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Japan Emerging Technologies in Smart Cities Market Report Size, Share, Growth, Analysis, Outlook and Forecast 2022-2027 | ABB Ltd., Alphabet Inc., Fujitsu Ltd., IBM Corporation, Toshiba Corporation, Oracle Corp.,

09-23-2022 07:13 AM CET | IT, New Media & Software

Press release from: Astute Analytica

Japan Emerging Technologies in Smart Cities Market Report Size,

According to the study published by Astute Analytica, the Japan Emerging Technologies in Smart Cities Market is anticipated to witness a rise in its revenue from US$ 9,968.3 Mn in 2021 to US$ 22,750 Mn by 2027. The market is registering a CAGR of 14.7% over the forecast period 2022-2027. The market is majorly driven by factors such as rising need for public safety & communication infrastructure, increasing number of government initiatives and PPP models for smart cities. 

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Market Snapshot:

A smart city uses different types of electronic methods, voice activation methods and sensors to collect specific data. It includes data collected from citizens, devices, buildings and assets which is processed and analyzed to monitor and manage traffic and transportation systems, power plants, utilities, water supply networks, waste, crime detection, information systems, schools, libraries, hospitals, and other community services. Smart city technology has been widely adopted in recent years to improve public safety which can range from monitoring areas of high crime rates to improving emergency preparedness with sensors and many more. 

Market Dynamics


The growing impetus of the market is attributed to rising need for public safety & communication infrastructure, increasing number of government initiatives and PPP models for smart cities. AI and IoT driven technologies are being used in smart cities to maintain a healthier environment, improve public transportation, and improve safety. In May 2020, the Super City Law was enacted in Japan. This new law aims to improve the collaboration between the public and private sectors for the digital transformation of cities. Cities selected as Super Cities will deploy AI and big data in medical care, education, energy, crime prevention and transportation, including the development and use of autonomous vehicles. Further, Japan's national vision for a data-driven, human-centric, next-generation society that uses AI, big data, and IoT is known as Society 5.0, which will provide appropriate solutions using such technology. Moreover, private companies in Japan are also propelling the market growth. For instance, Panasonic was one of the first companies that successfully built a smart city in Japan in Kanagawa Prefecture. 


Privacy and security are a major area of concern in smart city projects. As the ecosystem of smart cities depends majorly on IoT and central access points for different data, the vulnerability of the whole ecosystem is high.


The increasing utilization of energy sources results in the rising amount of energy dissipation and carbon emissions, which urgently demand a sustainable and efficient use of energy. Therefore, increasing environmental concerns and demand for green initiatives are the emerging opportunities in the Global Smart Cities Market.

Segmental Analysis:

IoT technology leads the Japan Emerging Technologies in Smart Cities Market in 2021

Based on technology, the market is segmented into Internet of Things (IoT), Artificial Intelligence, cloud computing, high performance computing, edge computing, big data analytics, quantum computing and other technologies. Among these, the Internet of Things (IoT) segment dominated the emerging technologies in smart cities market of Japan in 2021. This is because IoT offers multiple opportunities for smart cities to use data for traffic control, pollution reduction, making better use of infrastructure and keeping citizens safe.

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Cloud-based deployment dominates the market in 2021

In terms of deployment, the market is bifurcated into cloud-based and on-premises. The cloud-based segment holds the highest market share in 2021. This is due to increased speed and simplified scalability offered by the cloud-based systems.  Furthermore, cloud-based deployment has high data security as well as capacity. The cloud-based segment also registers the highest annual growth rate over the projection period. 

Smart Citizen Services application dominates the Japan Emerging Technologies in Smart Cities Market in 2021

In terms of application, the market is classified into smart transportation, smart utilities, smart governance, smart home & building, smart citizen services, smart mobility, and others. Out of these, the smart citizen services have the highest market share in the Japan emerging technologies in smart cities market in 2021. This is because citizen safety is the major priority for every government, and it is the same for Japanese government. Further, people are highly dependent on the safety services that are offered by the government at different levels.

