Introduction to land transportation

This technical annex to the WIPO Technology Trends Report on the Future of Transportation provides an in-depth examination of the technological landscape within the domain of land transportation. It is a deep dive analysis of global patenting trends in land transportation affording comprehensive insights into those innovations shaping the future of road and rail transport systems. Full details on the research methodology and different patent indicators used can be found in the Appendix to the report.

By exploring patent data, this annex identifies emerging technologies, key players and evolving trends impacting the development and enhancement of infrastructure, vehicle advancements, smart systems and sustainable transport solutions. The analysis extends to the interconnections between these technologies, assessing their potential to revolutionize mobility, improve efficiency and drive economic and environmental sustainability across the transportation sector.

This annex serves as a valuable resource for those stakeholders – including policymakers, industry leaders, researchers and innovators – seeking to understand the trajectory of technological advancements and their implications for the future of land transportation.

Overview of land transportation

Land transportation involves the movement of people, goods, and animals across the Earth's surface, primarily using road and rail networks. It encompasses various vehicles, including cars, buses, trucks and trains, and relies on infrastructure such as highways, urban roads, and railway tracks. This mode of transportation has evolved from early human and animal-powered methods to modern, technologically advanced systems, playing a crucial role in facilitating daily commutes, logistics and economic activities globally. (1)Encyclopedia Britannica (2024). Transportation: Technology. Available at: www.britannica.com/technology/transportation-technology.

Land transportation is indispensable for the overall transportation system due to its accessibility and integration with other modalities. Unlike air and sea transport, which require specific infrastructure like airports and seaports, land transport infrastructure is more widespread and integrated into daily life. This makes it crucial for providing last-mile connectivity, which is essential for both urban and rural areas. (2)Park, J. S., Y. J. Seo, and M. H. Ha (2019). The role of maritime, land, and air transportation in economic growth: Panel evidence from OECD and non-OECD countries. Research in Transportation Economics, 78, 100765. Thus, land transport often acts as a feeder to other modes of transportation according to the International Transport Forum. (3)ITF (2023). Key transport statistics 2023 (2022 data). International Transport Forum. Available at: www.itf-oecd.org/key-transport-statistics-2023-2022-data. For instance, goods transported by sea are typically moved to their final destination by trucks or trains. Similarly, passengers traveling by air or sea rely on land transportation for the first and last legs of their journey.

Land transportation plays a crucial role in global trade and passenger mobility, influencing both economic development and environmental sustainability. Freight activity is expected to grow significantly, with worldwide ton-kilometers projected to nearly double between 2019 and 2050 under the International Transport Forum’s (ITF) Current Ambition scenario. (4)The Current Ambition Scenario is a forecasting model or analytical framework based on existing policies, plans, and commitments, assuming no new major measures or targets are introduced. In contrast, the High Ambition Scenario assumes the introduction of stricter and more ambitious policies and actions to achieve outcomes far beyond current targets. This highlights an increasing demand for freight transport, driven by economic growth, particularly in emerging regions. Southeast Asia (SEA) and Sub-Saharan Africa (SSA) will see freight demand more than triple, and South and Southwest Asia (SSWA) will experience nearly a five-fold growth. (5)ITF Transport Outlook (2023). Regional, rural and urban development. Organisation for Economic Co-operation and Development. Available at: www.oecd.org/en/publications/itf-transport-outlook-2023_b6cc9ad5-en.html.

Freight transport's share of CO2 emissions is significant and expected to increase under current policies. In 2019, freight transport accounted for 46% of transport emissions. By 2050, under the Current Ambition scenario, freight emissions will constitute 61% of transport emissions, surpassing passenger transport emissions (Figure A2). Even under the ITF’s High Ambition scenario, where total emissions are reduced to 20% of 2019 levels, freight emissions will still account for a larger share than does passenger emissions. (6)ITF Transport Outlook (2023). Regional, rural and urban development. Organisation for Economic Co-operation and Development. Available at: www.oecd.org/en/publications/itf-transport-outlook-2023_b6cc9ad5-en.html.

