Mobility-as-a-Service Market to Total $11 Billion by 2023

Juniper Research Ltd. forecasts that revenues from Mobility-as-a-Service (MaaS) platforms that integrate multi-modal transport options will balloon to more than $11 billion worldwide by 2023 from an estimated $100 million this year.

By then, the British firm predicts, more than 10 million people will be using MaaS, which allows users to search, book, coordinate and pay for multiple types of transportation from a single smartphone app. Options can include buses, subways, traditional taxis and car- and bike-sharing.

Growth is expected to be driven by technology advances, smart city initiatives, pilot programs, the potential for cost savings and regulatory pressures to reduce traffic congestion and air pollution, according to the company. Juniper forecasts that fuel cost savings from MaaS will jump from about $210 million this year to more than $32 billion in 2023.

The researchers list Daimler’s moovel unit and Finland’s MaaS Global’s Whim service as early leaders in the market. Ride-sourcing companies such as Uber, Lyft and DiDi Chuxing also are expanding into the business.