Smart Infrastructure Market Summary

The global smart infrastructure market was valued at USD 372.95 billion in 2023 and is projected to reach USD 1,355.44 billion by 2030, growing at a robust compound annual growth rate (CAGR) of 20.5% from 2024 to 2030. This significant expansion is largely fueled by increasing public and private sector investments in smart city development, progressive government initiatives aimed at digital transformation, and a growing emphasis among end-user industries on enhancing consumer experience through advanced digital infrastructure.

Smart infrastructure refers to digitally connected frameworks that leverage real-time data and automation to optimize the operation of public services and facilities. These systems incorporate devices such as sensors, surveillance cameras, and IoT-enabled modules to collect and analyze actionable data. The data collected is used by urban planners, traffic management officials, and city administrators to enhance mobility, energy efficiency, environmental monitoring, safety, and overall urban living standards—thus propelling the demand for smart infrastructure globally.

Key Market Trends & Insights

• In 2023, non-residential end-users, including commercial buildings, industrial facilities, and institutional establishments, held the largest share of the market's revenue. This dominance is primarily attributed to the broad application of smart infrastructure solutions in these sectors for digitizing operations, improving building automation, and providing a better end-user experience through energy-efficient systems and centralized control frameworks.
• Smart transportation systems accounted for the largest revenue share within the smart infrastructure market in 2023. This was largely driven by technological advancements in communication, computing power, sensors, and network bandwidth, which have enabled the modernization of transportation infrastructure. These systems are now capable of real-time traffic analysis, autonomous vehicle coordination, and intelligent traffic signal operations, enhancing overall traffic efficiency and public safety.
• By component, the products segment led the market and captured over 68.0% of global revenue in 2023. This dominance is due to the widespread adoption of hardware and software solutions like smart grid technology, Building Automation Systems (BAS), and IoT-based environmental monitoring systems. These solutions support energy management, reduce human intervention, and enhance operational efficiency in both public and private infrastructures.
• Regionally, North America dominated the global smart infrastructure market in 2023, with a market share of 30.84%. This strong regional performance can be attributed to the presence of well-established players, such as Cisco Systems Inc., Honeywell International Inc., IBM Corporation, and Johnson Controls, as well as supportive regulatory policies that promote digital transformation and smart city investments.
• The Asia Pacific region is expected to witness the fastest growth over the forecast period. Rapid urbanization, a growing preference for remote management via IoT technologies, and increased internet penetration are key contributors to this growth. Additionally, many regional governments are prioritizing smart infrastructure development as part of long-term sustainable urbanization strategies.

Order a free sample PDF of the Smart Infrastructure Market Intelligence Study, published by Grand View Research.

Market Size & Forecast

• 2023 Market Size: USD 372.95 Billion
• 2030 Projected Market Size: USD 1,355.44 Billion
• CAGR (2024-2030): 20.5%
• North America: Largest Market in 2023

Key Companies & Market Share Insights

Major players operating in the smart infrastructure market include ABB; Honeywell International Inc.; International Business Machines Corporation (IBM); Siemens; and Cisco Systems, Inc. These companies are investing significantly in developing integrated platforms that offer energy management, building automation, and public safety solutions.

• ABB provides solutions for managing critical services such as water, energy, and communications. Notably, its Asset Manager and Ability Energy Manager platforms are cloud-based systems that offer centralized monitoring, analytics, and energy optimization through an intuitive interface.
• Honeywell International Inc. offers an IoT-enabled city management platform that includes applications for smart surveillance, incident tracking, and real-time workforce deployment. Its integrated smart city solutions support GIS-based systems, citizen engagement, and municipal operations.

Panamax Infotech, Huawei Technologies Co., Ltd., and Dynamic Ratings, Inc. are some of the emerging participants contributing to market innovation.

• Panamax Infotech delivers comprehensive Smart Infrastructure Solutions (SIS), including Integrated Command and Control Centres (ICCC), smart healthcare services, and intelligent transportation systems.
• Dynamic Ratings is known for developing next-gen smart infrastructure systems such as electric vehicle (EV) charging stations, outage detection systems, and Distributed Energy Resources (DERs), contributing to a decentralized and flexible energy ecosystem.

Key Players

• ABB
• Aclara Technologies LLC (Hubbell Incorporated)
• Broadcom, Inc. (VMware)
• Cisco Systems, Inc.
• Dynamic Ratings
• Honeywell International Inc.
• Hewlett Packard Enterprise Development LP
• Huawei Technologies Co., Ltd.
• International Business Machines Corporation
• L&T Technology Services Limited
• Panamax Infotech
• Schneider Electric
• Siemens
• Wipro
• Xylem (Sensus)

Explore Horizon Databook – The world's most expansive market intelligence platform developed by Grand View Research.

Conclusion

The smart infrastructure market is rapidly evolving as cities and industries prioritize efficiency, safety, and sustainability through digital innovation. Fueled by rising investments, government backing, and growing urbanization, smart systems are transforming how public services are delivered and monitored. Technologies such as IoT, AI, and automation are enabling smarter energy grids, responsive transportation, and intelligent buildings. Market leaders and emerging players alike are developing integrated solutions that enhance operational intelligence and citizen satisfaction. With regions like Asia Pacific accelerating adoption, the smart infrastructure industry is set to play a vital role in shaping sustainable, connected, and resilient urban ecosystems worldwide.