How Big is the Smart City ICT Infrastructure Market | Industry Trends & Forecast 2025

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Code: MTA9049

Publication Date: Sep 2025

What is the size of Smart City ICT Infrastructure Market?

According to 6Wresearch internal database and industry insights, the Global Smart City ICT Infrastructure Market was valued at USD 118.4 Billion in 2024 and is expected to reach USD 186.2 Billion by 2031, growing at a compound annual growth rate of 6.20% during the forecast period (2025-2031).

Increasing investments in smart city projects, rising digital connectivity demand, growing adoption of IoT-enabled urban services, cloud and edge computing advancements, and government initiatives supporting intelligent and sustainable urban infrastructure are the main factors driving the market.

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Key Growth Drivers of the Smart City ICT Infrastructure Market

Rising adoption of IoT-based applications for city management and operations
Increasing demand for high-speed connectivity and 5G infrastructure
Expanding implementation of smart grids and advanced utility systems
Growing investments in cloud computing and edge technologies
Supportive government policies for sustainable urban digital transformation

Smart City ICT Infrastructure Market Trends

Smart City ICT Infrastructure Market is witnessing major growth with notable trends such as rising integration of 5G networks to support real-time communication and smart services. Urban efficiency is rising as an outcome of the growing use of IoT sensors and connected devices in public safety, transportation, and energy. Platforms for cloud and edge computing are growing in popularity for managing enormous volumes of urban data. AI-powered analytics are also becoming more necessary to support smart governance decision-making. The popularity of digital twin technology in urban planning and management is also improving the market environment.

Emerging Developments in the Smart City ICT Infrastructure Market

Smart City ICT Infrastructure Market is evolving with advancements in cybersecurity frameworks to protect sensitive urban data. Interoperable platforms that connect different city services like utilities, healthcare, and mobility are seeing an increase in investment. Strategic alliances between telecom operators, tech firms, and local governments are leading to an increase in the deployment of large-scale ICT infrastructure. The use of blockchain technology for safe and transparent data management is growing. AI-driven automation and predictive analytics in urban infrastructure are also significantly supporting future market expansion.