Global Smart Cities Market is Predicted to Value Over USD 231 Billion by 2026 End

  • 20 Aug 2019

Global Smart Cities Market is predicted to value over USD 231 billion by 2026 end and grow at a CAGR of over 18% during the forecast period 2019 to 2026. 

 

A well-connected city deploying various communication and information technologies and sharing this information publically is called a smart city. Smart city initiative also improves the efficiency of government services along with citizen welfare. This concept is being widely adopted by developed as well as emerging economies for improving public welfare. This ranges from monitoring high crime rate areas to improve in the preparation of an emergency using advanced technology. Concepts like artificial intelligence, automation, machine learning that are trending these days also drive the smart city market in a positive direction. Having a smart city has advantages of its own like enhanced homes and buildings, better administrative services, efficient mobility and optimum energy utilization. Smart city system covers a large number of applications and domains areas from a small community striving for sustainability to a tourism hub which has helped boost the overall smart city market globally. An infrastructure that is ageing due to lack of adoption of innovative technology along with a need for an improved life quality due to a rapid rate of urbanization are some of the driving forces for the smart city market.

 

Insights on Global Smart Cities Market:

North America to Lead Global Smart Cities Market

North America dominates the global smart city market due to a rapid adoption of solutions offered by smart cities and this initiative was supported by huge ICT spending among organizations of the government and it is expected that North America will gain even more traction during the forecast period. However, Asia Pacific region is also expected to experience a high growth rate due to high IT spending along with the support from the governmental initiatives in countries like India, Singapore, South Korea and China. Europe has also adopted the concept of smart city mainly for smart lighting, city surveillance, e-governance and is therefore likely to gain a significant amount of traction in the market during the forecast period.

 

Utilities Segment Market to Account for Highest Market Share

Utilities segment dominates the market due to the adoption of digital technologies for distribution and billing of water, Liquefied Petroleum Gas (LPG) and electricity to residents to enable effective usage and improve delivery, analysis and monitoring and it is expected that this segment will continue its good run during the forecast period as well. Governance is another segment that is on a meteoric rise due to the introduction of e-governance in not only developed economies like the U.S but also in emerging economies like India. Therefore, it is expected to see a rise in the market growth rate during the forecast period. The transportation and construction segment are also expected to see a rise in the market growth rate during the forecast period owing to governments initiating for smart public transportation and also due to an emphasis on consuming renewable energy. Smart driverless cars and public transport is one of the prospect that will bring a drastic change in the transportation segment in the near future.

 

Smart Cities Market Segmentation

1.   By Region

·     North America

·     Europe

·     Asia Pacific

·     Latin America

·     Rest of the World

 

2.   By Application

·     Utilities

·     Education

·     Governance

·     Construction

·     Transportation

·     Healthcare

 

3.   By Component

·     Solutions

·     Services

o  Professional

o  Integration and development

 

Competitive Landscape:

·     Tier 1 players- established companies in the market with a major market share 

·     Tier 2 players 

·     Emerging players which are growing rapidly 

·     New Entrants 

Tier 1 companies have a market share of 35% while tier 2 and tier 3 companies account for a market share of 40% and 25% respectively.

 

FutureWise Key Takeaways:

•  Growth prospects

•  SWOT analysis 

•  Key trends 

•  Key data-points affecting market growth 

 

Objectives of the Study:

•  To provide with an exhaustive analysis on the global smart cities market by region, by application, by component

•  To cater comprehensive information on factors impacting market growth (drivers, restraints, opportunities, and industry-specific restraints)

•  To evaluate and forecast micro-markets and the overall market 

•  To predict the market size, in key regions (along with countries)—North America, Europe, Asia Pacific and rest of the world

•  To record evaluate and competitive landscape mapping- product launches, technological advancements, mergers and expansions

•  Profiling of companies to evaluate their market shares, strategies, financials and core competencies

 

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