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#Artificial Intelligence (AI) In Smart City Mobility Market Value Growth And Long-Term Outlook#_x000D_
The size of the artificial intelligence (AI) in smart city mobility market has experienced rapid expansion in recent years. It is forecast to increase from $7.54 billion in 2025 to $9.21 billion in 2026, achieving a compound annual growth rate (CAGR) of 22.2%. Historically, the market’s growth can be attributed to the proliferation of urbanization trends, escalating traffic congestion challenges, the early adoption of intelligent transport systems, the development of sensor-enabled city infrastructure, and growing investments in smart city pilot initiatives._x000D_
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The artificial intelligence (AI) in smart city mobility market is projected to experience rapid expansion over the coming years. Its valuation is anticipated to reach $20.72 billion in 2030, exhibiting a compound annual growth rate (CAGR) of 22.5%. This growth during the projection period is driven by several factors, including the expansion of autonomous and connected vehicle ecosystems, increased investments in smart mobility infrastructure, a rising need for low-emission urban transport solutions, greater integration of AI with urban planning instruments, and the proliferation of data-driven traffic management platforms. Key developments expected during this timeframe encompass the wider implementation of AI-driven traffic optimization systems, the increased uptake of smart public transit analytics, the growing incorporation of autonomous mobility platforms, the expansion of intelligent parking management solutions, and a heightened emphasis on real-time urban mobility insights._x000D_
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#Artificial Intelligence (AI) In Smart City Mobility Market Industry Drivers: What’s Behind The Revenue Growth?#_x000D_
The growing uptake of self-driving cars is anticipated to boost the expansion of AI in the smart city mobility market in the future. These vehicles utilize sophisticated systems, including sensors and artificial intelligence, to navigate and operate independently of human intervention. The increase in autonomous vehicle adoption stems from regulatory approvals and the expansion of commercial services, such as driverless ride-hailing in cities, which has led to greater public acceptance and usage. Within smart city mobility, AI offers vital infrastructure support through features like traffic prediction, real-time navigation, and connected vehicle data, facilitating the safe and efficient integration of autonomous vehicles into urban transport networks. As an illustration, figures from December 2023 by the Insurance Institute for Highway Safety (IIHS), a US-based non-profit organization, forecast around 3.5 billion global autonomous vehicle connections by 2025, climbing to 4.5 billion by 2030. Consequently, the expanding adoption of autonomous vehicles is projected to fuel the growth of AI in the smart city mobility market._x000D_
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#Artificial Intelligence (AI) In Smart City Mobility Market Segment Outlook: Which Categories Are Growing Fastest?#_x000D_
The artificial intelligence (AI) in smart city mobility market covered in this report is segmented – _x000D_
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1) By Component: Software; Hardware; Services_x000D_
2) By Deployment Mode: On-Premises; Cloud_x000D_
3) By Technology: Machine Learning And Deep Learning; Computer Vision; Sensor Fusion_x000D_
4) By Application: Traffic Management; Public Transportation; Parking Management; Autonomous Vehicles; Ride Sharing; Other Applications_x000D_
5) By End-User: Government; Transportation Agencies; Private Operators; Other End-Users_x000D_
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Subsegments:_x000D_
1) By Software: Traffic Analytics Platforms; Mobility Management Systems; Data Visualization Solutions; Predictive Analytics Tools; Route Optimization Software; Incident Detection Systems_x000D_
2) By Hardware: Traffic Sensors; Surveillance Cameras; Communication Devices; Edge Computing Units; Control Centers Equipment_x000D_
3) By Services: System Integration Services; Consulting Services; Maintenance And Support Services; Data Management Services; Deployment And Training Services; Managed Mobility Services_x000D_
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#Artificial Intelligence (AI) In Smart City Mobility Market Growth Trends: What’s Shaping The Future Outlook?_x000D_
Major companies in the artificial intelligence in smart city mobility market are concentrating on advanced software solutions for predictive maintenance, such as AI and vehicle-to-everything (V2X)-enabled intelligent traffic management systems. These systems provide a competitive edge by enabling real-time monitoring, early fault detection, and proactive upkeep of urban mobility infrastructure. AI and V2X involve the integration of artificial intelligence algorithms with vehicle-to-everything communication technologies, facilitating real-time data exchange between vehicles, infrastructure, pedestrians, and networks to optimize traffic operations and support predictive maintenance for smart city mobility systems. For instance, in October 2024, the DubAI Roads and Transport Authority, a UAE-based public transportation and mobility authority, introduced its V2X Network to enable real-time vehicle-to-infrastructure communication, thereby enhancing traffic safety and efficiency. This smart mobility initiative allows for real-time communication between vehicles and road infrastructure (Vehicle-to-Everything). It connects traffic signals with in-vehicle systems to deliver live updates like signal status, speed guidance, and road conditions. Utilizing this connected data, it helps to optimize traffic flow, reduce congestion, and improve travel time reliability across key corridors. The network additionally supports safer driving through timely alerts and improved intersection awareness._x000D_
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#Artificial Intelligence (AI) In Smart City Mobility Market Key Players Shaping Industry Direction#_x000D_
Major companies operating in the artificial intelligence (AI) in smart city mobility market are Metropolis Technologies Inc., Waymo LLC, Via Transportation Inc., EasyMile SAS, INRIX Inc., Optibus Ltd., May Mobility Inc., Smart Parking Limited, Swiftly Inc., Mundys S.p.A., NoTraffic Ltd., Zoox Inc., NextBillion.AI Pte. Ltd., GoodVision Labs s.r.o., Autofleet Inc., Valerann Ltd., GridMatrix Ltd., Videonetics Technology Private Limited, Watsoo Express Private Limited, Mobipar Inc., Beep Inc., TrafiXCT Ltd., Intozi Tech Private Limited, Surf Beyond Limited. _x000D_
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#Artificial Intelligence (AI) In Smart City Mobility Market Regional Analysis: Which Region Leads By Revenue?#_x000D_
North America was the largest region in the AI in smart city mobility market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (AI) in smart city mobility market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa._x000D_
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Wasay has over a decade of experience in market research, data modelling, and analytics, with prior experience at GlobalData and Decision Tree Consulting Services. At The Business Research Company , he leads research operations across syndicated studies, customized consulting engagements, and the Global Market Model platform. His professional experience includes supporting organizations such as Boston Consulting Group, KPMG, and Ernst & Young. Wasay holds a degree in Electronics and Communications Engineering, postgraduate management qualifications from International Management Institute Belgium and Indian School of Business and Entrepreneurship, and completed the Integrated Program in Business Analytics from Indian Institute of Management Indore.
