Cubic buys Gridsmart to solve intersection woes

Cubic Transportation Systems has acquired video detection company Gridsmart Technologies for approximately $87m in cash to bolster its intelligent traffic management portfolio.

For full calendar year 2019, Gridsmart is anticipated to contribute approximately $35m in sales and $8m of adjusted earnings before interest, tax, depreciation, and amortisation (EBITDA).

Optimising the flow of traffic and people

Gridsmart’s solution for intersection control uses advanced image processing, computer vision modelling and machine learning along with a single camera to provide “best-in-class data” for optimising the flow of people and traffic through intersections.

The solution has counted and classified more than 43 billion vehicles through 54 million hours of real-world video processing in 7,000 intersections spanning 1,200 cities globally.

Gridsmart delivers a single camera sensor for intersection actuation and performance management with horizon-to-horizon view, including the centre of the intersection, with its fisheye lens. The company claims it is the only system to track vehicle trajectory from approach through the centre of the intersection to exit.

“Advanced traffic management built on smart sensors is a key to efficient and responsible city management”

“Gridsmart’s industry-leading video tracking solution at the intersection is a key addition to our growing Intelligent traffic management portfolio to reduce congestion. It is complementary to our recent acquisition of Trafficware, both of which are cash EPS accretive in first full year of operations,” said Bradley Feldmann, chairman, president and chief executive officer of Cubic Corporation.

Importance of detection

Detection is one of the largest and fastest growing segments within the intelligent traffic management market and is critical to enabling smart intersections that can optimise the flow of people and goods through cities, which is core to the operations and analytics pillar of Cubic’s NextCity vision.

“Advanced traffic management built on smart sensors is a key to efficient and responsible city management,” added Bill Malkes, chief executive officer of Gridsmart.

“As this need continues to grow not only in cities across the US but also throughout the world, we look forward to seeing the synergies and growth opportunities of our solutions utilising Cubic’s market leadership and international presence.”

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