Future of AI

Fastest-Growing Sectors in AI: Transportation

July 5, 2022
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This is the third article in a series of three where we zoom in on the Healthcare, Retail, and Transportation sector and share insights on the sectors growing the most and which companies are leading in terms of investments in AI.

Image source: Walmart

In case you haven’t read the first two articles in this series, you can read about the Healthcare sector here and the Retail & Consumer Goods sector here.

In this article, we will explore the transportation sector and how investments in AI are changing the transportation landscape.

Insights & Key Numbers: Transportation

Transportation has undergone a reckoning in the context of the pandemic, but it’s also undergoing a reckoning with the rise of AI. From truck platooning and autonomous driving to human-machine interfaces. It’s become imperative for the transportation industry to use AI and data science to drive innovation and bottom-line results.

So how is transportation’s investment in AI teams reflecting their efforts to realize AI’s promise fully?  We have studied 298 transportation companies with a turnover higher than $1B per annum, accounting for over 11,000 AI professionals in the industry.

Month-to-Month AI team growth over the past six months in the healthcare sector. Based on the entire study.

Key numbers globally in the Transportation sector

- Companies in the Transport sector have an average of 38 AI team members. This is relatively small, indicating the sector has picked up momentum since the beginning of 2022.

- Regarding %-growth, transportation companies are growing 59% on average (Including companies that didn’t see any change and decreased total team size).

- Out of the 298 companies studied, 83 companies in the transportation sector have an initial AI team size above 20.

The top 10 companies hiring the most AI professionals range from transporting goods on land, at sea, in the air, and now in space. Not only is transportation a growing sector in AI, but in the latest release of the Top 100 Fastest-Growing AI Teams, we have seen three companies make it to the top 100 from the aerospace industry:

Together with Bell Flight, Collins Aerospace, and L3Harris from the top 100, as well as Boeing, Tesla, and Lockheed Martin, investments are put into AI to prepare for the next generation of transport, whether it is for defense, travel, or cargo purposes. The growth of these companies shows that the next generation of transportation will take place outside of our atmosphere.

The transportation sector also involves other industries indirectly, including the retail & consumer goods industry. From our top 100 list, companies like Walmart and PepsiCo can be found. The two companies own 12,000 trucks, respectively, and either has business units with their independent fleet of trucks or are owned through subsidiaries.

With the increasing presence of companies either in the transportation sector or businesses involved in transporting goods, these companies are investing heavily in AI to optimize their fleet efficiency. Pepsi, through its Winning with Purpose and Walmart with Walmart Advanced Vehicle Experience, both focus on sustainability while delivering more and driving fewer miles. To realize the promise of a greener supply chain, the high growth of new AI professionals hired could indicate the way to get there and sustain a competitive advantage.

Future Outlook in Transportation

The exceptional growth these companies are undergoing not only shows that these companies are likely to “win” AI in the long run but emulates well what the healthcare sector is forecasted to grow.   According to recent research, the global artificial intelligence in healthcare market size is expected to hit around US$ 187.95 billion by 2030 and expand at a CAGR of 37% from 2022 to 2030.

Throwback: The Fastest-Growing AI Teams

In retrospect, since our first release of the Top 100 Fastest-Growing AI Teams, we have seen companies from diverse industries making it to the top 100 list.  More than 2,500 companies are part of the study and come from a variety of industries/sectors, including - Technology  
- Finance, Insurance, Services  
- Healthcare  - Transportation  
- Retail & Consumer Goods
- Resources, Agriculture, Utilities  
- Other

You can see the companies that made it to the list in the latest version of the Top 100 Fastest-Growing AI Teams.

Our first study, released in April 2022, was featured in Forbes Magazine and Datanami. You can read the exclusive insights here:
Forbes: Top 100 Fastest-Growing AI Teams: Key Players, Exclusive Insights
Datanami: And the 100 Fastest-Growing AI Teams Are….

Sources:
- https://www.shareablee.com/blog/what-does-it-mean-to-win-with-purpose#:~:text=%22Winning%20with%20purpose%22%20is%20our,work%20on%20across%20the%20company.

- https://corporate.walmart.com/newsroom/sustainability/20140305/the-future-of-fleet-efficiency

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