On the other side, passenger transport demand is set to grow significantly by 2050. Under the Current Ambition scenario, global passenger-kilometers are projected to increase from around 61 trillion in 2019 to about 110 trillion in 2050, a growth of approximately 79% (Figure A3). Even under the High Ambition scenario, which includes more stringent decarbonization measures, passenger-kilometers are expected to reach approximately 102 trillion by 2050, indicating a 65% increase from 2019 levels. (7)ITF Transport Outlook (2023). Regional, rural and urban development. Organisation for Economic Co-operation and Development. Available at: www.oecd.org/en/publications/itf-transport-outlook-2023_b6cc9ad5-en.html.

Despite a growth in demand, CO2 emissions from passenger transport are projected to decrease, especially under the High Ambition scenario. By 2050, passenger transport emissions are expected to fall by 30% under the Current Ambition scenario. Under the High Ambition scenario, the reduction is even more significant, with emissions falling by 1,190 trillion tons of CO2 from 2019 levels, compared to a reduction of only 379 trillion tons of CO2 under the Current Ambition scenario. (8)ITF Transport Outlook (2023). Regional, rural and urban development. Organisation for Economic Co-operation and Development. Available at: www.oecd.org/en/publications/itf-transport-outlook-2023_b6cc9ad5-en.html.

Efforts to decarbonize the transport sector are critical for reducing emissions and achieving sustainable mobility. This includes adopting Sustainable propulsion, improving infrastructure and implementing policies that encourage the use of cleaner transport modes. Together, these measures will help create a more sustainable and efficient transportation system, capable of meeting future demands while minimizing environmental impacts, according to BCG (9)BCG (2024). Accelerating the shift to sustainable transport. Boston Consulting Group. Available at: www.bcg.com/publications/2024/accelerating-the-shift-to-sustainable-transport. and the International Energy Agency (IEA). (10)IEA (2023). Transport. International Energy Agency. Available at: www.iea.org/energy-system/transport.

Sustainability and Digitalization are both megatrends that play a vital role in transforming the future of land transport. The focus on sustainability drives innovation toward reducing CO2 emissions and promoting greener practices. Meanwhile, digitalization enhances operational efficiency through advancements in technology and data analytics, making transportation systems smarter and more adaptive to future challenges. According to the IEA, the transport sector accounts for nearly one-quarter of global energy-related CO2 emissions. Specifically, road travel, which includes both passenger vehicles and freight trucks, is responsible for approximately 75% of transport emissions. (11)IEA (2023). CO2 emissions in 2022. International Energy Agency. Available at: www.iea.org/reports/co2-emissions-in-2022.

The International Transport Forum (ITF) has highlighted the need for ambitious policies to achieve significant reductions in transport emissions, projecting that CO2 emissions from freight could be cut by 72% and from urban passenger transport by as much as 80% by 2050 with the right measures in place. (12)ITF Transportation Outlook (2023). Regional, rural and urban development. Organisation for Economic Co-operation and Development. Available at: www.oecd.org/en/publications/itf-transport-outlook-2023_b6cc9ad5-en.html. The International Council on Clean Transportation (ICCT) also emphasizes the potential of accelerating the transition to zero-emission vehicles (ZEVs) and implementing efficiency technologies for both light- and heavy-duty vehicles to achieve significant emission reductions​​. (13)ICCT (2023). Vision 2050: Strategies to align global road transport with well below 2°C. The International Council on Clean Transportation. Available at: https://theicct.org/publication/vision-2050-strategies-to-reduce-gap-for-global-road-transport-nov23. These commitments reflect a concerted effort by global organizations to address the climate impact of the transportation sector.

Digitalization is revolutionizing the land transport sector by driving significant advancements in efficiency, safety and customer experience. A key driver is the substantial increase in investment in technology, particularly post the COVID-19 pandemic, as companies allocate more resources to digital and tech initiatives. This surge in spending, which has seen tech investments rise by over 10% of market capitalization, underscores the strategic importance of digital transformation in maintaining a competitive edge (14)BCG (2022). What the data tells us about digital transformation, by industry. Boston Consulting Group. Available at: www.bcg.com/publications/2022/digital-transformation-efforts-report. Digital tools and technologies are streamlining operations, reducing costs and improving service delivery. For instance, operational cost reductions of up to 20% have been reported, showcasing the tangible benefits of adopting digital solutions. (15)McKinsey (2021). The new digital edge: Rethinking strategy for the postpandemic era. McKinsey Digital. Available at: www.mckinsey.com/capabilities/mckinsey-digital/our-insights/the-new-digital-edge-rethinking-strategy-for-the-postpandemic-era. Additionally, smart logistics solutions optimize supply chains, reducing waste and improving logistical efficiency by 40%. (16)Deloitte (2022). Transportation Trends 2022. Deloitte Development LLC. Available at: www2.deloitte.com/us/en/pages/public-sector/solutions/mobility-and-transportation.html.

