July 22, 2020
July 22, 2020
by Anastasiya Parkhomenko | 5 min read
Smart Cities are driving digital transformation to meet residents’ expectations, improve their quality of life, draw investors’ attention, attract new ideas and talent, support sustainable development, enhance social inclusion and resilience. Over the last two decades the technological landscape changed, making new services extremely scalable, hardware and sensors more affordable, and data analysis truly ubiquitous. Nearly 124 billion US dollars of global spending on smart city initiatives in 2020, an increase of around 19 per cent over 2019, reflect this breakthrough, according to the International Data Corporation’s (IDC) recent Worldwide Smart Cities Spending Guide.
Today, there is still a common misconception that smart cities are necessarily big cities. While the momentum of smart city initiatives is indeed expected to be sustained among the top spender cities in the short-term, the opportunities are mostly dispersed across medium-sized and small municipalities that invest in relatively small projects. Even though Singapore, Tokyo, New York and London, are each estimated to invest over 1 billion US dollars in smart city initiatives this year, in the same time, fewer than 80 cities are investing over 100 million US dollars per year.
In fact, the IDC report finds that around 70 per cent of the opportunity lies within cities that are spending 1 million US dollars or less per year. This offers smart city solution providers numerous opportunities to design affordable smart initiatives for small and medium-sized cities, learning from the experience of large-scale projects.
The technology, connectivity, cultural change and many other pieces necessary for modern smart city ecosystems are now available to improve cities for their residents. Below are a few trends and opportunities for smart cities and communities.
In 2019, resilient energy and infrastructure, was the dominant sector, represented by a third of smart city use cases globally, according to IDC. Applications in this sector are mostly focused on smart grids, both for electricity and gas distribution and consumption. Even though the smart grid market in western countries has now become mature, it is still expected to attract the largest share of investments in 2020. Smart grids help detect, react and pro-act to changes in usage, decreasing energy waste and enabling electricity customers to become active participants. Learn more about “IoT aware” Smart Grid Architectures in our case study.
Data-driven public safety area represented around 18 percent of overall smart city spending in 2019, powering numerous smart city use cases. Fuelled by real-time, ultra low latency technologies, smart police can ensure immediate response to alerts and incidents. Real-time surveillance leverages Big data analytics to identify potentially risky situations by cross-referencing any anomaly against a ‘normal’ data pattern to ensure traffic and street safety. Next-generation emergency systems are now becoming responsive to alerts made through connected systems, wearables, and social media. Discover how we leveraged 5G connectivity to ensure public safety with 4 use cases for a new urban connected ecosystem.
Traditional congestion-prone transportation systems involving trams, subways, buses, and taxis face new competition by services and micro-mobility platforms such as Uber, scooters and bicycles, amplifying the need for efficient regulation and safe coexistence. Intelligent transportation use cases represented nearly 14 percent of overall spending in 2019, according to IDC. The next years will likely be momentous for use cases enabling traffic control automation, smart toll collection, infrastructure damage reduction, smart traffic lights and traffic optimisation, emergency vehicle notifications, real-time parking management, and arrival of electric vertical take-off and landing aircrafts. Vehicle-to-everything (V2X) connectivity, digital twin technology, and 5G will largely contribute to advancements in intelligent transportation and smart traffic management.
With modern digital processes, Big data analytics, IoT, automation, neural networks, artificial intelligence, almost any imaginable thing seems to be possible. Smart city decision makers will have access to loads of data to right the wrongs of modern cities by making decisions, supported by exceedingly sophisticated analytical systems. At KDM FORCE, our advanced tech savvy experts are ready to turn your smart city ideas into sustainable reality. Contact us to discuss your smart city initiatives, use cases and our offering.