart Transportation Market Toward $6.9 Billion by 2035

Published: Jan 2026

European smart transportation market stood at $3.1 billion in 2025 and is expected to grow to $6.9 billion by 2035, registering a CAGR of 8.0% from 2026 to 2035. Digital technologies are now central to the transformation of Europe’s transport landscape. The European Union has defined the digitalisation of mobility as a core element of its long?term policy to make transport cleaner, safer, more efficient, and resilient. Key technologies such as artificial intelligence, the Internet of Things, cloud and edge computing, and 5G networks are enabling connected mobility solutions that improve traffic management, multimodal coordination, and real?time service delivery across road, rail, air, and maritime sectors. The EU’s Sustainable and Smart Mobility Strategy positions digitalisation as essential for achieving major transport goals, including safety and sustainability targets. Digital platforms also enable services like Mobility as a Service, integrating ticketing, routing, and multimodal travel options for users.

Browse the full report description of “European Smart Transportation Market Size, Share & Trends Analysis Report by Transportation Mode (Railways, Airways, Roadways, and Maritime), by Application (Ticketing Management System, Parking Management System, Traffic Management System, and Others) Forecast Period 2026-2035” at https://www.omrglobal.com/industry-reports/europe-smart-transportation-market

European Union initiatives and investments are producing tangible improvements on the ground. For example, the Connecting Europe Facility (CEF) has committed over €7?billion to sustainable, safe, and smart transport infrastructure, supporting interoperability across Europe’s transport networks. The revised Intelligent Transport Systems (ITS) Directive, adopted in November 2023, requires interoperable digital services and standardized data sharing to support real?time traffic and multimodal travel information. These initiatives, including the February 2025 ERTICO–ITS Europe and ITS Germany MOU on AI integration, demonstrate strong regulatory backing and targeted investments advancing smarter transportation across Europe.

Key Partnerships and Technology Deployments Advance Europe’s Smart Transportation Market

  • In December 2025, Seyond partnered with Swedish ITS company Aventi Sweden in a $2.6 million project, marking a key commercial milestone in Europe. Seyond's ITS Management Platform (SIMPL) will be integrated into Aventi's infrastructure and deployed at major traffic intersections in Sweden to support urban intelligent transportation applications.
  • In July 2025, Verra Mobility Corporation partnered with Sixt to provide an electronic toll payment solution for rental cars in six major Italian cities: Milano, Roma, Firenze, Venezia, Bergamo, and Bologna.
  • In November 2024, CEOs of six COOPANS ANSPs launched the next phase of European ATM modernization at Thales HQ, France, introducing the TopSky-ATC One system upgrade. This upgrade enhances air traffic management with advanced features for faster coordination, precise decision-making, and increased flight handling.

Market Coverage

  • The market number available for – 2025-2035
  • Base year- 2025
  • Forecast period- 2026-2035
  • Segment Covered-
    • Transportation Mode
    • Application
  • Competitive Landscape – ABB Ltd., Alstom SA, Hitachi Ltd., Siemens AG, Thales Group SA, among others.

Key questions addressed by the report.

  • What is the market growth rate?
  • Which segment and region dominate the market in the base year?
  • Which segment and region will project the fastest growth in the market?
  • Who is the leader in the market?
  • How are players addressing challenges to sustain growth?
  • Where is the investment opportunity?

European Smart Transportation Market Report Segment

By Transportation Mode

  • Railways
  • Airways
  • Roadways
  • Maritime

By Application

  • Ticketing Management System
  • Parking Management System
  • Traffic Management System
  • Others

European Smart Transportation Market Report Segment by Country

  • UK
  • Germany
  • Italy
  • Spain
  • France
  • Russia
  • Rest of Europe

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