The Smart Cities Market is estimated to be valued at US$ 638.52 Bn in 2023 and is expected to exhibit a CAGR of 15.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The smart cities market involves implementation of internet of things (IoT) solutions in cities. These solutions help manage city assets, resources and services efficiently. Smart city solutions include smart utilities, smart transportation, smart security and so on. Implementation of IoT helps improve operational efficiency, public safety and quality of life in cities.
Market key trends:
The increasing adoption of Internet of Things (IoT) solutions across various sectors is estimated to drive growth of the smart cities market over the forecast period. IoT allows installation of sensors and data collection devices to analyze real-time data which help municipalities and city planners take improved decisions. IoT improves infrastructure management with solutions like smart parking, smart lighting, and environmental monitoring. Connected devices provide real-time insights which allows efficient resource allocation. This trend is expected to continue and boost the smart cities market growth.
Porter’s Analysis
Threat of new entrants: The huge capital requirements for infrastructure development and advanced technological expertise pose significant barriers for new players entering the smart cities market.
Bargaining power of buyers: The bargaining power of buyers is low as smart cities solutions are more complex systems provided by few technology giants leaving limited options for buyers.
Bargaining power of suppliers: Key technology providers like sensor manufacturers, telecom operators possess higher bargaining power being limited in number supplying core components and networking infrastructure.
Threat of new substitutes: No close substitutes currently exist for smart city comprehensive and integrated solutions combining different technologies and infrastructure.
Competitive rivalry: Intense competition exists among technology giants to capture large shares through innovative solutions and strategic collaborations.
SWOT Analysis
Strength: Smart cities solutions offer improved quality of life through efficient utility management, enhanced mobility, public safety and sustainability.
Weakness: High initial investments and dependence on advanced technologies pose implementation challenges for some cities. Privacy and data security issues can undermine user trust.
Opportunity: Rapid urbanization and growing focus on integrated solutions present substantial growth prospects. Developing countries provide major untapped markets.
Threats: Changing regulations and standards along with economic slowdowns pose risks to market forecasts and returns on investments. Technology obsolescence is another challenge.
Key Takeaways
The global Smart Cities Market Share is expected to witness high growth, exhibiting CAGR of 15.% over the forecast period, due to increasing urban population driving the need for sustainable urban infrastructure and facilities. The market size for 2023 is estimated at US$ 638.52 Bn.
Regional analysis: North America currently dominates the global smart cities market owing to robust investments and early adoption of advanced solutions across major cities. However, Asia Pacific is emerging as the fastest growing regional market with countries like China and India pushing large-scale smart city projects and attracting significant foreign investments.
Key players analysis: Key players operating in the smart cities market are Microsoft Corporation, Toshiba Corporation, AT&T, Inc., SAP SE, Cisco Systems, Inc., Philips Lighting, Ericsson, Huawei Technologies Co., Ltd., Panasonic Corporation, General Electric, Oracle Corporation, Hitachi Data Systems Corporation, and IBM. These companies are focusing on partnerships, mergers and acquisitions to strengthen their product portfolios and geographical footprint.
Read More,
https://www.pressreleasebulletin.com/smart-cities-market-trends-size-and-share-analysis/
