International. The number of smart cities around the world will quadruple within a 12-year period that began last year, proliferating how local governments work with the private sector to address a multitude of challenges facing urban centers, according to a new report from IHS Technology.
There will be at least 88 smart cities worldwide by 2025, up from 21 in 2013, based on IHS's definition of what a smart city is. While the combined Europe-Middle East-Africa (EMEA) region recorded the highest number of smart cities last year, Asia-Pacific will take over the initiative in 2025. In total, Asia-Pacific will account for 32 smart cities of the total in nine years, Europe will have 31, and the Americas will contribute 25.
"Smart cities encompass a wide range of different aspects, but IHS has narrowed the definition of the term to describe cities that have implemented or are in the pipeline in integrating information, communications and technology (ICT) solutions across three or more different functional areas of the city," said Lisa Arrowsmith, associate director of connectivity, smart homes and smart cities at IHS. "These functional areas include mobility and transportation, energy and sustainability, physical infrastructure, governance and security."
City projects in the Americas are somewhat narrower in general scope than those found in Europe. Unlike large projects underway in cities like Vienna or Amsterdam, U.S. projects often focus on a single functional area, such as mobility and transportation.
Annual investment in smart city projects has reached just over $1 billion in 2013, but will exceed $12 billion by 2025.
