Smart Cities Market Size, Share, Growth Analysis, By Smart Transportation (Smart Ticketing, Connected Logistics), By Smart Utilities (Offering, Services), By Smart Citizen Service (Smart Healthcare, Smart Street Lighting), By Region - Industry Forecast 2024-2031

Smart Cities Market size was valued at USD 870.61 billion in 2022 and is poised to grow from USD 1094.3 billion in 2023 to USD 6820.8 billion by 2031, growing at a CAGR of 25.7% during the forecast period (2024-2031).

The smart cities market is already very competitive and fragmented globally. Major industry players capture the greatest share of the market by mostly focusing on product development to develop differentiation. But as more startups and new companies open shops, the level of competition is gradually increasing. Mergers and acquisitions play a significant role in the highly competitive smart city market since multiple vendors work together on projects to supply solutions.   'IBM Corporation ', 'Siemens ', 'Microsoft ', 'Huawei ', 'ABB ', 'Honeywell ', 'NEC ', 'Oracle ', 'Accenture ', 'Google ', 'Nokia ', 'Samsung ', 'Motorola ', 'Hitachi ', 'TCS '

The growing investment in smart city designs is one of the factors propelling the smart cities market's expansion. Since everything would be incorporated into these smart cities and some regions would profit from adopting smart cities for rubbish collection, certain plans are setting the trend in emerging countries where governments are investing billions of dollars in smart city designs. The cost of internet of things (IoT) sensors is another important element driving the expansion of the smart city industry. 

Many developing technologies have grown rapidly in the previous few years, such as Al, ML, cloud, data analytics, loT, and cyber security. Their increased use in smart city-related situations and improved connectivity have resulted in a fundamental change in the ecology for smart cities. The system may leverage cloud computing to share data with a centralized control center after gathering data from several sources with the aid of loT devices. These advanced technologies improve locals' quality of life while also being applied in areas such as privacy, security, and environmental sustainability.  

In 2023, North America held a larger share than any other region in the global smart cities market. The expansion of the local market can be attributed to the ongoing digital revolution taking place in many business verticals, such as government, communication, and finance. The region is home to several well-known technology vendors, a robust information and communication technology (ICT) infrastructure, and tight cooperation between municipal and federal governments and ICT providers. These service providers and other local government entities have partially created the municipal connectivity infrastructure, which will facilitate the area's readiness for the development of smart cities. Over the forecast period, these factors will support the expansion of the regional market.