Movement intelligence is positioned at the intersection of transportation and logistics, infrastructure management, and artificial intelligence. Movement intelligence is focused on the collection, analysis, and monetization of real-time movement data of people and goods through various physical spaces, i.e., airports, cargo terminals, rail networks, urban infrastructure, and large public events.
In the past, many of these environments were managed using manual methods, static schedules, and/or legacy software that did not provide the real-time information needed to optimize their use. With the continued growth of global mobility, the need for real-time information and automated decision-making tools has increased dramatically and created significant demand for movement intelligence.
Structural Demands Driving Growth
There are several key structural trends that will drive the growth of movement intelligence:
- Global Passenger Traffic: Approximately 9.5 billion passengers in 2024, growing well beyond pre-COVID-19 levels, and placing a constant burden on airports and other forms of transportation.
- Airport Capacity Concentration: The Top 10 Busiest Airports Account for ~35.3% of Total Capacity in the U.S., increasing congestion risks at a few select hubs.
- Pressure on Hubs: Each of the top three busiest airports in the U.S. process over 50 million passengers annually, with Atlanta processing ~108 million passengers, Chicago O’Hare processing ~80 million passengers, and Miami processing ~56 million passengers each year.
Parcel delivery volume is also rapidly increasing. U.S. Parcel Volumes Reach ~22.37 Billion Shipments in 2024, a 3.4% increase from the previous year, and it is expected to grow to ~30 Billion by 2030. This represents about 66 parcels per person per year and over 700 parcels delivered every second, which further burdens transportation networks, sortation facilities, and last-mile delivery systems.
Air Cargo adds additional layers of operational complexities and pressures:
- Market Size: ~ $140.9 Billion in 2023
- Growth Outlook: Projected to grow to ~ $216.3 Billion by 2032
- Growth Rate: Approximately 4.97% CAGR; High-value and Time-Sensitive Goods
These trends are causing the industry to focus on improving operational efficiency, safety, and real-time operational visibility.
Technology Shift: From Legacy Systems to AI
Modern movement intelligence platforms are being developed using Artificial Intelligence (AI), Computer Vision, and Predictive Analytics. Unlike legacy systems that only report historical events, modern movement intelligence platforms are designed to predict when and where congestion may occur, detect anomalies in the normal behavior of the system, and enable operational teams to make informed decisions prior to an incident occurring.
Some of the technology shifts that are occurring in the movement intelligence industry include:
- Transition from Short-Range Infrastructure-Based Solutions to Cloud-Based Platforms with Wider Coverage: Legacy movement intelligence systems were primarily based on short-range or fixed-infrastructure-based solutions, such as dense beacon networks. Modern movement intelligence platforms leverage Cellular Connectivity and Cloud-Based Analytics to cover larger geographic areas.
- Reducing Deployment Friction to Enable Faster, Multi-Site Rollouts: Prior to the development of modern movement intelligence platforms, deploying a movement intelligence solution required extensive planning and resources to deploy, configure, and integrate the platform into the target environment. Modern movement intelligence platforms are designed to reduce deployment friction and enable faster, multi-site rollouts.
This technology shift is changing how large transportation and logistics environments are monitored and managed.
Addressable Market Characteristics
The movement intelligence market is large, but fragmented across multiple sectors and geographies:
- Aviation Industry: Airports, Airlines, and Aviation Authorities
- Logistics Industry: Logistics Operators, Cargo Terminals, Freight Forwarders
- Rail Industry: Rail Networks, Intermodal Hubs, Urban Transport Systems
- Public Venues and Smart Cities: Large Public Venues, Municipalities, Smart City Operators
Operational scale and economic stakes highlight the importance of optimizing movement intelligence solutions for all parties involved. For example, the Federal Aviation Administration (FAA) manages over 16.19 Million Flights Per Year, with an average of ~44,360 flights per day, and provides service to over 3 Million Daily Airline Passengers across approximately 19,482 Airports in the United States. Even modest improvements in efficiency and operational effectiveness can result in substantial cost reductions and improved performance metrics for all parties involved in the movement of goods and services.
The sales cycle in the movement intelligence industry tends to be longer than most industries and the procurement process tends to be more cautious. Once deployed, however, movement intelligence solutions are typically deeply ingrained into the daily operations of the organization that implements them, making it difficult to switch to alternative solutions and providing opportunities for ongoing revenue and high switching costs.
Competitive Landscape
Competitive differentiation in the movement intelligence industry occurs among several types of competitors:
- Legacy Infrastructure Providers: Competitors that provide infrastructure-related services, such as airports and railways.
- Niche Sensor Companies: Competitors that specialize in developing specific sensors or sensing technologies used in movement intelligence applications.
- Emerging AI-Focused Platforms: Competitors that develop AI-focused movement intelligence platforms.
Many existing solutions in the movement intelligence industry rely on localized hardware deployments and/or limited-range technologies, which can significantly increase the cost and complexity associated with implementing and maintaining the solution at scale.
Where Agereh Technologies Fits
Agereh Technologies (TSXV: AUTO | OTCQB: CRBAF) is an early-stage company that is positioning itself in the movement intelligence industry. The company’s primary focus is on developing AI-driven movement intelligence solutions that utilize cellular-based tracking, computer vision, and predictive analytics.
From a market perspective, Agereh remains in the small-cap segment of the market. The current stock price of Agereh is approximately CA$0.10 per share, resulting in a market capitalization of approximately CA$12 million. This valuation reflects the early-stage profile of the company, indicating that the market is assigning limited value to the company’s future success until there is clear evidence of the company’s commercial success.
- Valuation Context: A CA$15M market capitalization places Agereh firmly in the micro-cap segment, where price movements are extremely sensitive to news flow and early commercial validation.
- Risk-Reward Profile: At this stage in the company’s development, the upside of investing in Agereh is directly tied to the company achieving commercial success and generating recurring revenue, while the downside reflects the risks associated with the company executing its commercialization plans successfully.
Agereh targets transportation and logistics environments where real-time visibility and operational efficiency are critical, including airports, cargo facilities, rail infrastructure, and large venues. Although the company is still in the early stages of commercializing its movement intelligence products, the company’s strategy is aligned with the broader trend of the industry toward the use of scalable, data-driven movement intelligence platforms.
Conclusion
The movement intelligence industry is supported by strong macro trends in global mobility, logistics growth, and infrastructure modernization. Although the rate of adoption in the industry is slow because of the lengthy sales cycles and cautious procurement practices common in the industry, the long-term prospects for AI-enabled, real-time, and predictive movement intelligence systems are very favorable.
Investors who choose to invest in companies in the movement intelligence industry should expect that the companies they invest in will provide access to large addressable markets but will also pose a significant execution risk, especially in the case of early-stage investments. Agereh Technologies represents one such early-stage participant in the movement intelligence industry who is working to establish itself as a scalable commercial platform that can capitalize on the favorable macro trends driving the industry.
Marc has been involved in the Stock Market Media Industry for the last +5 years. After obtaining a college degree in engineering in France, he moved to Canada, where he created Money,eh?, a personal finance website.
