Smart Cities Market by Focus Areas, Transportation (Types, Solutions, Services), Utilities (Types, Solutions, Services), Buildings (Types, Solutions, Services), Citizen Services (Types), and Region - Global Forecast to 2022
“Rapid connectivity & fast telecommunication provision and growing population & hyper-urbanization are the major driving factors for the smart cities market”
The smart cities market size is projected to grow from USD 424.68 billion in 2017 to USD 1,201.69 billion by 2022, at a Compound Annual Growth Rate (CAGR) of 23.1%. The driving factors for the growth of smart cities market are rapid Connectivity and fast telecommunication provision; growing population and hyper-urbanization; government initiatives; growing energy consumption & requirement for optimization of energy usage during peak hours; increasing share of renewable energy and limitations in capacity expansion; and decrease in operational cost for smart building infrastructures in capacity expansion.
“Building segment in smart cities focus areas to gain maximum traction during the forecast period.”
The building segment in smart cities focus areas is expected to grow at the highest CAGR during the forecast period. The increasing need for a centralized system for controlling and monitoring of various devices, such as lighting; Heating, Ventilation, and Air Conditioning (HVAC); surveillance, and emergency response, to energy efficiency and security enhancement in the building premises is driving the market for smart cities.
“Smart roadways is expected to be fastest growing market in the smart transportation segment by type during the forecast period.”
Smart transport management solutions have been effective to curtail the traffic woes in some mega cities. The new generation of solutions offer features, such as traffic prediction, analytics and decision support, traveler information, advisory services, and ticketing and fare collection. Innovative tools, such as roadside sensors, Radio-Frequency Identification (RFID) tags, and Global Positioning System (GPS) also help monitor and manage transportation and roadways more effectively.
“Europe is estimated to have the largest market share in 2017.”
Europe gives a great opportunity to smart city solution vendors to develop innovative smart city solutions, particularly energy, mobility, and governance. The European Commission initiated the European Innovation Partnership (EIP) on Smart Cities and Communities in 2012. The important targets of EIP are better public transits, more energy efficient buildings and transportation, reduced carbon emissions, and sustainable environment. Asia Pacific is projected to grow at the fastest CAGR and will dominate the market by 2022.
In the process of determining and verifying the market size for several segments and subsegments gathered through secondary research, extensive primary interviews have been conducted with key people.
• By Company: Tier 1 - 36%, Tier 2 - 21% and Tier 3 - 43%
• By Designation: C level - 75%, Director Level - 15% and others - 10%
• By Region: North America - 70%, Europe - 15%, and APAC - 15%.
The smart cities ecosystem comprises the following major vendors:
Various key smary city solution and service providers profiled in the report are as follows:
1) IBM Corporation (US)
2) Cisco Systems, Inc. (US)
3) Microsoft Corporation (US)
4) Schneider Electric SE (France)
5) Siemens AG (Germany)
6) Oracle Corporation (US)
7) Huawei Investment & Holding Co. Ltd. (China)
8) Ericsson (Sweden)
9) Toshiba Corporation (Japan)
10) Hitachi, Ltd. (Japan)
The report segments the smart cities market on the basis of focus areas: transportation, utilities, building, and smart citizen services. By regions – North America, Europe, APAC, MEA, and Latin America. Along with the focus areas, such as smart transportation, smart utilities, and smart buildings, which are segmented further by types, solutions, and services. Whereas, the smart citizen services are segmented based on their types–smart education, smart healthcare, and security and threat management.
Reason to Buy the Report:
1. The report segments the smart cities market comprehensively and provides the closest approximations of the revenue numbers for the overall market and the subsegments. The market numbers are further split across the various verticals and regions.
2. This report will help organizations better understand their competitors and gain more insights to better position their business. There is a separate section on competitive landscape, including the vendor analysis. Besides, there are company profiles of 10 major players in this market. In this section, market internals are provided, which can put them ahead of the competitors. The report also covers key innovators in the market.