Skip to main content

Microsoft predicts ‘pay as you-go’ solution to congestion

Congestion pricing is the solution to inner city traffic gridlock, according to Microsoft’s chief economist, Michael Schwarz. Speaking at the IBTTA’s Annual Technology Summit in Orlando, Florida last week, Schwarz said “traffic will be a thing of the past”, citing the difference between the traffic volumes in the free use and managed lanes as evidence. He also highlighted Singapore’s plans to have satellite tolling on all cars in 2020 and noted that almost all new cars are already fitted with SIM car
April 9, 2019 Read time: 2 mins

Congestion pricing is the solution to inner city traffic gridlock, according to 2214 Microsoft’s chief economist, Michael Schwarz.

Speaking at the 63 IBTTA’s Annual Technology Summit in Orlando, Florida last week, Schwarz said “traffic will be a thing of the past”, citing the difference between the traffic volumes in the free use and managed lanes as evidence.

He also highlighted Singapore’s plans to have satellite tolling on all cars in 2020 and noted that almost all new cars are already fitted with SIM cards and GPS adding: “The cost of the technology is nothing.”

Furthermore, as satellite technology allows tolling and congestion pricing to be levied on any and all roads, he predicted that instead of paying one large charge when entering a city or corridor, “we will be paying a lot of congestion charges for each journey”.

He said that without congestion pricing, self-driving cars would cause gridlock and predicted that the introduction of such charging will be made more palatable by a new generation of car-pooling platforms.

“Technology is getting better at finding the ideal [car-pooling] partner,” he said. “Splitting the congestion charge three ways makes it more affordable.”

There will be a full report from the IBTTA conference in the May-June edition of ITS International

For more information on companies in this article

Related Content

  • Wellington embraces smart parking solution
    February 22, 2018
    A smart parking solution can ease pain for drivers and increase efficiency for local authorities - and New Zealand’s capital is feeling the benefit. Adam Hill reports. ITS technology has the power to ease headaches for local authorities and car drivers alike when it comes to parking. For urban dwellers, few things are more irritating than driving slowly around crowded city centre streets, anxiously searching for a parking space – indeed, in congested downtown areas, as much as 30% of traffic can be driving
  • FDOT to rebuild major segment of I-4
    September 10, 2014
    US transportation secretary Anthony Foxx has announced a Transportation Infrastructure Finance and Innovation Act (TIFIA) loan of US$950 million to help pay for the reconstruction and widening of 21 miles of Interstate 4 in metropolitan Orlando, Florida. This is the largest loan the Department has awarded to a public-private partnership (P3). When completed, the project will relieve congestion in one of the country's most heavily-travelled areas. Known as the I-4 Ultimate, the project is part of the 54-y
  • Remote remedies help US authorities identify bridge deficiencies
    September 6, 2017
    Every day 185 million vehicles – cars, trucks, school buses, emergency response units - cross one or more of America’s 55,710 'structurally compromised' steel and concrete road bridges, the highest concentration of which are in Iowa (nearly 5,000), Pennsylvania and Oklahoma. Nearly 2,000 of these crossings are located on interstate highways, according to the American Road and Transportation Builders Association's recent analysis of the US Department of Transportation's 2016 National Bridge Inventory.
  • Growth of telematics-based pay as you drive car insurance systems
    July 17, 2012
    Car insurance made cheaper by telematics has returned to news headlines in the UK this year. Will it really take off this time and can vehicle tracking provide an effective tool for enforcing or encouraging insurance compliance? Jon Masters reports Will 2012 go down as the year that telematics-based car insurance took off? In the UK at least, a groundswell of new policies, with premiums priced on the basis of tracked and analysed driving style, suggests a turning point has been reached. Some would argue t