Global Railcar IoT Digitization Revenues to Exceed US$20 Billion by 2032

The freight rail industry has been receiving significant investments to digitize operations. According to global technology intelligence firm ABI Research, revenues for rail car IoT in freight rail will surpass US$20 billion by 2032.

Vendors like Amsted Digital, Wabtec, Nexxiot, and ZTR are some of the emerging players in this space within North America. In addition to this, RailPulse, a coalition created by leading railcar owners in North America, including Class 1 and 2 railroads, lessors, and rail-car-owning shippers, with the goal of pushing rail digitization is also driving the adoption of digital solutions.

Unlike Europe, the North American market is notoriously underpenetrated when it comes to IoT-based visibility. North America presents a large Total Addressable Market (TAM) of nearly 2 million railcars. So far, machine vision and sensor-based inspection devices mounted on the side of the tracks, usually at rail-grade crossings, have been at the forefront.