According to ABI Research, smart cities technologies will help enterprises, governments and citizens to save $11 trillion each year by 2022.ABI Research further states that the use of smart cities technologies in a typical smart mega city of the future with a population of 10 million over the next five years will result in:
- Governments saving as much as $4.95 billion annually. Street lighting and smart buildings are two areas that could yield savings, with smart street lights expected to cut repair and maintenance costs by 30%.
- For enterprises, a $14 billion cost-saving opportunity exists in areas including freight transportation by using more energy efficient transport options, such as drones, robots or driverless vans and trucks, and smart manufacturing plants.
- Citizens can save up to $26.69 billion per year in areas such as utilities, through the deployment of smart meters and micro-grids, and in education with the development of a hybrid education system (physical and online).
Increases in urbanisation and rural to urban migration is putting pressure on resources. Therefore cities are increasing investments in automation, artificial intelligence, sensors, data-sharing and analytics to optimise the efficiency of existing infrastructure and to create a more sustainable environment for residents.
“While smart cities technologies offer multiple benefits, very significant direct cost savings represent a key incentive to embrace urban innovation for city governments, citizens and enterprises alike; this allows building stronger business cases with faster ROI, facilitating project approval and accelerating deployments,” said Dominique Bonte, VP President, Markets, ABI Research.
Rahim Bhatia, General Manager, API Management, CA Technologies, added: “We’re excited to see quantifiable outcomes being delivered across today’s local governments, with application programming interfaces (APIs) playing a fundamental role in seamlessly connecting the critical infrastructure that makes smart cities a reality.
"If managed effectively, APIs deliver a number of benefits including the secure exposure and reuse of open data, acceleration of app development velocity, and the expansion of city partner ecosystems, to help maximize ROI and improve decision making across all corners of the new smart city.”
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