Impact of COVID-19

During the COVID-19 pandemic, the demand for smart city technologies slightly reduced in Japan due to the reduced spending by government and private companies in smart city development, which led to cutbacks in service infrastructure. Furthermore, strict lockdown due to Covid-19 led to the shutdown of manufacturing industry thereby disrupting the supply chains. This has created stress on the supplies of the several products and services offered by this industry. However, the adoption of emerging technologies is expected to fuel market growth during the post pandemic times as regulatory authorities of Japan are majorly focused on monitoring the health, safety, and living standard of their citizens.

Competitive Insight:

ABB Limited is a technology company. The Company energizes the transformation of society and industry to achieve a more productive, sustainable future.
IBM Corporation is a US based company engaged in the information technology and service. The company is a cloud platform and cognitive solutions company. 
Alphabet Inc. is an information technology and services company. It is a global professional services company with leading capabilities in digital, cloud and security.
Cisco Systems Inc. is a computer networking company. It is a global professional services company with prominent capabilities in digital technology, cloud, and security. It enables people to make powerful connections--whether in business, education, philanthropy, or creativity.
Oracle Corporation is a US based company and engaged in the information technology and service. The company's Cloud Infrastructure offers higher performance, security, and cost savings.
Foxconn Technology Co. Ltd. is a Taiwan-based company and is engaged in the R&D, manufacture and distributor of computers, communications, and consumer electronics (3C) products. The Company mainly distributes its products in China, the United States and Japan.

Segmentation Overview

The following are the different segments of the Japan Emerging Technologies in Smart Cities Market:

By Technology segment of the Japan Emerging Technologies in Smart Cities Market is sub-segmented into:

Internet of Things (IoT) 
Satellite Network 
Cellular Network 
Radio Frequency Identification 
Near Field Communication 
Artificial Intelligence (AI) 
Deep Machine Learning 
Artificial Neural Network 
Voice Recognition
Pattern Recognition 
Natural Language Processing 
Context Aware Processing 
Other AI Technologies 
Cloud Computing 
High Performance Computing 
Edge Computing 
Smart Mobility 
Big Data Analytics 
Quantum Computing 
Other Technologies 

By Deployment segment of the Japan Emerging Technologies in Smart Cities Market is sub-segmented into:


By Smart Transportation segment of the Japan Emerging Technologies in Smart Cities Market is sub-segmented into:

Smart Transportation
Parking Management
Ticketing & Travel Management
Traffic Management
Passenger Information Management System
Freight Information System
Other Smart Transportation Systems
Smart Utilities
Energy management
Advanced Metering Infrastructure
Smart Grid
Water Management
Distribution Management
Other Smart Utilities
Smart Governance
E-Governance Solutions
Smart Public Safety
Law Enforcement
City Planning
Other Governance Services
Smart Home & Building
Building Automation System
Energy Management Systems
Parking Management System
Emergency Management System
Other Smart Building Systems
Smart Citizen Service
Smart Education
Smart Healthcare
Emergency Response System
Video Surveillance System
Assisted Living Solution
Other Citizen Services
Smart Mobility
Electric Vehicle Charging
Tunnel Management
Tolling Management
Other Mobility Solutions
Other Applications (Security & Surveillance)

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About Astute Analytica:

Astute Analytica is a global analytics and advisory company that has built a solid reputation in a short period, thanks to the tangible outcomes we have delivered to our clients. We pride ourselves in generating unparalleled, in-depth, and uncannily accurate estimates and projections for our very demanding clients spread across different verticals. We have a long list of satisfied and repeat clients from a wide spectrum including technology, healthcare, chemicals, semiconductors, FMCG, and many more. These happy customers come to us from all across the globe.

They are able to make well-calibrated decisions and leverage highly lucrative opportunities while surmounting the fierce challenges all because we analyze for them the complex business environment, segment-wise existing and emerging possibilities, technology formations, growth estimates, and even the strategic choices available. In short, a complete package. All this is possible because we have a highly qualified, competent, and experienced team of professionals comprising business analysts, economists, consultants, and technology experts. In our list of priorities, you-our patron-come at the top. You can be sure of the best cost-effective, value-added package from us, should you decide to engage with us.

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