Input: Money coming for smart transport

Input report summary

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Despite ongoing budget shortfalls for state and local governments, spending on technologies to improve local transportation will continue to grow, according to a new report from market research firm Input.

Increased spending on intelligent transportation systems will be the source of much of the expected increase from $1.8 billion in fiscal 2005 to $2.5 billion in fiscal 2009.

Although that money will come from budgets in many jurisdictions, the federal policies and funding to support a more coordinated and integrated national plan for highway technologies will be critical, according to the report.

"A steady influx of federal funding, driven by the need to address our nation's crowded highways, will ensure that the market has a continual infusion of capital to help drive key initiatives across state and local jurisdictions," said James Krouse, manager of state and local market analysis at Input, in a statement.

The primary area of investment will be on dedicated short-range communications, according to the report.

A combination of wireless and radio frequency identification technologies, dedicated short-range communications is the technology at the center of many "smart" highway initiatives, such as real-time traffic and weather updates. It is already being tested across the country as a replacement for current automated toll systems, such as E-ZPass in the Northeast.


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