Electronic Toll Collection Market size was valued at USD 4,256.4 million in 2020 and projected to reach USD 8,520.4 million by 2027 with a CAGR of 8.4% owing to growing importance towards the faster and congestion free toll collection on highways. Strong government support to accelerate electronic toll collection and growing urbanization are the key driving factors for the high adoption of Electronic Toll Collection solutions across the world. High initial cost of installation and interoperability issues are some of the restraining factors for the market growth. The population of people living in cities is increasing year over year. In 1800, only 2% of world’s population used to live in urban areas which in 2007, for the first time, crossed the 50% mark. According to the United Nations (UN) estimates, the urban population will account for over 60% by 2030. As the population in cities will increase, businesses within the city and deals with partners outside the city will also increase. This tendency will give rise to increasing volume of transportation. Moreover, with growing population, there number of private vehicles will also increase. Therefore, there is a strong need for good transportation infrastructure now which includes innovative ETC solutions as well. There are currently 3.8 billion smartphone users in the world and fast development in the smartphone and telecommunication technologies are expected to keep the growth rate significant in the foreseeable future. This has opened up new ETC methods and ETC solution providers and they have already started innovating in this direction. Various ETC solution providers are launching different apps to further ease the process of toll collection from vehicle drivers. The phone app offers various advantages, such as solution for interoperability problem, and early calculation and payment of toll charges of a planned trip. According to experts, further compliance programs in this direction might minimize the ETC equipment and infrastructure development costs on roads. The app solution is increasingly being used in numerous parts of the US and is expected to gain popularity soon in other parts of the world as well. For an ETC system, a good road infrastructure as well as telecommunication technology is essential elements. The economically developing nations lack basic infrastructure and the required communication technologies, thus affecting the growth of ETC solutions in these markets. Poor communications infrastructure such as lack of internet service, computer, and mobile phones; lack of electricity supply; inadequate transportation; illiteracy; and shortage of other key resources are some of the factors restraining domestic and foreign investments in such countries. This results in obstruction in the growth of ETC systems in such countries.