San Francisco, April 10, 2016 (GLOBE NEWSWIRE)
Global smart cities market size was valued at USD 567.45 billion in 2013. Exponentially increasing population, and rapid urbanization coupled with continuous industrialization are key factors expected to positively affect the market. Smart cities are developed & designed to cater to a wide range of challenges including urban mobility, energy management, street lighting, public safety and water management. The market is expected to register a rapid growth at an estimated CAGR of 13.6% from 2014 to 2020.
Smart cities are developed using latest technologies including sensor networks, data analytics, cloud computing and wireless communications. Implementation of smart cities is based on the reduction of dependency on non-renewable resources for energy and improving fuel efficiency.
Smart transportation was the largest application segment accounting for 16.1% of the global market share in 2013. Rising popularity of transport solutions including parking management, ticketing management, guidance system, passenger information systems, traffic management and supervision system is expected to augment the market demand over the forecast period. Smart transportation is anticipated to witness growth at an estimated CAGR of 15.2% over the forecast period.
Smart security was valued at USD 77.19 billion, owing to increasing incidences of theft resulting in higher security needs. The smart-security application segment is expected to witness significant gains at a CAGR of 14.8% from 2014 to 2020. Industrial automation is anticipated to witness significant gains at a CAGR of 14.4%,owing to the rising demand for integration of intelligent systems and communication infrastructure.
North America dominated the global market generating revenues of USD 194.98 billion in 2013. The regional market is expected to witness a rapid growth at a CAGR of 12.3% over the forecast period, owing to rising development of the transportation sector and water infrastructure. Stringent government regulations, to minimize the carbon emission, are projected to boost market demand.
Asia Pacific accounted for 21.7% of the market share in 2014 and is expected to witness significant gains owing to the rising expendable incomes, improved living standards and an exponentially increasing population in the emerging economies of the region. Smart transportation, smart energy manager, and industrial automation are the leading application segments in the region owing to the rising demand for residential developments and increasing R&D developments in the region over the forecast period.