Frost & Sullivan experts anticipate global smart cities to create a market value of more than $2 Trillion by the year 2025. According to Visionary Innovation Principal Consultant at Frost & Sullivan, Jillian Walker, in the last two years, AI (Artificial Intelligence) and robotics is the technology innovation area that has enjoyed the highest funding among large investments rising from both the corporate and independent venture capital companies.
Over 60% of the population in developing countries and 80% in developed nations is anticipated to live in cities by the year 2050. The formation of smart cities allows a smooth transition to urbanization as a result of advancements in technology which enables municipalities to effectively utilize resources for maximum benefit to the general population. That includes fiscal, improving the quality of life and time utilization.
Robotics and Artificial Intelligence plays a vital role in future cities in areas such as the smart grid, smart mobility, adaptive traffic signal control systems (ASTC), smart parking, and waste management.
Mega-corporations such as Microsoft, IBM, and Google lead in tech innovations and are the key influencers of the adoption of robotics and AI. Smart cities are expected to create large volumes of business opportunities with an anticipated market value of more than $2 trillion by 2025.
North America is quickly catching up, with various Tier II cities being established, such as Portland and Denver, interested in building mart city portfolios. The total number of the smart buildings market in North America, comprising the overall value of smart sensors, software sold, systems, controls, and hardware, is estimated to hit $5.74 billion in 2020.
The future will consist of integrated solutions aimed at connecting all vertical planes in a given platform. According to Visionary Innovation Senior Research Analyst at Frost and Sullivan, Vijay Narayanan, Internet of Things (IoT), is advancing to allow integrated solutions. Presently, a majority of smart city models are not interconnected and are essentially used to provide solutions in silos.