Press Release

Frost & Sullivan Announce Study of Intelligent Transport Systems Market

12/05/96

Driving Out of Gridlock With Intelligent Transportation Systems

MOUNTAIN VIEW, Calif., Dec. 2 -- This morning, 88 percent
of all U.S.  workers will get into their cars and cause the morning
nightmare known as gridlock. As 76 percent of the driving public sits
alone in their cars, only 12 percent of the working population is
using the carpool lane and only 5 percent is using public
transportation.

According to recent strategic research conducted by Frost & Sullivan,
U.S. Intelligent Transportation Systems Market, traffic congestion has
reached an all-time high, and is adding to the wastage of gasoline and
increasing air pollution. Intelligent transportation systems (ITS) are
new technologies that promise to provide an efficient answer to the
problems that plague the daily commute.  ITS could preserve existing
roads while increasing their capacity, reduce toxic emissions by
encouraging public transportation and reduce fuel consumption.

ITS has five segments that have been identified by the government as
ways to reduce traffic congestion: Advanced Public Transportation
Systems (APTS), Advanced Traffic Management Systems (ATMS), Advanced
Traveler Information Systems (ATIS), Advanced Vehicle Control Systems
(AVCS), and Commercial Vehicle Operations (CVO).

Such specialized segments are intended to cover and establish certain
companies within the industry. "In the more consumer-oriented ITS
segments, technological developments will be geared primarily at
improving system capabilities and user-friendliness," says ground
transportation analyst Inge Matthey.

An important issue that is on the minds of manufacturers is product
liability. For instance, the ATIS market has a map display that is
located on the dashboard which could distract to the driver and cause
an accident.  Voice-prompted systems are a safer bet because there are
no buttons to push and eyes will not be averted from the road.

AVCS uses a radar and sensor system that can detect pedestrians around
vehicles and buses. Car companies like BMW has a system that aids
drivers in parking their car by using a sensor and sound system. Night
vision and cooperative cruise control are still in the testing stages
and liability possibilities are still being examined.

Alternative travel methods, like buses and trains, have been a hard
sell for the APTS market. Some of APTS's goals are to increase
awareness of the locations of these stations, as well as to make the
entrances and exits of these stations easily accessible to the public.

Advanced traffic management systems (ATMS) collects data on the flow
of vehicle traffic through sensors and close circuited television
(CCTV). This system is used to keep commuters informed of traffic
problems and to distribute information to set the metering lights
during peak traffic flow periods.

The commercial vehicle operation (CVO) segment is growing because of
an government-identified need to protect the national highways. Also,
trucking fleets are implementing ITS technologies because of their
user-friendly nature.

The companies participating in this market include: 3M Traffic Control
Systems, AirTouch Communications/ISC, American Electronic Sign,
American Mobile Satellite Corp., American Signal, Amerigon, Inc.,
Amtech Corp., Apogee Research, Inc., AT&T IVHS Communications Systems,
AT/Comm, Inc., ATX Research, Auto-Trac, B&B Electromatic, Battelle
Memorial Institute, Bell Atlantic NYNEX Mobile Systems, BMW of North
America, Inc. , Burle Industries, Inc., Calspan Corp., Chrysler Corp.,
Coastcom, Cohu, Inc., Southern California Rideshare, ComRoad, Cylink
Corp., Daktronics, Inc., Datumtech Corp., Delco Electronics Corp.,
Denso International America, Inc., Eaton VORAD Technologies, Econolite
Control Products, ElectroCom Communication Systems, Electronic Data
Systems, HRB Systems, Inc., Ford Motor Company, Galaxy Microsystems,
GEC Marconi Transport Systems, General Motors Corp., H.E. Microwave,
Concurrent Computer Corporation, HighwayMaster, Honda of North America
Inc., Honeywell, Inc., Hughes Aircraft Co., Howard Industries, Image
Sensing Systems, Inc., International Road Dynamics, Inc., JHK &
Associates, Kiewit Network Technologies, Lockheed Martin Corporation,
Loral Space and Communications., Louis Berger & Associates, Inc., Mark
IV Industries Ltd., MATRIX Corp., Megadyne, Mettler-Toledo, Inc., MFS
Network Technologies, Microwave Sensors, Inc., Mitsubishi Motors
Manufacturing of America, Mobile Systems Integration, Motorola, Inc.,
Multisystems, Inc., Nissan Motor Corp. U.S.A., Northrop Grumman
Corporation, Orbital Sciences Corporation, Oracle Corporation, PAT
Traffic Control Corp., PEEK Traffic Corp., Pioneer Electronics USA,
Inc., Prince Corporation, QUALCOMM, Inc., Rockwell International
Corp., Schwartz Electro-Optics, Inc., Solar Technology, Inc, Siemens
Automotive, Siemens-Plessey, Sony Electronics, Tapeswitch Corp.,
Tidewater Consultants, Inc., Toyota Motor Manufacturing U.S.A., Inc.,
Traffic Sensor Corp., Transportation Management Solutions (TMS),
Trimble Navigation, Ltd., TRW, Inc., Vaisala, Inc., Visolux/Sensor
Technology, Inc., Wanco, Inc., Westinghouse Electric Corp., X-cyte,
Inc., Zexel Technologies, Inc.

Frost & Sullivan is an international marketing consulting company that
monitors the ground transportation industry for market trends, market
measurements, and strategies. This ongoing research is utilized to
update a series of research publications such as #5186-18 U.S.
Intelligent Transportation System Markets and to support industry
participants with customized consulting needs. Free executive
summaries of all Frost & Sullivan reports are available to the
press. Report: #5575-18 Publish Date: December 1996 Price: $3900