Mobility on Demand Market Could Top $275 Billion by 2025

Global sales for so-called mobility-on-demand (MoD) services are expected to grow nearly 20% per year to total about $276 billion by 2025, according to a new report by MarketsandMarkets.

The Pune, India-based research and consulting firm, says the increase will be driven by rising urbanization and declining vehicle ownership. It predicts that “e-hailing” will be the largest MoD service due to its convenience, fast pick-up times, tracking capabilities and affordable prices.

Asia-Pacific will be the largest regional MoD market, according to the report. The authors note that dense urban areas plagued by congestion and pollution make China, India and other emerging countries ripe for MoD. Favorable government policies toward electric vehicles and other enabling technologies also will help spur growth in the region.