The global smart cities market is anticipated to grow at a CAGR of above 18% during forecast period 2019 to 2026 and expected to reach above US$ 263,495 Mn by 2026.
Government across the globe is focused on smart cities with the objective to provide cities with improved infrastructure which will simplify people’s lives. With the growing urbanization, the government is focused on solving modern problems with contemporary solutions. The smart cities are an approach that is composed of information and communication technology to deploy and promote a sustainable environment.
With the introduction of high speed internet across the globe, adoption of connected devices from various end use industries, along with high government spending on various smart city projects in order to smooth the way of living are some factors driving the global market growth. Adoption of cloud, big data, and cognitive technology, major players are focused on providing high-speed internet in order to facilitate the adoption.
Governments of developed and developing countries are spending high on the development of various smart city projects. They are more focused on improving the citizen’s lives and provide better opportunities, the core objectives is to promote cities that have developed infrastructure and provide a clean and sustainable environment for living.
Rapid industrialization and urbanization are resulting in demand for developed, efficient and sustainable infrastructure that helps in tackling the problems across various industries such as power and energy, transportation, etc. The introduction of various initiatives across domains such as mobility, utility management, safety, etc. are among other factors impacting the market growth positively.
However, factor such as high initial investment for the development of smart cities is expected to hamper the global market growth. There is high investment involved in deploying improved infrastructure and upgrading the present one in order to support the adoption of various facilities. It is difficult for government of developing countries to spend such high cost.
An increase in investment and approach towards collaboration by the government is expected to further support the market growth over the forecast period. In 2019, the government of India and Sweden approach towards a collaborative work in order to address the challenges of smart cities and clean technologies.
The application segment of the global market is bifurcated into governance, building, environmental solution, utilities, transportation and healthcare. The governance segment is expected to account for high revenue share.
Segment Analysis by Region
The North America market is expected to account for high revenue share due to soaring government spending on the development of infrastructure, healthcare sector, coupled with new innovative product launches from major players is expected to further support the growth of the regional market
Moreover, major players inclination towards business development through strategic mergers and acquisitions in order to increase the business presence is expected to positively impact the regional market growth.
The competitive scenario is high due to the emergence of small players on regional level providing customized solutions. Moreover, business development activities in order to increase the profit ratio will increase the competition over the forecast period.
The market research study on “Smart Cities Market (Application: Governance, Building, Environmental Solution, Utilities, Transportation and Healthcare) – Global Industry Analysis, Market Size, Opportunities and Forecast, 2019 - 2026”, offers detailed insights on the global smart cities market entailing insights on its different market segments. Market dynamics with drivers, restraints, and opportunities with their impact are provided in the report. The report provides insights into the global smart cities market by application and major geographic regions. The report covers basic development policies and layouts of technology development processes. Secondly, the report covers global smart cities market size and segment markets by application and geography along with the information on companies operating in the market. The smart cities market analysis is provided for major regional markets including North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. For each region, the market size for different segments has been covered under the scope of the report.
The players profiled in the report include Accenture, ABB Limited, Schneider Electric SE, Cisco Systems, Inc., Siemens AG, IBM Corporation, Microsoft Corporation, Oracle Corporation, Honeywell International Inc., Hitachi, Ltd., Huawei Technologies Co. Ltd., and Intel Corporation.
Market By Application:
Market By Region
The smart cities are an approach that is composed of information and communication technology to deploy and promote a sustainable environment.
The global smart cities market in 2018 was above US$ 69,490 Mn.
In the product segment the governance segment is growing at faster pace.
The CAGR of the global smart cities market from 2019-2026 is above 18%.
Some of the players considered in the report scope are Siemens AG; IBM Corporation; Microsoft Corporation, Oracle Corporation.
The North America market growth driven by soaring government spending on the development of infrastructure, healthcare sector, coupled with new innovative product launches from major players.
The global smart cities market is segmented into application and major geographic regions.