Sustainable Propulsion technologies are transforming both passenger and freight transportation:

  • Battery electric vehicles (BEVs) are a cornerstone of Sustainable Propulsion, offering zero tailpipe emissions and significantly lower operating costs compared to internal combustion engines. The IEA's Global EV Outlook 2024 highlights that the adoption of BEVs is accelerating globally, driven by advancements in battery technology that improve range and reduce charging times. For passenger transport, this includes a wide array of electric cars and buses, while in the freight sector, electric trucks are becoming viable for urban deliveries and regional transport, thanks to their high efficiency and low maintenance costs​. (17)IEA (2024). Global EV Outlook 2024: Moving Towards Increased Affordability. International Energy Agency. Available at: www.iea.org/reports/global-ev-outlook-2024.

  • Hydrogen fuel cell vehicles (FCEVs) represent a promising solution for both passenger and freight transport, particularly for long distances and heavy-duty applications. FCEVs generate electricity through a chemical reaction between hydrogen and oxygen, emitting only water vapor. The U.S. National Blueprint for Transportation Decarbonization emphasizes that hydrogen fuel cells are ideal for applications requiring quick refueling and long ranges, such as long-haul trucks and buses. (18)DOE (2022). The U.S. National Blueprint for Transportation Decarbonization: A Joint Strategy to Transform Transportation. United States Department of Energy (DOE). Available at: www.energy.gov/eere/us-national-blueprint-transportation-decarbonization-joint-strategy-transform-transportation. This technology is crucial for reducing emissions within sectors where battery electric vehicles might not be practical, because of weight or range limitations​. (19)IEA (2023). World Energy Outlook 2023. International Energy Agency. Available at: www.iea.org/reports/world-energy-outlook-2023.

  • E-fuels, or synthetic fuels, are produced by combining hydrogen (generated through renewable energy sources) with captured carbon dioxide. These fuels can be used in existing internal combustion engines with minimal modifications, offering a pathway to reduce emissions from the current vehicle fleet. According to the IEA, e-fuels are particularly important for decarbonizing hard-to-electrify sectors such as aviation, maritime shipping and long-haul trucking. E-fuels provide a drop-in solution for reducing greenhouse gas emissions without requiring extensive new infrastructure. (20)IEA (2023). The Role of E-fuels in Decarbonising Transport. International Energy Agency. Available at: www.iea.org/reports/the-role-of-e-fuels-in-decarbonising-transport.

Automation and Circularity technologies are reshaping land transportation by promoting efficient material use, smart production and enhanced recycling practices. (21)EPA (2022). Building a Circular Economy for All: Progress Towards Transformative Change. Environmental Protection Agency. Available at: www.epa.gov/system/files/documents/2022-09/EPA_Circular_Economy_Progress_Report_Sept_2022.pdf.  (22)WEF (2021). How intelligent automation can power sustainable economies. World Economic Forum. Available at: www.weforum.org/agenda/2021/09/how-intelligent-automation-can-power-sustainable-economies.

  • Efficient material use is a key component of the circular economy, aiming to minimize waste and maximize resource efficiency. National strategies focusing on reducing material use, redesigning products for longevity and promoting sustainable practices across industries. (23)EPA (2022). Building a Circular Economy for All: Progress Towards Transformative Change. Environmental Protection Agency. Available at: www.epa.gov/system/files/documents/2022-09/EPA_Circular_Economy_Progress_Report_Sept_2022.pdf.  (24)European Commission (2022). Circular economy action plan. Available at: https://environment.ec.europa.eu/strategy/circular-economy-action-plan_en.  (25)EllenMacArthur Foundation (2024). The Circular Economy Opportunity for Urban and Industrial Innovation in China. Available at: www.ellenmacarthurfoundation.org/urban-and-industrial-innovation-in-china. Efficient material use involves adopting lightweight materials, utilizing advanced manufacturing techniques to reduce material waste and designing products for disassembly and recycling. These practices ensure that materials are used optimally throughout the product lifecycle, reducing environmental impact and conserving resources.

