USD 692.61 billion
Report ID:
SQMIG45D2058 |
Region:
Global |
Published Date: February, 2024
Pages:
157
|
Tables:
66 |
Figures:
75
Smart Cities Market size was valued at USD 692.61 billion in 2019 and is poised to grow from USD 870.61 billion in 2023 to USD 5426.3 billion by 2031, growing at a CAGR of 25.7% in the forecast period (2024-2031).
The global smart cities market has been experiencing robust growth in recent years. A smart city is a framework that implements, develops, and promotes sustainable urban development using information and communication technology (ICT). Also, it helps with public information transmission, increased operational effectiveness, and improved citizen welfare. A smart city promotes mixed-land use for unplanned areas, which offers a range of facilities in one location and helps in the best use of existing space, using hardware components like chips, sensors, and actuators as well as software solutions like user interfaces (UIs), communication networks, and Internet of Things (IoT) devices.
Rising security demand, as well as positive government initiatives in various countries to create advanced video surveillance, real-time vehicle number plate identification, and facial recognition systems utilized for safety in smart cities, highlighting the significance of monitoring to maintain people's safety, are important factors driving market revenue growth. The need for more sustainable and efficient energy consumption is also highlighted by rising energy demand, which raises energy dissipation and carbon emissions. Concerns about global warming and ozone depletion have led the government to step up efforts to reduce the country's carbon footprint. Also, stringent emissions regulations in both developed and developing nations are expected to support the market's revenue growth.
Additionally, the emergence of smart solutions for buildings and transportation is driving market revenue growth. For instance, a fundamental component of a smart city is a reliable, efficient, and accessible transportation system that enables quick response times and convenient access to locations in case of crises. In addition, mobility options for getting around in smart cities include ridesharing, carsharing, and networked public transit, among others. These options encourage a person to leave their cars at home more frequently, which leads to a more sustainable environment. Smart communities must incorporate charging stations as the number of electric vehicles rises so that owners may readily charge their cars and contribute to the sustainability of the environment as a whole. To raise their standard of living, cities are developing smart solution networks. According to research by the European Commission, the European Union (EU) transportation system implemented 82 initiatives to achieve a green and digital transformation through the European Green Deal, which will reduce vehicular emissions by 90% by 2031 and result in the creation of a smart, competitive, safe, accessible, and reasonably priced transportation system.
US Smart Cities Market is poised to grow at a sustainable CAGR for the next forecast year.
Global Market Size
USD 692.61 billion
Largest Segment
Services
Fastest Growth
Software
Growth Rate
25.7% CAGR
To get more reports on the above market click here to Buy The Report
Global smart cities market is segmented into component, solution, and region. By component, the market is segmented into hardware, software and services. By solution, the market is segmented into smart governance, smart building, smart energy, smart mobility, smart healthcare, and others. By region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Smart Cities Market Analysis by Component
Within the global smart cities market, the service segment holds the largest market share that dictates the strategy on the largest scale. Service is the main issue if smart city system needs to be implemented correctly, integrated, and kept in good shape. With smart city projects becoming more and more complex, the perusal of advanced consulting, deployment and support services to be able to provide full range of solutions has persisted. Such service providers have gained the skills and experience to work in some fields like integrating the IoT systems, data analytics and project management, which meet the different needs of the governments, firms and the urban communities.
On the other hand, the software segment is growing at a high pace. The rush of Internet of things devices, big data analytics, and artificial intelligence in smart city ecosystems makes the use of software solutions domain essential in terms of having the needed functionality and intelligence. Software platforms innovations help in achieving saving in labor cost or increase in efficiency, by providing prediction, and seamless integration everywhere. Due to this, the software solutions make it possible to achieve scalability and customization. They are, therefore, highly adaptable to evolving urban challenges and emerging urban requirements.
Smart Cities Market Analysis by Solution
Within the smart cities market, smart mobility emerged as the fastest growing segment. Most of the population in urban areas is increasing, and there is a corresponding concern regarding the growing traffic bottlenecks and pollution problems which has resulted in a high demand for methods that assist in optimization of the travel system. Smart mobility solutions represent a vast array of technologies including, among others, intelligent transportation systems (ITS), real-time traffic management systems (RTMS) and public transportation (PT) optimization which allow it to carve out a significant market share among the smart cities sectors.
The segment that is growing the most rapidly is smart healthcare. The healthcare sector is undergoing a change process triggered by interrelated technological challenges and demographics and new emphasis on patient-oriented model of medical care. The use of smart health care has gained substantial spread from such areas as telemedicine, remote patient monitoring and health information systems to health care accessibility, affordability, and quality. The aging population of the world, as well as the issue of rising healthcare prices stand out as the two most important factors that are believed to strongly influence the growth of the smart healthcare segment in the coming years-the demand for creative solutions in healthcare.
To get detailed analysis on other segments, Request For Free Sample Report
In 2023, North America accounted for more than 30% of the global market for smart cities. The ongoing digital revolution in several sector verticals, including government, telecom, and finance, among others, can be credited with expanding the regional market. The area has a strong information and communication technology (ICT) infrastructure, federal and municipal governments work closely with ICT providers, and there are several well-known technology vendors there. These service providers and other local government bodies have broadly implemented certain elements of the civic connectivity infrastructure, which will facilitate the planning of the development of smart cities in the region. During the forecast period, these factors will support the expansion of the regional market.
Asia Pacific is expected to grow at a significant CAGR over the forecast period. The increase in disposable income, the emergence of digital infrastructure, globalization, and economic advancements are all factors that have contributed to the region's growth. Organizations in the Asia Pacific region is eager to take use of the advantages of cloud-based solutions, such as cost effectiveness, which is encouraging the development of applications like smart building, smart utilities, smart transportation, and smart governance.
