The new investment area is the best combination of taking into account the short-term stimulation of sufficient demand and the long-term increase of adequate supply. The rise of the most profitable project of “New Infrastructure” is the smart city Construction. Thus, “New Infrastructure” is a shortcoming of future development. The essence of a smart city is to replace the individual optimization of the subsystems with the overall optimization of the extensive system to achieve management science, service intelligence, resource sharing, environmental improvement, and social harmony.
The global smart cities market expected to increase with 18% CAGR in the forecast period from 2020-2027. Smart technology adoption, IoT, public safety, optimization of energy, growing government concerns, urbanization, industrial development, and change in disposable income are deriving the market of smart cities. Stability in financial and economic growth and services have to cater to the demand for smart cities in the future market.
Moreover, a Smart city is the use of modern information technology to promote the interconnection, efficiency, and intelligence of urban operating systems. Further, to give cities the ability to perceive, respond, and manage smartly, thereby creating a better life for urban people and making the city more harmonious, Vibrant, and sustainable. At present, smart cities are becoming a new driving force for economic development, and the market size of smart cities is continuously expanding.
Furthermore, the high-speed experience of the mobile internet has laid a good foundation for the application and promotion of smart cities. With the gradual maturity of cloud technology, the concept of cloud computing has added to the construction of smart city data centers everywhere. Thus, it created intelligent mobility, utility management, and safety and useful energy management applications.
Additionally, the government is taking the major initiative by investing in the R&D to introduce new technology, developing resilient cities, and connected infrastructure that saves energy. Technologies like big data, IoT, cloud computing, are helping humans by simplifying their tasks and integrate everyday functions that affect human lives. Moreover, with increasing carbon emission level in the environment have introduced the battery vehicles to reduce pollution and helps in improving the smart cities market.
The smart cities market helps in making citizen empowerment network with the increasing disposable income, consumer changing preferences, and lifestyle has impacted the growth of the economy to a great extent. The concentration of educational resources and the prominent political and economic status have made the residents living in smart cities feel gratified. At present, the urban population is expanding, traffic is increasingly congested, environmental pollution is intensifying, and information security problems are frequent. To solve these problems, the government around the world has issued policies to develop smart cities vigorously.
The smart technology adoption has provided a vision around the world to achieve ubiquitous ICT (information, communication, and technology) to develop smart cities. The adoption of the internet of things (IoT) has created lots of opportunities in the development of smart cities as it provides optimization of energy, safety, easy mobility, better environment for the future generation. Thus, the adoption of intelligent technologies has increased the development of smart cities.
Based on smart transportation, the global smart cities market classified into types, solutions, services. Under types, the segment airways industry expected to grow the market share of smart cities in the forecast period from 2020-2027. Due to the increasing disposable income of the consumer and improved cost of living has emerged, the demand for traveling and exclusive offers and discounts on air travel is making it affordable to many people.
Based on the smart building, the global smart cities market segmented into types, solutions, services. Under the solution segment, the emergency management segment expected to fuel the growth of the smart cities’ market share in the future. Owing to the minimization of hazardous accidents like fire, natural disasters, terrorist attacks, theft, and other crimes. The smart cities planned in such a way that every emergency incident can control by installing the sensors in the homes so that in case of emergency, the alarm will help in connecting to the immediate control center and police station.
Based on smart utilities, the global smart cities market classified into types, solutions, and services. Under solutions, the distribution segment expected to propel the market demand for smart cities. The single integrated system managed by the demand response (DR) program to manage the utility sectors. With increasing utilities, smart cities have installed meters that provide direct control to consumers. Also, the DR controls and communicate to all the infrastructure meter for reduction of load.
Based on smart citizens, the global smart cities market classified into services only. Under services, the public safety segment has captured the largest market share and expected to increase in the forecast period as well. On account of rising crimes, the working population people concern about the safety of their homes left vacant, which increases the chances of theft, fire, and another disaster that can happen without any control. Therefore, smart cities integrate all the functions, systems, alarm directly to the control areas to avoid any such incident.
Based on geography, the global smart cities market segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. The Asia Pacific region has emerged the highest demand for the global smart cities market and will propel the growth in the future as well. Due to increasing disposable income, increasing population, the rising development in countries, emerging technology like big data, cloud computing, IoT. Thus, it helps in fueling the demand for the adoption of smart cities in the forecast period from 2020-2027.
Companies such as Cisco Systems, IBM, Siemens AG, Schneider Electric, Ericsson, Vodafone, Itron Inc., Verizon, Telensa, ABB, Honeywell International Inc., SAP SE, KAPSCH Group, AGT International and others are the key players in global Smart Cities market.
By Smart Citizens
A smart city is an urban region that uses data and technology together to manage assets, resources, and services efficiently so that data is used to improve operations across the region.
The current size of the global smart cities market is expected to grow from USD 425 billion in 2020 to USD 845 billion by 2027.
Increased demand for public safety and communication infrastructure, Citizens empowerment network, Smart technology adoption are the key elements that are enabling the progress of the global smart cities market.
Increasing environmental concerns and the Need for green initiatives, Supporting Artificial Intelligence (AI) through the Internet of Things (IoT) are the key opportunities in the global smart cities market.
Dependency on networks for data collection, Security concerns, substantial initial investments are the area of concern for the smart cities market.