- Toll Free: +1-800-792-5285
- (UK): +44-845-528-1300
- Int'l: +1-503-894-6022
- Help@alliedmarketresearch.com
Cart
|
IC_18383
|
Pages: 205
|
Nov 2018 | 3565 Views
|
|
|
|
Author(s) :
Pramod Borasi
|
Tables: 79
|
Charts: 39
|
Formats*: |
|
Smart Cities Market Outlook - 2025
A smart city is a well-connected city that deploys various information and communication technologies to share information among public and improve the quality of government services as well as citizen welfare. This technology has been widely adopted in recent years to improve public safety which can range from monitoring areas of high crime rates to improving emergency preparedness with sensors and many more. The global smart cities market was valued at $517,629 million in 2017 and is projected to reach $2,402,123 million by 2025, registering a CAGR of 21.28% from 2018 to 2025.
Get more information on this report: Request Sample Pages
Get more information on this report: Request Sample Pages
The smart infrastructure segment dominated the overall smart cities market share in 2017 due to its significant adoption of security and transportation solutions among its users. Moreover, smart energy is expected to attain the highest growth rate during the forecast period.
Get more information on this report : Request Sample Pages
North America governed dominated the overall smart cities market in terms of revenue in 2017 due to significant adoption of smart cities solutions supported by high ICT spending among government organizations and high demand for connected solutions across the region. However, Asia-Pacific is expected to witness the highest growth rate during the forecast period due to the factor such as rise in IT spending supported by government initiatives in emerging economies such as China, Singapore, India, and South Korea.
The report focuses on drivers and restraints of the smart cities market based on the analysis of regional trends. Moreover, the study includes Porter’s five forces analysis of the industry to understand the impact of various factors such as bargaining power of suppliers, competitive intensity of competitors, threat of new entrants, threat of substitutes, and bargaining power of buyers on the smart cities market growth.
Segment review
The global smart cities market is segmented based on functional area and region. Based on functional area, it is categorized into smart governance & smart education, smart energy, smart infrastructure, smart mobility, smart healthcare, smart building, and others.
The key players operating in the global smart cities market include AT&T Inc., Cisco Systems Inc., Ericsson, General Electric, Hitachi Ltd., Huawei Technologies Co., Ltd., IBM Corporation, Intel Corporation, Microsoft Corporation, and Schneider Electric SE.
Top impacting factors
The growth of the global smart cities market is driven by proactive government smart cities initiatives, growing urbanization, and rising need of better-quality life. However, security and privacy concerns of smart cities solutions are expected to hamper the market growth during the forecast period. Moreover, rising adoption of artificial intelligence solutions among smart city projects is anticipated to provide significant growth opportunities during the forecast period.
Government smart city initiatives
Globally, governments have been playing a major role in smart cities market through its regulations and initiatives focused on deployment of smart services as a major part of their infrastructure. For instance, General Services Administration’s (GSA) Smart Buildings initiative started in May 2012 aimed to reduce costs and promote smart services modernized federal government buildings in large part through connected technologies is one such major project recorded in the recent years. Similarly, Europe smart cities market size is expected to grow at a significant rate due to its focus on energy and climate objectives. Therefore, the government is focusing on the distribution of energy with efficient models and strategies for progressing toward a low carbon future in this region. Moreover, governments in emerging economies such as China, South Korea, Dubai, India, Singapore, and Japan are aimed for smart development of their economies. The Indian government has dedicated an investment of 107.95 crores in smart cities. Further, China has announced 500 smart cities pilot projects which is again a huge investment by the government in the region. Furthermore, Dubai’s goal to achieve the objective of the Smart Dubai Plan 2021 for transforming their country into a 100% paperless government has been promoting the adoption of smart services in the country and playing a major role in the growth of the smart cities market.
Security concerns associated with smart cities
Smart cities deploy millions of sensors and smart devices in healthcare facilities, public institutions, transport services, and so forth, which tend to share a large amount of personal information on multiple devices, thus privacy and security is a major concern among the users. The significantly adopted advanced surveillance system and IP-based cameras in the system are vulnerable to several risks due to connectivity with the internet which allows the hackers to hack the system easily. Various hacking cases have been identified globally in the recent years where the data is breached and published publicly. In addition, as the resources are being distributed among various cloud clients, the privacy and security of the data is facing major threats from unethical or eavesdropper clients. This data security and privacy concern is the major factor that restrains the growth of the global smart cities market.
Emergence of artificial intelligence in smart cities
Implementation of artificial intelligence (AI) in smart city applications such as traffic and parking management, video-surveillance, safe integration of autonomous ride-share vehicles, and so forth can be of great significance. For instance, AI is already being used in CCTV cameras for facial recognition, which can be used to provide further assistance to the citizens. In case of any medical emergencies, these AI-based cameras can help in getting a help from medical professional on the scene. In addition, the facial recognition technology can also help in accessing personal information of a citizen in case of emergency. Similarly, sensors installed at parking lots and traffic signals are now using AI for accumulating useful data to plan the city initiatives among governments efficiently. Increasing number of such AI applications is expected to provide lucrative opportunities for the market growth.
Key Market Players
A smart city refers to a city that uses innovations and new technologies to improve the efficiency, sustainability, and quality of public services; thus, improving the standard of living for citizens. The real-time data offered by smart city’s components provide authorities an ability to analyze events, understand its patterns, and respond with fast and cost-efficient solutions. The smart city solutions have created their way into various areas of urban living. The key factors that drive the growth of the global smart cities market include proactive government regulations for smart city deployment supported by adoption of new technologies that support Industry 4.0, smart energy projects, & e-governance solutions, rapid urbanization, and need for better quality of life. The global smart cities market is fragmented with the presence of key market vendors, which constitute a large market share. North America and Europe are the prime consumers of such systems. However, Asia-Pacific is expected to witness robust growth in the near future due to increasing number of smart cities pilot projects and growing IoT adoption and smart cities spending across emerging economies such as China, South Korea, Singapore, Australia, India, and Singapore.
Some of the key players profiled in the smart cities market include AT&T Inc., Cisco Systems Inc., Ericsson, General Electric, Hitachi Ltd., Huawei Technologies Co., Ltd., IBM Corporation, Intel Corporation, Microsoft Corporation, and Schneider Electric SE. These players have adopted various strategies to increase their market penetration and strengthen their position in the industry. For instance, in 2018, Microsoft collaborated with MasterCard to work on various smart city initiatives such as transportation fare collection and traffic congestion. This collaboration will enable Microsoft to adopt Mastercard’s payment technologies and solutions into their CityNext program to develop solutions for urban problems and accelerating digital transformation in smart cities.
Enterprise
License/PDF
*Taxes/Fees, if applicable will be added during checkout. All prices in USD
To ensure high level data integrity, accurate analysis and impeccable forecasts
For complete satisfaction
On-demand customization of scope of the report to exactly meet your needs
Targeted market view to provide pertinent information and save time of readers
Get insights on topics that are crucial for your business. Stay abreast of your interest areas.
