Guidehouse Insights Explores Opportunities in Sustainability for As a Service Business Models in Transportation

XaaS can improve road safety and reduce congestion, provide mobility, and reduce resource requirements

BOULDER, Colo., Oct. 10, 2023 /PRNewswire/ -- A new report from Guidehouse Insights explores as a service (aaS) business models that have emerged in the transportation sector.

Everything as a service (XaaS) models are not a new concept, but the utility of such services has grown exponentially during the past 15 years thanks to the introduction of cloud computing platforms, smartphones, and the ubiquity of wireless broadband connectivity. In many fields, this combination has enabled the rethinking of the whole concept of ownership and whether most people should own expensive assets. According to Guidehouse Insights, in the transportation and mobility sector, XaaS for everything from carsharing to ride-hailing to batteries is now either an established business or will likely soon become one.

"XaaS has tremendous potential as a business model and to provide genuine societal benefits. It can be used to improve road safety and reduce congestion, provide mobility for those that cannot otherwise afford it or are unable to be mobile on their own, and reduce resource requirements," says Sam Abuelsamid, principal analyst with Guidehouse Insights. "Doing so, however, will require some reevaluation of how companies operate as part of the larger transportation and mobility ecosystem."

The challenge for mobility-related XaaS is that almost no one has yet managed to find a path to profitable, self-sustaining operations. Most of the companies that have launched over the past decade have since gone out of business—either due to running out of capital or being acquired by a larger competitor, according to the report.

Guidehouse Insights recommends XaaS models can provide many benefits in asset utilization; XaaS should be priced appropriately to create a viable and sustainable business; the pursuit of winner-takes-all in a market should be avoided; and XaaS models should coexist and coordinate across the mobility and transportation ecosystem.

The report, What Is the Pathway to Sustainability for As a Service Business Models in Transportation?, explores some of the as a service business models that have emerged in the transportation sector and that are projected to come to market in coming years, evaluating their prospects for success. An executive summary of the report is available for free download on the Guidehouse Insights website.

About Guidehouse Insights
Guidehouse Insights, the dedicated market intelligence arm of Guidehouse, provides research, data, and benchmarking services for today's rapidly changing and highly regulated industries. Our insights are built on in-depth analysis of global clean technology markets. The team's research methodology combines supply-side industry analysis, end-user primary research, and demand assessment, paired with a deep examination of technology trends, to provide a comprehensive view of emerging resilient infrastructure systems. Additional information about Guidehouse Insights can be found at www.guidehouseinsights.com.

About Guidehouse
Guidehouse is a leading global provider of consulting services to the public sector and commercial markets, with broad capabilities in management, technology, and risk consulting. By combining our public and private sector expertise, we help clients address their most complex challenges and navigate significant regulatory pressures focusing on transformational change, business resiliency, and technology-driven innovation. Across a range of advisory, consulting, outsourcing, and digital services, we create scalable, innovative solutions that help our clients outwit complexity and position them for future growth and success. The company has over 16,500 professionals in over 55 locations globally. Guidehouse is a Veritas Capital portfolio company, led by seasoned professionals with proven and diverse expertise in traditional and emerging technologies, markets, and agenda-setting issues driving national and global economies. For more information, please visit www.guidehouse.com.

* The information contained in this press release concerning the report, What Is the Pathway to Sustainability for As a Service Business Models in Transportation?, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report's conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.

For more information, contact:

Cecile Fradkin for Guidehouse Insights
+1.646.941.9139
[email protected]

SOURCE Guidehouse Insights