  • Smart production and robotics are transforming manufacturing processes by enhancing efficiency, precision and flexibility. Advances in Industry 4.0 technologies, such as the internet of things (IoT), machine learning and cyber-physical systems, are enabling autonomous production lines that can adapt to real-time data and optimize operations​. (26)Fragapane, G., D. Ivanov, M. Peron, F. Sgarbossa and J. O. Strandhagen, (2022). Increasing flexibility and productivity in Industry 4.0 production networks with autonomous mobile robots and smart intralogistics. Annals of operations research, 308(1), 125–143.  (27)Bain (2024). Artificial intelligence rockets to the top of the manufacturing priority list. Bain & Company. Available at: www.bain.com/insights/artificial-intelligence-rockets-to-the-top-of-the-manufacturing-priority-list-global-machinery-and-equipment-report-2024. Thus, smart production systems can significantly reduce waste, improve product quality and enable predictive maintenance, thereby extending the lifespan of machinery and equipment. Robotics play a crucial role in automating repetitive tasks, improving accuracy and reducing human error, all of which contribute to more sustainable manufacturing processes.

  • Recycling is a fundamental aspect of the circular economy, aiming to recover valuable materials from end-of-life products and reintroduce them into the production cycle. The World Economic Forum emphasizes the importance of intelligent automation in enhancing recycling processes such as sorting and processing recyclables more efficiently​. (28)WEF (2021). How intelligent automation can power sustainable economies. World Economic Forum. Available at: www.weforum.org/agenda/2021/09/how-intelligent-automation-can-power-sustainable-economies. Innovative technologies like AI and robotics are being used to improve the accuracy and efficiency of recycling operations, ensuring that more materials are recovered and reused. Additionally, national strategies and regulations are increasingly supporting the development of recycling infrastructure and promoting the use of recycled materials in new products. (29)EPA (2022). National Recycling Strategy. Environmental Protection Agency. Available at: www.epa.gov/circulareconomy/national-recycling-strategy.  (30)European Commission (2020). A New Circular Economy Action Plan for a Cleaner and More Competitive Europe. COM(2020) 98 final. Brussels: European Commission. Available at: https://eur-lex.europa.eu/legal-content/EN/TXT/?qid=1583933814386anduri=COM:2020:98:FIN.  (31)National Development and Reform Commission (2021). The National Development and Reform Commission on the Issuance Notice of the "14th Five-Year Plan" for the Development of Circular Economy. Development and Reform Environment [2021] No. 969. Available at: www.ndrc.gov.cn/xwdt/tzgg/202107/t20210707_1285530.html.

Communication and Security technologies paving the way for a new era in land transportation:

  • Advanced navigation systems are becoming increasingly essential for both passenger and freight transport. These systems leverage GPS technology, real-time traffic data and advanced routing algorithms to optimize travel routes, reduce travel times and improve fuel efficiency. Consulting reports from McKinsey emphasize that the integration of AI into navigation systems is transforming route planning by predicting traffic patterns and suggesting alternative routes in real-time, thereby enhancing the overall efficiency of transport operations. (32)McKinsey (2023). McKinsey Technology Trends Outlook 2024. McKinsey Digital. Available at: www.mckinsey.com/capabilities/mckinsey-digital/our-insights/the-top-trends-in-tech.

  • Sensor technologies play a critical role in enhancing the safety and efficiency of land transportation. Sensors are used for a variety of applications, including vehicle diagnostics, collision avoidance and autonomous driving. Bain's 2023 Technology Report highlights the rapid advancements in LIDAR, radar and camera systems that are crucial for developing reliable autonomous vehicles. (33)Bain (2023). Technology Report 2024: Technology Meets the Moment as AI Delivers Results. Bain & Company. Available at: www.bain.com/insights/topics/technology-report. These sensors provide real-time data that help vehicles detect and respond to obstacles, pedestrians and other vehicles, significantly reducing the risk of accidents and improving operational efficiency​.

  • The adoption of cloud computing and low-latency internet is revolutionizing how data are managed and utilized in land transportation. Cloud platforms enable the collection, storage and analysis of vast amounts of data from connected vehicles and infrastructure. According to BCG, low-latency internet, particularly through 5G networks, facilitates real-time communication between vehicles and traffic management systems. (34)BCG (2023). Accelerating the 5G economy in the US. Boston Consulting Group. Available at: www.bcg.com/publications/2023/accelerating-the-5g-economy-in-the-us. This connectivity is essential for applications like remote diagnostics, fleet management and autonomous vehicle operations, ensuring that data are processed quickly and actions taken promptly to enhance safety and efficiency​.

