NXP and IBM Announce Results of Landmark Road Pricing Trial

Netherlands trial demonstrates how advanced road pricing technology can incentivize drivers to change their behavior and reduce traffic congestion

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IBM

Feb 25, 2010, 07:14 ET

EINDHOVEN, Netherlands, Feb. 25 /PRNewswire-FirstCall/ -- NXP Semiconductors and IBM (NYSE: IBM) today announced the final results of a landmark road pricing trial conducted in the Netherlands, which demonstrated that with the help of technology, drivers can be motivated to change their driving behavior, reducing traffic congestion and contributing to a greener environment. The six-month road pricing trial, conducted in the city of Eindhoven, was designed to provide the Dutch government with insights to address the challenge of traffic congestion in the Netherlands. The test was overwhelmingly successful, with 70 percent of drivers changing their behavior to avoid rush-hour travel when presented with the right incentives, demonstrating that road pricing systems can have a positive effect on driving habits and help alleviate traffic.

(Logo: http://www.newscom.com/cgi-bin/prnh/20090416/IBMLOGO)

"The test has vastly exceeded our expectations," said Maurice Geraets, senior director, NXP Semiconductors. "Together, NXP and IBM have logged more than 200,000 test kilometers as part of the trial, and the complete system has proven to be highly reliable. The technology is ready to charge car owners fairly for the use of the car based on road type, time of day and the environmental characteristics of the car, and to give effective feedback to drivers to influence their behavior – helping them save money and make more efficient, greener driving choices on a daily basis. Further, the Eindhoven trial has demonstrated that our technology is ready for implementation in any large-scale traffic management program."

"The results of our GPS based solution in Eindhoven show that nation wide implementation of road user charging is feasible. Already successful IBM implementations of congestion charging schemes in Stockholm, Brisbane, Singapore and London are now also achievable with GPS which makes country wide implementations possible for millions of cars," said Eric-Mark Huitema, mobility executive at IBM. "Smart traffic and transportation systems have tremendous potential to reduce traffic congestion, contribute to a cleaner environment with reduced carbon dioxide and small particles emissions."

Key findings of the trial included:

70 percent of drivers improved their driving behavior by avoiding rush-hour traffic and using highways instead of local roads.
On average, these drivers in the trial saw an improvement of more than 16 percent in average cost per kilometer.
A clear system of incentives is critical to changing driving behavior.
Instant feedback provided via an On-Board Unit display on the price of the road chosen and total charges for the trip is essential to maximizing the change in behavior.

The Netherlands Road Pricing Trial in Context

The Netherlands will be introducing a new road-use charge starting in 2012 for trucks and lorries, and 2013 for passenger cars. The new road pricing system – Paying differently for mobility (Anders Betalen voor Mobiliteit) – is expected to be up and running nationwide by 2016.

Many EU countries are now in the process of exploring road pricing programs as one of the measures to reduce congestion and CO2 emissions. In the Netherlands, once fully implemented, the Price per Kilometer (De kilometerprijs) system is expected to achieve the following benefits*(1)

A 58 percent reduction in delays caused by traffic jams;
A 15 percent reduction in the total number of kilometers driven annually;
A 10 percent reduction in CO2 emissions;
A 6 percent increase in total passenger kilometers via public transportation;
More than 50 percent of Dutch households will pay less than they do currently for the motor vehicle tax and vehicle purchase tax.

About IBM

For more information on IBM, go to:

http://www.ibm.com/ibm/ideasfromibm/us/smartplanet/topics/traffic/20081201/index.shtml

About NXP Semiconductors

NXP Semiconductors provides High Performance Mixed Signal and Standard Product solutions that leverage its leading RF, Analog, Power, Digital Processing and manufacturing expertise. These innovations are used in a wide range of automotive, industrial, consumer, lighting, medical, computing and identification applications. Headquartered in Europe, the company has about 29,000 employees working in more than 30 countries and posted sales of USD 5.4 billion in 2008. News from NXP is located at www.nxp.com.

Forward-looking Statements

This release may contain certain forward-looking statements with respect to the financial condition, results of operations and business of NXP and certain plans and objectives of NXP with respect to these items. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future and there are many factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements.

(1) resource: www.kilometerprijs.nl

For further press information, please contact:
Jelmer Letterie
IBM Corporate Communications
+316-204 339 83
[email protected]

NXP Netherlands:
Martijn van der Linden
PR & Communications Manager
+31 61 091 4896
[email protected]