PUBLISHER: Global Market Insights Inc. | PRODUCT CODE: 1684775
PUBLISHER: Global Market Insights Inc. | PRODUCT CODE: 1684775
Smart Cities Market Opportunity, Growth Drivers, Industry Trend Analysis, and Forecast 2024 - 2032
The Global Smart Cities Market, valued at USD 634 billion in 2024, is projected to expand at a robust CAGR of 15.8% from 2025 to 2034. This growth is driven by the pressing need to address the challenges posed by rapid urbanization and population growth. As cities continue to grow at an unprecedented rate, urban infrastructure is under immense strain, which in turn fuels the demand for innovative solutions. Smart cities leverage cutting-edge technologies like the Internet of Things (IoT), artificial intelligence (AI), and big data analytics to improve urban planning, streamline public services, and create more sustainable, efficient environments. With the help of these technologies, smart cities aim to make better use of resources, reduce costs, enhance the quality of life for citizens, and drive economic growth.
The smart cities market is dominated by several key technologies, including IoT, big data analytics, cloud computing, and AI. Among these, the IoT segment is expected to lead, with a projected market value of USD 1.01 trillion by 2034. IoT plays a critical role by connecting various devices, sensors, and systems, enabling the collection of real-time data. This integration fosters smarter decision-making, greater operational efficiency, and optimized public service delivery. Applications of IoT in smart cities span multiple sectors, such as traffic management, energy monitoring, waste management, and public safety, making it a key driver in improving overall urban functionality.
| Market Scope | |
|---|---|
| Start Year | 2023 |
| Forecast Year | 2024-2032 |
| Start Value | $634 Billion |
| Forecast Value | $2.74 Trillion |
| CAGR | 15.8% |
The smart mobility segment within the market is also experiencing rapid growth, with a strong focus on urban mobility solutions, traffic surveillance, and management, as well as parking management and connected logistics. The connected logistics sector is anticipated to see the fastest growth, expanding at a CAGR of 16.9% between 2025 and 2034. Technologies like IoT, GPS, and AI are transforming logistics by offering real-time tracking, route optimization, and improved supply chain management, making transportation more efficient and reducing environmental impact.
The US smart cities market accounted for a dominant share of 84.1% in 2024, reflecting its ongoing leadership in this space. This growth is propelled by substantial government investments and technological advancements in IoT, AI, and big data analytics. The US continues to spearhead smart city initiatives, particularly through federal funding and policies that promote the adoption of smart solutions. These solutions are helping to optimize public services, such as transportation, energy management, and safety. However, challenges like high implementation costs and cybersecurity concerns remain. Despite these obstacles, the market is supported by strong infrastructure investments, favorable regulatory frameworks, and a clear commitment to the development of smart city technologies.
Table of Contents
Chapter 1 Methodology & Scope
- 1.1 Market scope & definitions
- 1.2 Base estimates & calculations
- 1.3 Forecast calculations
- 1.4 Data sources
- 1.4.1 Primary
- 1.4.2 Secondary
- 1.4.2.1 Paid sources
- 1.4.2.2 Public sources
Chapter 2 Executive Summary
- 2.1 Industry synopsis, 2021-2034
Chapter 3 Industry Insights
- 3.1 Industry ecosystem analysis
- 3.1.1 Factor affecting the value chain
- 3.1.2 Profit margin analysis
- 3.1.3 Disruptions
- 3.1.4 Future outlook
- 3.1.5 Manufacturers
- 3.1.6 Distributors
- 3.2 Supplier landscape
- 3.3 Profit margin analysis
- 3.4 Key news & initiatives
- 3.5 Regulatory landscape
- 3.6 Impact forces
- 3.6.1 Growth drivers
- 3.6.1.1 Rising urbanization and population growth
- 3.6.1.2 Government initiatives and funding for smart city projects
- 3.6.1.3 Advancements in IoT and connectivity technologies
- 3.6.1.4 Increasing focus on sustainability and energy efficiency
- 3.6.1.5 Data privacy and security concerns
- 3.6.2 Industry pitfalls & challenges
- 3.6.2.1 Growing demand for improved public safety and security
- 3.6.2.2 High implementation costs and limited funding
- 3.6.1 Growth drivers
- 3.7 Growth potential analysis
- 3.8 Porter’s analysis
- 3.9 PESTEL analysis
Chapter 4 Competitive Landscape, 2024
- 4.1 Introduction
- 4.2 Company market share analysis
- 4.3 Competitive positioning matrix
- 4.4 Strategic outlook matrix
Chapter 5 Market Estimates & Forecast, By Technology, 2021-2034 (USD Billion)
- 5.1 Key trends
- 5.2 Urban mobility solutions
- 5.3 Traffic surveillance & management
- 5.4 Parking management
- 5.5 Connected logistics
- 5.6 Others
Chapter 6 Market Estimates & Forecast, By Smart Mobility, 2021-2034 (USD Billion)
- 6.1 Key trends
- 6.2 Steel
- 6.3 Copper and copper alloys
- 6.4 Plastic
- 6.5 Others (Composite Material, etc.)
