Challenges for ICT business development in intelligent transport systems

Intelligent Transportation Systems (ITS) are a product of convergence of Information and Communication Technology (ICT) and transport industries, with an aim to improve safety, mobility and efficiency of transportation. Ubiquitous, fast and inexpensive wireless communication and increasing vehicle computation, storage and sensing capabilities, are technological enablers for ITS. Notwithstanding technological maturity, the real challenge rises from the change the ITS market brings to the business of ICT players, as development of ITS services requires cooperation of multiple actors across industries. For ICT players, this signifies a departure from rigid telecom-era business models to a more networked structure of collaboration with other players. In this paper, we identify key business challenges that ICT players face in ITS market, by analysis of two ITS use cases.

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