Smart Cities Market Size, Share & Trends Report

Smart Cities Market Size, Share & Trends Analysis Report By Application (Education, Governance, Buildings, Mobility, Healthcare, Utilities), By Component (Services, Solutions), And Segment Forecasts 2014 - 2025

  • Published Date: Feb, 2018
  • Base Year for Estimate: 2016
  • Report ID: 978-1-68038-270-9
  • Format: Electronic (PDF)
  • Historical Data: 2014-2016
  • Number of Pages: 120

Industry Insights

The global smart cities market size was valued at USD 563.36 billion in 2016 and is estimated to grow significantly over the coming years. With growing awareness about ‘smart everything’, the smart cities concept has also been gathering increasing attention, which is essentially the end result of all intermediary technologies. A smart city can be defined in numerous ways, but in its most basic sense, it leverages available technologies and innovations to enhance the living conditions of its residents. It necessarily focuses on integrating infrastructure, social and human capital, and disruptive technologies to build a sustainable economy and participatory governance.

U.S. smart cities market

Driven by recent technological advances in domains such as healthcare, transport, energy, governance, and intelligence gathering, the market is anticipated to expand at a healthy CAGR in the coming years. The market is propelled by growing adoption of technologies such as Internet of Things (IoT), cloud computing, big data, cognitive computing, and open data.

Although the industry makes use of a diverse set of technologies and smart sensors, the application areas differ from city to city or community to community. Need for developing resilient cities, saving energy, and building a sharing economy are also acting as major forces in helping the industry thrive in the global economy.

Governing bodies have played the most influential role in the development of smart cities as they are instrumental in making the right choices and facilitating changes. It is interesting to note the prescient role the city and local governments have taken in smart city initiatives, compared to national and regional governing bodies. They have been undertaking an increasing number of diverse roles such as strategists, solutions enablers, and stewards by creating and providing effective ecosystems for building solutions.

Application Insights

The market is divided into six application segments, of which, smart governance dominates the current scenario. Numerous countries are making their administrative services available to residents with the help of advanced technologies. As governing bodies world over try to develop their infrastructure in line with technological leaps, the segment may further grow in the coming years.

The smart education and smart utilities segments are also expected to show significant growth over the forecast period, owing to increasing government initiatives. The smart utilities segment is propelled by growing demand in energy grids and smart meters in urban areas. This is attributed to rising need to control energy usage and develop sustainable communities.

Component Insights

The market for smart cities is currently dominated by numerous solutions that strive to accommodate the sprawl of urban communities and cater to their demands. In the near future, demand for services is anticipated to increase as they will shed their current auxiliary role in the industry and attain a more mainstream function.

Europe smart cities market

The professional services segment is expected to emerge as the largest and fastest growing service in the industry, owing to its wide range of applications. Professional services span the entire lifecycle of various solutions employed to service industry segments, which may boost their adoption and create additional demand. Integration and deployment services are expected to lose market share to professional services in the coming years as smart city scenarios become more managed-services oriented.

Regional Insights

The smart cities market is witnessing proactive interest in almost all regions around the world. Europe emerged as the largest market for smart solutions as it exhibits a rather developed marketplace as compared to other regions. The European Union’s initiatives, combined with major development projects initiated by local governing bodies, have aided in the region’s growth as the largest adopter of this technology.

Asia Pacific is anticipated to be the fastest growing region due to increasing demand for smart solutions for energy management, infrastructure management, and smart mobility. The growing exodus of people toward cities is also a prime factor that may positively affect demand for smart solutions. This is particularly true for urban regions as they struggle to provide facilities to an ever-increasing population.

Smart Cities Market Share Insights

Key industry participants include ABB Group, Accenture, Cisco Systems, Schneider Electric, Siemens, IBM Corp., General Electric, and Microsoft. Companies such as Hitachi; Honeywell International Inc.; Intel; Oracle; Huawei Technologies Ltd.; and Johnson Controls are also at the forefront of developing smart city solutions.

The industry may also witness a rise in small companies addressing niche markets and providing customized solutions with limited scope; the marketplace will, however, be dominated by large technology giants. Growing number of collaborations between governments and companies to develop and implement pilot projects also marks the industry.

Report Scope

Attribute

Details

Base year for estimation

2016

Actual estimates/Historical data

2014 - 2016

Forecast period

2017 - 2025

Market representation

Revenue in USD Billion and CAGR from 2017 to 2025

Regional scope

North America, Europe, Asia Pacific, South America, and MEA

Country scope

U.S., Canada, U.K., Germany, France, Spain, China, Japan, India, and Australia

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

15% free customization scope (equivalent to 5 analyst working days)

If you need specific market information that is not currently within the scope of the report, we will provide it to you as a part of the customization.


Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and analyzes latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global smart cities market report based on application, component, and region:

  • Application Outlook (Revenue, USD Billion, 2014 - 2025)

    • Smart Education

    • Smart Governance

    • Smart Buildings

    • Smart Mobility

    • Smart Healthcare

    • Smart Utilities 

  • Component Outlook (Revenue, USD Billion, 2014 - 2025)

    • Solutions

    • Services

      • Integration & Deployment

      • Professional Services

  • Regional Outlook (Revenue, USD Billion, 2014 - 2025)

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

      • France

      • Spain

    • Asia Pacific

      • China

      • Japan

      • India

      • Australia

    • South America

    • Middle East & Africa

Key questions answered by the report
Request for Customization

Choose License Type

Single User - $5,950
Multi User (2-5) - $7,950
BI Library Access - $17,950

Buy Chapters or Sections

Avail customized purchase options to meet your exact research needs:

  • Buy sections of this report
  • Buy country level reports
  • Request for historical data
  • Request discounts available for Start-Ups & Universities

Why Choose Us

  • Research support

    24/5 Research support

    Get your queries resolved from an industry expert.

  • Custom research service

    Custom research service

    Design an exclusive study to serve your research needs.

  • Quality assurance

    Quality assurance

    A testimonial for service in the form of BBB "A" Accreditation.

  • BBB Rating dandb
  • Information security

    Information security

    Your personal and confidential information is safe and secure.

  • grand view research PCI DSS complaint grand view research paypal verified