Emerging Mobility Trends Transforming Urban Transportation

In a conversation with Asia Business Outlook Magazine, Shivaji shared his views on how emerging mobility trends, sustainability concerns, global urbanization, climate change, and 5G connectivity will shape the future of mobility and business operations. Shivaji is a seasoned strategy consultant with 20+ years of experience, specializing in areas such as new business models, economic development, infrastructure planning, and public policy. He provides strategic guidance to a wide range of clients worldwide, spanning USA, Latin America, Africa, and Asia.

How will emerging mobility trends and technologies transform traditional transportation and urban mobility?

In the coming years, innovative trends and technologies are set to revolutionize traditional transportation and urban mobility across the globe. The mobility sector will undergo a major transformation, with advancements in technology and evolving business models enabling rapid progress. Key developments, such as battery technology, hydrogen fuel cells, and autonomous vehicles, will transform the way people move around in cities, enabling greater sustainability, efficiency, personalization, and safety. Digitization of the entire ecosystem including the widespread adoption of Artificial Intelligence will pave the way for "Mobility-as-a-Service" (MaaS) providers, offering seamless, integrated transport solutions. Furthermore, the redesigning of urban infrastructure, such as the development of '15-minute cities,' where everything is within a 15-minute walk or bike ride, will encourage healthier, greener and more sustainable urban living and working conditions. Collectively, these emerging trends and technologies will have a transformative impact on urban mobility, addressing key challenges across the transport sector.

What strategies can businesses employ to address concerns around sustainability and environmental impact in their mobility initiatives?

Businesses operating in the mobility sector can take various steps to address sustainability and environmental concerns. Innovative strategies should be at the forefront of these initiatives, focusing on areas such as battery technology, autonomous vehicles, mobility materials, connectivity for mobility, data analytics and more. The adoption of these technologies can lead to significant reductions in greenhouse gas emissions and other harmful pollutants. In addition, businesses can create new models based on sustainable practices such as pay-per-use, Mobility-as-a-Service, data monetization, kerbside monetization, Demand-Responsive Transport (DRT), indoor and specialized mobility offerings. These models offer improved and more efficient services, reducing the environmental impact of traditional forms of mobility. By implementing sustainable practices and adopting innovative strategies, businesses can play a crucial role in addressing environmental concerns and promoting sustainability in the mobility sector.

How might global trends such as urbanization and climate change influence the trajectory of the mobility sector, and how can businesses respond?

Two major global trends, urbanization and climate change, are set to have a profound impact on the trajectory of the mobility sector, and businesses need to respond accordingly. The ongoing urbanization process, characterized by a shift towards urban living, is redefining the dynamics of mobility. In developed countries like the USA and Japan, there is a notable trend of people moving back towards vibrant downtowns, reversing the previous movement towards the suburbs. On the other hand, developing countries are experiencing rapid rural-to-urban migration, coupled with population growth, which puts immense pressure on existing urban mobility infrastructure. Failure to address this challenge will result in increased congestion, exacerbating climate change and pollution.

To tackle these challenges, governments worldwide are expected to play a crucial role in shaping the trajectory of urban mobility. They will implement a range of measures, including congestion taxes, carbon pricing, stricter regulations for polluting vehicles, and incentives to promote sustainable modes of transportation such as walking, cycling, and public transport. These regulations will influence the behaviour of businesses operating in the mobility sector.

Businesses, in turn, must respond by aligning their strategies with these regulations and societal shifts. They can do so by developing mobility offerings that adhere to sustainable practices and regulations. This may involve supporting flexible work models that reduce the need for daily commuting, implementing corporate mobility sharing programs to optimize vehicle usage, promoting circular economy practices in their operations, and actively managing and reducing business travel, particularly air travel. By adapting to these global trends, businesses can contribute to a more sustainable and resilient future for the mobility sector.

How might advancements in connectivity, such as 5G, influence the future of mobility and business operations?

The future of mobility will be highly digitized, responsive, and personalized. This will call for significant advancements in connectivity that ensures high speed and latency. This will apply to areas such as navigation, traffic monitoring and directing,command and control, safety systems, constant demand-driven rebalancing using hot zones, kerbside digitization. Going forward, vehicles will become Software Defined and new forms of in-car data and off-car data will gets monetized, enabled by profusion of various types of sensors. All such developments will call for significant advancements in connectivity.