Smart city trend offers business opportunities to LED industry
With cities and towns across the world becoming smart, this trend will revolutionise the LED lighting industry. The smart city revolution will bring in immense of business opportunities for LED lighting players across the globe. Every other day, a town or a city announce that it has become a ‘smart city’.
Kansas City in the US is the latest city to become a smart city. The city has invested about US$15 million in the ‘smart city’ project, in a public-private partnership with Cisco. The project includes a two-mile corridor of the city which has the Internet of Things through 125 smart LED streetlights. The city has also installed free public Wi-Fi across 50 downtown blocks. The LED streetlights with Wi-Fi linked sensors can produce a live map showing the users the exact location of streetcars in the city. It also informs the users about the traffic speed and vacant parking spaces.
Wipperfürth in Germany has installed LED pillars to transmit information via Bluetooth to a specially designed app. The intelligent LED lighting network in Wipperfuth can send local information to the visitors on their smartphones.
Smart streetlights were also installed in Hampshire, UK, that are fitted with sensors. These smart streetlights via sensors inform local authorities when to salt roads in order to avoid ice.
Opportunity for LED industry
This popular trend of smart cities that will be able to collect invaluable data, which will allow cities to become more efficient, needs to be exploited by the LED lighting industry. LED lighting will provide the backbone of a connected network that will completely change the way cities and towns will be managed in the future.
According to a report, Internet of Things (IoT) in smart cities market size is estimated to grow from US$ 51.96 billion in 2015 to US$ 147.51 billion by 2020, at an estimated CAGR of 23.2% during the forecast period. More than 200 smart city projects across the globe provide huge opportunities in this market for LEDs/LED lighting companies across the globe.
North America is expected to hold the largest market share and dominate the IoT in smart cities market from 2015 to 2020, with the growing number of smart city projects and increasing grants from the US government. Asia-Pacific and Middle East and Africa offer potential growth opportunities due to large-scale infrastructure development and growing number of smart city projects.