Chapter 7 Market Estimates & Forecast, By Smart Healthcare, 2021-2034 (USD Billion)
- 7.1 Key trends
- 7.2 Telemedicine
- 7.3 Remote healthcare
- 7.4 Smart hospitals
- 7.5 Others
Chapter 8 Market Estimates & Forecast, By Smart Building, 2021-2034 (USD Billion)
- 8.1 Key trends
- 8.2 Building Energy Management Systems (BEMS)
- 8.3 Smart homes
- 8.4 Smart grid
- 8.5 Safety & security management
- 8.6 Others
Chapter 9 Market Estimates & Forecast, By Smart Utilities, 2021-2034 (USD Billion)
- 9.1 Key trends
- 9.2 Energy & water management
- 9.3 Waste management
- 9.4 Meter data management
- 9.5 Distribution management system
- 9.6 Others
Chapter 10 Market Estimates & Forecast, By Smart Governance, 2021-2034 (USD Billion)
- 10.1 Key trends
- 10.2 City surveillance
- 10.3 E-governance
- 10.4 Smart lighting
- 10.5 Smart infrastructure
Chapter 11 Market Estimates & Forecast, By Region, 2021-2034 (USD Billion)
- 11.1 Key trends
- 11.2 North America
- 11.2.1 U.S.
- 11.2.2 Canada
- 11.3 Europe
- 11.3.1 UK
- 11.3.2 Germany
- 11.3.3 France
- 11.3.4 Italy
- 11.3.5 Spain
- 11.3.6 Russia
- 11.4 Asia Pacific
- 11.4.1 China
- 11.4.2 India
- 11.4.3 Japan
- 11.4.4 South Korea
- 11.4.5 Australia
- 11.5 Latin America
- 11.5.1 Brazil
- 11.5.2 Mexico
- 11.6 MEA
- 11.6.1 South Africa
- 11.6.2 Saudi Arabia
- 11.6.3 UAE
Chapter 12 Company Profiles
- 12.1 ABB Ltd.
- 12.2 AT&T Inc.
- 12.3 AVEVA Group plc.
- 12.4 Cisco Systems, Inc.
- 12.5 Ericsson
- 12.6 Fujitsu Limited
- 12.7 General Electric
- 12.8 Hitachi, Ltd.
- 12.9 Honeywell International Inc.
- 12.10 Huawei Technologies Co., Ltd.
- 12.11 IBM
- 12.12 Intel Corporation
- 12.13 Itron Inc.
- 12.14 Microsoft Corporation
- 12.15 NEC Corporation
- 12.16 Nokia
- 12.17 Oracle Corporation
- 12.18 Schneider Electric SE
- 12.19 Siemens AG
- 12.20 Telefónica S.A.
- 12.21 Verizon
