A new report by US market analytics and consulting firm Compass Intelligence has released a new report on smart cities, covering various aspects of IoT to study demand for smart energy, smart transportation, smart buildings, smart security and connected homes.
Apart from examining different smart city drivers - IoT-enabling components including hardware, software, connectivity, and data analytics, the Compass report titled, "Smart Cities: The New Frontier for Opportunities in IoT" also covers the several challenges impacting smart cities.
The Texas-based consulting firm explains that continued growth of the urban population worldwide, public and private sector stakeholders are partnering to develop solutions that ease the pressures on existing infrastructure and resources.
The report emphasises the efforts of hardware and software vendors, systems integrators, governments to address the challenges faced by evolving cities. It also includes a review of the overall market opportunity for vendors involved in developing and the implementation of smart city solutions.
Compass Intelligence found that the smart transportation segment accounted for a large portion of the revenues. Market solutions predominantly cater for the need for effective traffic and environmental management solutions in city centres.
The smart grid also accounts for a large portion of smart city development as utility companies, governmental agencies, and the private sector focus on reduce waste, reduce carbon footprint, and optimize asset usage.
Healthcare is also a burgeoning smart city market segment with wearable technology driving adoption among consumers.
The report also states that network providers such as AT&T and Verizon, systems integrators such as IBM and Hewlett-Packard, hardware vendors such as Cisco and Ericsson, building management solutions providers such as Honeywell and General Electric are active and prominent in smart city eco-systems.
Lastly, the Compass Intelligence notes that the smart city market is expected to experience a degree of vendor consolidation and emergence of strategic alliances across hardware, software, and services providers.
Lavanya Rammohan, senior analyst for M2M and IoT at Compass Intelligence concluded: "Smart energy such as grids and supporting infrastructures have benefited from early adoption.
"The use cases and ROI for smart energy solutions is straight forward and technology companies as well as political decision-makers are well aware of the benefits."