The Global Smart Cities to Reach 26 By 2025
In five years time the world's smart city market will value approxitmately US$1.565 trillion and By 2025, it is expected that around 58% of the world's population or 4.6 billion people will live in urban areas, according to Frost & Sullivan. Within the next ten years, North America and Europe will be host to over 50% of the expected 26 global smart cities. The researchers also pointed out trends in people movement that they think will pose challenges for city Planners.
"Governments of smart cities are transforming from a traditional model of a silo-based organisation to a more collaborative, integrated service delivery model. Cities will collaborate with each other to drive smart city innovation by entering into partnerships with each other", said Ivan Fernandez, Industry Director for Frost & Sullivan Australia & New Zealand.
By 2025, Frost & Sullivan is expecting to see 58% of the world's population or 4.6 billion people living in urban areas and in developed regions and cities, the urban population could account for up to 81% of total population.
Frost & Sullivan, said they see Smart Energy is the fastest growing market segment within Smart Cities, accounting for up 24% of the total global smart city market in 2025.
Smart Buildings will make up 7% of the total global smart city market in 2025; Frost & Sullivan sees this being driven by Miniaturisation, wireless-enablement and interoperability of sensors.
"Governments of cities should create a Smart City Stakeholder Group, encourage open collaboration and build digital infrastructure such as eServices and mHealth," said Fernandez "The private sector on the other hand, should evaluate their role in the smart city market; build a 'City as a Customer' Strategy; identify potential partners, business models and consortiums; develop capabilities in data analytics and cloud-based services; and develop services as a business model."
Ivan Fernandez presents these visionary insights showcasing the emergence of smart cities and the opportunities they offer for product and service vendors in his GIL Exclusive session on The Emergence of Smart Cities at GIL 2014 Australia (http://gil-events.gilcommunity.com/events/australia/agenda/) at Hilton Hotel, Sydney on 4th December 2014.