  • As land transportation becomes more digitalized, cybersecurity has become of paramount concern. Protecting transportation networks from cyber threats is essential to ensuring the safety and reliability of both passenger and freight transport. McKinsey's analysis points out that the rise in digital technologies has made transportation systems more vulnerable to cyberattacks, emphasizing the need for robust cybersecurity measures. (35)McKinsey (2023). McKinsey Technology Trends Outlook 2024. McKinsey Digital. Available at: www.mckinsey.com/capabilities/mckinsey-digital/our-insights/the-top-trends-in-tech. Such measures include encryption, secure communication protocols and continuous monitoring to detect and mitigate potential threats. Additionally, companies are increasingly investing in cybersecurity training and awareness programs to protect against human error. (36)UNECE (2020). UN Regulations on Cybersecurity and Software Updates to pave the way for mass roll out of ‎connected vehicles. United Nations Economic Commission for Europe. Available at: https://unece.org/sustainable-development/press/un-regulations-cybersecurity-and-software-updates-pave-way-mass-roll.

Advanced Human–Machine Interfaces (HMI) technologies are driving the evolution of land transportation by making interactions more intuitive, secure, and responsive, thereby improving operational efficiency and user experience.

  • Extended Reality (XR) technologies, including virtual reality (VR), augmented reality (AR) and mixed reality (MR), are significantly enhancing HMIs by providing immersive and interactive experiences. These technologies are particularly beneficial in automotive and freight sectors for training, maintenance and navigation, offering real-time data overlays and interactive simulations to improve operational efficiency and decision-making. XR applications help create detailed virtual environments that provide users with information-rich and contextually-detailed interactions. (37)MIT Technology Review (2023). The inevitable EV: 10 breakthrough technologies 2023. Available at: www.technologyreview.com/2023/01/09/1064889/the-inevitable-ev-10-breakthrough-technologies-2023.

  • Speech recognition technology is transforming HMIs by enabling hands-free control and communication with vehicles and machines. This technology allows for more natural and efficient interactions, by interpreting and responding to verbal commands. (38)Harvard Business Review (2019). Using voice interfaces to make products more inclusive. Available at: https://hbr.org/2019/05/using-voice-interfaces-to-make-products-more-inclusive. In the automotive sector, companies like Mercedes-Benz and BMW integrate advanced speech recognition systems into their vehicles so as to enhance user experience and safety, enabling drivers to control navigation, climate and infotainment systems through voice commands. (39)The Verge (2024). Mercedes-Benz’s best-in-class voice assistant is getting an AI boost. Available at: www.theverge.com/2024/1/9/24028012/mercedes-benz-mbux-voice-assistant-ai-llm-mbos-ces.

  • Facial recognition technology enhances security and personalization by identifying and verifying individuals based on their facial features. This technology is used in vehicles for driver authentication, ensuring that only authorized users can start the vehicle, and for monitoring driver attentiveness, thereby improving safety. Companies such as Continental are incorporating facial recognition systems in order to bolster vehicle security and enhance driver monitoring capabilities. (40)Continental AG (2023). World first: Continental integrates face authentication invisibly behind driver display console. Available at: www.continental.com/en/press/press-releases/20240110-face-authentication-display.

  • Touch displays and data gloves represent significant advancements in tactile HMIs. Touch displays are widely used in vehicle infotainment systems, providing intuitive and direct interaction with digital interfaces. Data gloves equipped with sensors allow users to control machines through gestures, offering precise control in virtual environments and robotic systems. These technologies are particularly useful for enhancing user interaction in modern vehicles and complex industrial applications. (41)Tashakori, A., Z. Jiang, A. Servati et al. (2024). Capturing complex hand movements and object interactions using machine learning-powered stretchable smart textile gloves. Nature Machine Intelligence, 6, 106–118. DOI: https://doi.org/10.1038/s42256-023-00780-9.

To further understand the technological advancements driving these innovations, the next chapter will dive into the patent data for these technologies, highlighting key developments and trends in the field. This analysis will provide insights into the proprietary innovations shaping the future of land transportation.