To know more about the market opportunities by region and country, click here to
Buy The Complete Report
Smart Cities Market Drivers
Increasing investment in smart city designs
Increasing hyper-connectivity and the emergence of innovative technologies
Smart Cities Market Restraints
High cost of system deployment
Request Free Customization of this report to help us to meet your business objectives.
Global smart cities market is very competitive and fragmented. To capture a significant portion of the market, major industry players are concentrating on product advancements, new product launches, and geographic expansions. However, as more start-ups and new ventures are launched, the rivalry is progressively getting more intense. Due to the fact that many of the vendors work together on projects to supply certain solutions, mergers, and acquisitions play a significant role in the competitive environment of the smart city. Furthermore, prominent competitors have been known to engage heavily in R&D operations in order to innovate the product/service while adhering to delivery timelines.
Smart Cities Market Top Player’s Company Profiles
Smart Cities Market Recent Developments
In January 2024, Honeywell launched a new platform to automate building management processes, marking what the company said is one of its most substantial leaps in building controls innovation to date. The new platform, Advance Control for Buildings, features built-in cybersecurity, faster network speeds and tools to make buildings smarter, safer and more sustainable. Honeywell said the new system responds to a growing demand for more energy-efficient and connected buildings, with a new emphasis on identifying and mitigating maintenance issues and unnecessary emissions.
In June 2022, Siemens Smart Infrastructure launched Building X, a new smart building suite that is open, interoperable and fully cloud based. The suite is the first next generation offering built on the design principles of Siemens Xcelerator, an open digital business platform to accelerate digital transformation and value creation across industry, transportation, grids and buildings.
The key trend in the global smart city market is the spread of smart city projects in emerging economies. The development of smart cities has been a focus of developed nations in North America and Europe for the past ten years, and numerous initiatives have already been carried out. In terms of smart city technologies, APAC is the region that is expanding the fastest. An increase in the number of people living in cities across Asia is being propelled by rapid urban growth, which is in turn spurring the construction of urban infrastructure, particularly in Asia's developing nations. Emerging economies like China and India are launching numerous pilot projects while still in the planning stage. The rapid rate of urbanization in nations like India is a significant driver behind the implementation of smart city projects, as smart city infrastructure enables end-users (like governmental organizations, healthcare providers, and transportation service providers) to respond more rapidly to issues those urban settlements face.
Emerging technologies like Al, ML, cloud, data analytics, loT, and cyber security have advanced rapidly in recent years. Better connectivity has been made possible by the increased adoption of these technologies in the setting of smart cities. This results in an ecosystem for smart cities that has been completely remodeled. The system may gather data from numerous sources with the aid of loT devices and then share it with a centralized control center by utilizing the cloud. Such advanced technologies are used not only to improve residents' lives, but also in areas such as security, privacy, and environmental sustainability. For instance, a Mexican city uses AT&T Control Center, a platform for the Internet of Things, to manage connected devices effectively and in real-time.
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates and Analyses the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.
According to our global smart cities market analysis, rising analytics penetration, as well as ongoing technical advancements by leading providers, is improving the user experience and boosting market revenue development. Due to technical advancements in transportation and a rise in demand for the creation of linked cards, these cities are becoming a reality. Additionally, the emergence of smart solutions for buildings and transportation is driving market revenue growth. Rising analytics penetration, as well as ongoing technical advancements by leading providers, are improving the user experience and boosting market revenue development. In 2021, the smart utility segment led the market and held a share of more than 28%. In 2023, the smart infrastructure sector dominated the market, accounting for more than 28% of the market. In 2023, North America accounted for more than 30% of the global market. Asia Pacific is expected to grow at a significant CAGR over the forecast period. The key trend in the global smart city market is the spread of smart city projects in emerging economies.
Report Metric | Details |
---|---|
Market size value in 2023 | USD 692.61 billion |
Market size value in 2031 | USD 5426.3 billion |
Growth Rate | 25.7% |
Forecast period | 2024-2031 |
Forecast Unit (Value) | USD Billion |
Segments covered |
|
Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
Companies covered |
|
Customization scope | Free report customization with purchase. Customization includes:-
|
Historical Year | 2019 |
To get a free trial access to our platform which is a one stop solution for all your data requirements for quicker decision making. This platform allows you to compare markets, competitors who are prominent in the market, and mega trends that are influencing the dynamics in the market. Also, get access to detailed SkyQuest exclusive matrix.
Buy The Complete Report to read the analyzed strategies adopted by the top vendors either to retain or gain market share
Executive Summary
Market overview
Parent Market Analysis
Market overview
Market size
KEY MARKET INSIGHTS
COVID IMPACT
MARKET DYNAMICS & OUTLOOK
Market Size by Region
KEY COMPANY PROFILES
For the Global Smart Cities Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Global Smart Cities Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Global Smart Cities Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Global Smart Cities Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
Our industry expert will work with you to provide you with customized data in a short amount of time.
REQUEST FREE CUSTOMIZATIONSmart Cities Market size was valued at USD 692.61 billion in 2019 and is poised to grow from USD 870.61 billion in 2023 to USD 5426.3 billion by 2031, growing at a CAGR of 25.7% in the forecast period (2024-2031).
Want to customize this report? This report can be personalized according to your needs. Our analysts and industry experts will work directly with you to understand your requirements and provide you with customized data in a short amount of time. We offer $1000 worth of FREE customization at the time of purchase.
Product ID: SQMIG45D2058