Global Smart Cities Market Size, Share, Forecast Report, 2020-2027
The report provides rational insights along with historical and forecast data to aid in better understanding of the Global Smart Cities Market. The report provides a comprehensive analysis of key factors that are expected to drive the growth of the Smart Cities market. This study also provides a detailed overview of the opportunities along with the current trends observed in the target market.
The global smart cities market size was valued at USD 83.9 billion in 2019 and is expected to register a CAGR of 24.7% from 2020 to 2027. With the growing awareness about ‘smart everything’, the smart cities concept has also been gathering increasing attention, which is essentially the end result of all the intermediary technologies. Moreover, support from central/federal governments, city governments, and dedicated governing bodies has been the major contributor driving the market globally. Additionally, funding and financing models, governance structures, technology ecosystems, and advancements in infrastructure are playing an important role in the deployment of smart cities.
Smart cities leverage the available technologies and innovations to enhance the living conditions of its residents. According to the ‘2018 Revision of World Urbanization Prospects’ report published by the UN Department of Economic and Social Affairs (UN DESA), the current urban population of 55.0% is expected to increase to 68.0% by 2050. Demand for sustainable infrastructure owing to increasing population and urbanization has become a key driver for the growth of the market. Governments across the world are trying to tackle problems that arise due to the rapidly growing population and urbanization through smart city initiatives across domains such as mobility, utilities management, and safety. Furthermore, increase in traffic congestion and greenhouse gas emissions drive the adoption of intelligent mobility and efficient energy management applications.
Driven by recent technological advancements in domains such as healthcare, transport, energy, governance, and intelligence gathering, the market is anticipated to witness lucrative growth in the coming years. Smart cities benefit from the adoption of technologies such as Internet of Things, cloud computing, big data, cognitive computing, and open data. Moreover, increasing implementation of different Public Private Partnership (PPP) models such as BOO, BOT, OBM, and BOM is driving the successful project execution of smart cities. Furthermore, recent announcements made by the U.K. government to raise a substantial amount for its smart cities projects and the Indian government’s Smart Cities Mission are likely to contribute to the growth of smart cities projects.
Though developers of smart cities make use of a diverse range of technologies and smart sensors, the application areas differ from city to city or community to community. The need for developing resilient cities, saving energy, and building a sharing economy also play a significant role in driving the smart city market. Moreover, companies are investing significantly in Research and Development (R&D) activities to introduce new technologies for connected infrastructure in cities. Cisco Systems, Siemens AG, and IBM Corporation among others are prominent technology companies that are investing substantially in R&D activities related to connected infrastructure, which are instrumental in the development of smart cities across the world.
Technologies such as big data, cloud computing, and Internet of Things (IoT) have helped bring about innovation by integrating the internet in everyday human functions, thereby simplifying and improving human life. Over the coming years, advancements in the field of artificial intelligence are expected to lay the foundation for the development of technologies that would affect human life to a significant extent. Moreover, development of technologies such as electric vehicles and renewable energy systems would significantly contribute toward the development of smart cities. Thus, technology proliferation in the coming years is likely to boost the growth prospects of city infrastructure stakeholders
The report covers major players operating in the market along with the key strategies implemented to achieve a competitive edge against a majority of the vendors which provides a competitive outlook of the industry. The competitive landscape further includes details about different players and their position on a global and a local level is also explained in detail in this compiled study. These insights were prepared through mapping business strategies and products that offer high revenue generation capacities. Key players of the global Smart Cities market are included as given below:
Key industry participants include Accenture; ABB Limited; Schneider Electric SE; Cisco Systems, Inc.; Siemens AG; IBM Corporation; and Microsoft Corporation. Companies such as Oracle Corporation; Honeywell International Inc.; Hitachi, Ltd.; Huawei Technologies Co. Ltd.; and Intel Corporation are also at the forefront of developing smart cities solutions.
The industry may witness a rise in small companies that cater to the niche markets and offer customized solutions with limited scope. However, the marketplace would be dominated by large technology giants. The industry is also marked with a growing number of collaborations between governments and companies to develop and implement pilot projects. Key players focus on the development and deployment of customized solutions in the areas of city surveillance, energy management, transportation, and utilities among others. A few companies are also playing the role of system integrators
The global Smart Cities market has been segmented as below:
- Smart Governance
- City Surveillance
- Command & Control Solution
- Smart Lighting
- Smart Infrastructure
- Smart Building
- Environmental Solution
- Smart Utilities
- Energy Management
- Water Management
- Waste Management
- Smart Transportation
- Intelligent Transportation System
- Parking Management
- Smart Ticketing & Travel Assistance
- Smart Healthcare
- Global Smart Cities Market by Region
- North America
- Asia Pacific
- Rest of the World
Reasons to Purchase this Report:
Estimates Smart Cities development trends with SWOT analysis
- Detailed business profiles including product offerings, recent developments, key financial information, and strategies employed by main market players
- Analysis of various regions and countries that includes the demand and supply based actions, which consequently have a major influence on the market’s expansion
- Market dynamics scenario, along with growth opportunities for players in the years to come
- Competitive landscape involving the market share of major players, along with the new projects and strategies adopted by players in the mentioned forecast period
- Market segmentation analysis including qualitative and quantitative research incorporating the impact of economic and policy aspects