Trends Reshaping Urban Transportation

Accelerating urban migration—projected to push 60% of the global population into cities by 2030(1) —and sudden visitor surges from major public events are placing greater strain on urban transit networks. U.S. drivers lost an average of 43 hours to congestion in 2024(2), at an aggregate annual cost of $74 billion.

These demands will continue to grow. The Organization for Economic Co-operation and Development (OECD) projects that demand for public transport will double by 2050(1), requiring transportation systems to move more people while reducing the environmental impact — often on infrastructure that was not designed for either challenge.

McKinsey & Company – Government can deliver exceptional customer experiences (2023)

INRX 2024 Global Traffic Scorecard
By 2036, it’s expected that autonomous vehicles will account for 45% of total passenger miles, as private cars and traditional buses are replaced by more efficient, more affordable and more sustainable options such robo-taxis and autonomous shuttles.

Walking or cycling
Private car
Bus
Train
Walking or cycling
Private car
Robo-taxi
Autonomous shuttle
Train

“
The economic impact of autonomous travel is estimated at $800 billion by 2036”
McKinsey & Company – Getting beyond gridlock in cities 2019
The annual cost of roadway accidents to communities is estimated at $800 billion per year. (1)

Roadway fatalities in the US remain high, with around 40,000 deaths per year (1).

The population size and economic activities of our cities equates to two-thirds of our global energy consumption and 70% of greenhouse gas emissions.

Over the past 30 years the frequency of weather and climate disasters has increased steadily, resulting in growing fatalities and generating billions of dollars in property losses. In 2024 alone, 27 weather and climate disasters resulted in 568 fatalities and $183 billion in cost to the community. (2)

NHTSA 2023

NOAA’s National Centers for Environmental Information: Billion-Dollar Weather and Climate Disasters report

Accelerating urban migration—projected to push 60% of the global population into cities by 2030(1) —and sudden visitor surges from major public events are placing greater strain on urban transit networks. U.S. drivers lost an average of 43 hours to congestion in 2024(2), at an aggregate annual cost of $74 billion.

These demands will continue to grow. The Organization for Economic Co-operation and Development (OECD) projects that demand for public transport will double by 2050(1), requiring transportation systems to move more people while reducing the environmental impact — often on infrastructure that was not designed for either challenge.

McKinsey & Company – Government can deliver exceptional customer experiences (2023), Getting beyond the gridlock in cities (2019), “smart Roads: Paving the path to a digital Future”
INRX 2025 Global Traffic Scorecard
NOAA’s National centers for environmental information 2024 billion-dollars disaster analysis

Migration continues to surge as citizens seek hybrid work benefits and urban cultural activities

Urban Center Expansion

60%

of world population in cities by 2030 (1)

$74B

Annual U.S. congestion cost in 2024
(43 hours lost per driver annually) (2)

70%

of greenhouse gas emissions come from Cities (3)

Increased Strain on Public Transport

Demand for public transport by 2050 (OECD) (1)

dropped in telecommuting in the US with largest drop in city like San Jose 30% or San Francisco 24% (2)

The rapid adoption of multimodal transit, e-commerce, connected devices, and new mobility services is changing both how people and goods move through cities and what an urban transportation infrastructure must handle. As more vehicles, devices, and transportation systems become connected, agencies need the infrastructure to securely connect, manage, and exchange data across a growing transportation ecosystem.

The scale of that shift is significant. An estimated 73 billion IoT devices are projected to be active by 2027, while autonomous fleets could account for 25% of passenger miles by 2030(1). These emerging mobility models could deliver substantial economic value while helping municipalities reduce congestion and emissions.

But the transition also has financial implications. As fleet electrification and automated mobility reduce reliance on traditionally fueled private vehicles, transportation funding tied to fuel consumption will come under increasing pressure. Federal gas tax revenues are projected to fall 39% by 2035, creating greater urgency for alternative infrastructure funding models(2).

McKinsey & Company – Government can deliver exceptional customer experiences (2023), Getting beyond the gridlock in cities (2019), “smart Roads: Paving the path to a digital Future”
Deloitte - Transportation Trends

Urban population increasingly embrace eDelivery, multi-model rideshare, and autonomous vehicles

Increased Connectivity

$73B

IoT devices to be active by 2027, demanding innovative management tech (1)

New Mobility Paradigms

25%

of passenger miles done with AVs by 2030, delivering $800B+ in annual public benefit (1)

$1T

Shared mobility spending forecasted by 2030 (1)

39%

federal gas tax projected to drop by 2035 (2)

Transportation networks are facing compounding risks from deteriorating physical infrastructure, severe climate disruptions, and AI-enabled cyber threats. Aging roadways strain municipal budgets and affect public safety. For example, traffic fatalities in the U.S., alone claim nearly 40,000 lives annually(1). Extreme weather events can also disrupt transportation corridors and supply chains.

At the same time, bad actors are using AI to automate attacks and exploit connected mobility systems. As physical and digital transportation infrastructure become more interconnected, cities must strengthen both infrastructure resilience and cybersecurity to protect critical systems and maintain reliable transportation operations.

NHTSA 2023
NOAA’s National centers for environmental information 2024 billion-dollars disaster analysis
IBM Ponemon – Cost of Data Breach Report 2025

Demand for secure physical and digital environments across all transport modes

Aging Infrastructure

39%

of major US roads are rated poor or mediocre by ASCE

$800B

NHTSA estimates of annual costs of roadway accidents to communities including 40K fatalities per year

Increased Strain on Public Transport

$182B

NOAA disaster estimates for 2024 weather and climate events ($396B in 2017)(2)

Cybersecurity Threats

175%

Increase in phishing in transportation between 2023-2024(3)

Trends Reshaping Urban Transportation

By 2036, it’s expected that autonomous vehicles will account for 45% of total passenger miles, as private cars and traditional buses are replaced by more efficient, more affordable and more sustainable options such robo-taxis and autonomous shuttles.

Walking or cycling

Private car

Bus

Train

Walking or cycling

Private car

Robo-taxi

Autonomous shuttle

Train