Press release
US Smart Cities Market Growth Opportunities | Key Companies include Microsoft, Oracle, AWS, Google and Ketos
Cisco (US), IBM (US), Microsoft (US), Intel (US), Oracle (US), Honeywell (US), AWS (US), Motorola (US), GE (US), Google (US), AT&T (US), Ketos (US), Itron (US).
A recent report by MarketsandMarkets, titled "US Smart Cities Market [https://www.marketsandmarkets.com/PressReleases/us-smart-cities.asp?utm_campaign=ussmartcitiesmarket&utm_source=abnewswire.com&utm_medium=paidpr] by Focus Area, Smart Transportation, Smart Buildings, Smart Utilities, Smart Citizen Services (Public Safety, Smart Healthcare, Smart Education, Smart Street Lighting, and E-Governance), and Region - Global Forecast to 2028," projects that the US Smart Cities market will grow from USD 152.8 billion in 2024 to USD 260.9 billion by 2028, registering a CAGR of 11.2% over the forecast period.
The market is experiencing robust growth fueled by significant government initiatives such as the Infrastructure Investment and Jobs Act (IIJA) and the SMART Grants Program. The widespread integration of technologies like 5G, IoT, and AI is transforming urban infrastructure, transportation, and sustainability efforts. Increasing demand for smart mobility solutions, energy-efficient buildings, and advanced cybersecurity is further propelling market expansion. Additionally, partnerships among technology companies, municipal authorities, and federal programs are driving ongoing innovation. With cities prioritizing resilience, operational efficiency, and quality of life, the US Smart Cities market is poised for sustained and dynamic development.
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The Smart transportation segment accounted for the largest share in the US smart cities market in 2023.
Smart transportation segment will dominate in the US smart cities market as cities focus on efficiency, sustainability, and enhanced mobility solutions. Urban mobility is being redefined by the growth of EV infrastructure, autonomous transport, and microtransit that alleviates traffic congestion and lowers emissions. 5G, IoT, and AI technologies allow traffic flow to be optimized in real-time and augmented public transport, making it safer and more efficient. Advancements like autonomous trucks and geofenced e-scooters are continuing to hasten developments. While cities continue growing, there will be the growing demand for unified, nicely interconnected transportation networks pushing the rise of smart transport as the most influential urban development sector.
The residential segment accounted for the largest share by smart building in the US smart cities market in 2023.
The residential segment in the US smart cities market is growing as more homeowners seek comfortable, efficient, and secure living spaces. Smart climate control, connected appliances, and automated lighting make daily life easier while helping to save energy. Advanced security features like smart cameras and access controls enhance safety, while smart grids and energy management systems help lower costs and reduce environmental impact. Developers are integrating these technologies into new homes, and homeowners are upgrading existing properties with automation. With urban expansion and a stronger focus on sustainability, the demand for smart, energy-efficient, and secure homes will only grow.
The energy segment is expected to grow at a higher rate during the forecast period.
The energy segment is growing the fastest in the US smart cities market as cities push for efficiency, sustainability, and modernized power infrastructure. Smart grids using AI and IoT are making energy distribution smarter by reducing outages and smoothly integrating renewables like solar and wind. Battery storage and demand-response systems help manage power usage more efficiently, easing the strain on the grid. Government incentives are fueling clean energy investments while rising electricity costs are driving cities and businesses toward smarter energy solutions. With the growing need for reliable and sustainable power, the smart energy sector is set to expand even further.
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Top Companies in the US Smart Cities Market
Key players in the US smart cities market are Cisco (US), IBM (US), Microsoft (US), Intel (US), Oracle (US), Honeywell (US), AWS (US), Motorola (US), GE (US), Google (US), AT&T (US), Ketos (US), Itron (US).
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