Sweden Smart Cities Market Research Report 2023

Sweden Smart Cities Market Synopsis

The Sweden Smart Cities Market size was valued at USD 1250.8 Million in 2023 and is projected to reach USD 2613.28 Million by 2030, growing at a CAGR of 11.1% from 2024 to 2030.

Sweden's solid digital infrastructure and high internet density have created a strong foundation for the adoption of smart city technologies. Cities have invested in high-speed broadband networks that facilitate the seamless integration of smart devices and data-driven solutions.

• Sweden has been at the forefront of sustainability initiatives and this commitment is reflected in its smart city projects. Cities are focusing on integrating renewable energy sources, energy-efficient buildings, and smart grid technologies to reduce carbon emissions and promote environmental protection.
• Swedish cities have emphasized smart mobility solutions to solve traffic problems. Initiatives include electric car charging infrastructure, bike-sharing programs, intelligent traffic management systems, and the promotion of public transport.
• Sweden's smart cities have used data analytics and IoT technologies to collect and analyze data from various sources. This data-driven approach enables cities to make informed decisions about resource allocation, urban planning, and service delivery.
• The integration of technology has made public services and administration more efficient in smart cities. Examples include e-government platforms, digital engagement tools, and smart applications for city services such as waste management and public safety. Stockholm, the capital of Sweden, is a great example of the country's smart city. The city has been at the forefront of sustainable urban development and has used technology that improves the quality of life for residents and visitors. 
• One of Stockholm's notable smart city projects is the promotion of green transportation. The city has invested in an extensive public transport network, which includes buses, trams, and trains running on renewable energy sources. In addition, Stockholm has introduced a city-wide bike-sharing system that offers its citizens a sustainable and efficient means of transportation.

Top Key Players:

"Ericsson (Sweden), ABB (Switzerland), Siemens (Germany), Telia Company (Sweden), IBM (US), Cisco Systems (US), Schneider Electric (France), Huawei Technologies (China), Vodafone (UK), Honeywell (US), Nokia (Finland), Siemens Mobility (Germany), Philips Lighting (Netherlands), Accenture (Ireland), Fujitsu (Japan), Intel (US), NEC Corporation (Japan), Microsoft (US), WSP (Canada), CGI (Canada), and Other Major Players"

Sweden Smart Cities Market Trend Analysis

Growing Focus on Sustainability

• The growing focus on sustainable development and environmental protection has become an important driving force in the promotion and implementation of smart city solutions in various regions, including Sweden. As concerns about climate change and the depletion of natural resources increase, cities are increasingly recognizing the need to adopt innovative technologies.
• One of the key factors in the development of a smart city is the urgent need to reduce greenhouse gas emissions and switch to cleaner and renewable energy sources. Smart city initiatives facilitate the integration of renewable energy, energy-efficient buildings, and smart grid technologies, enabling cities to optimize energy consumption and minimize their carbon footprint.
• By promoting the use of clean energy and reducing dependence on fossil fuels, smart cities can significantly contribute to global efforts to combat climate change. In addition, the emphasis on sustainable development is driving the implementation of smart mobility solutions in smart cities. These include electric vehicle infrastructure, intelligent transportation systems, and mobility-as-a-service platforms.

Partnerships Between the Public & Private Sectors

• The public sector brings industrial expertise, understanding of local needs, and regulatory authority, while the private sector brings technical expertise, innovative technologies, and operational efficiency. Together, they can plan and implement comprehensive smart city solutions. Smart city projects often require large financial investments.
• Public-private partnerships (PPP) enable the pooling of resources from both sectors, helping to secure financing for large projects that may present particular challenges to each sector. Smart city projects can be complex and involve certain risks. By sharing risks between the public and private sectors, each party can focus on its strengths, which makes the implementation of the project more efficient.
• Private companies are often at the forefront of technological innovation. Cooperation with the public sector makes it possible to implement modern solutions that go beyond the possibilities of a smart city.

According to the Graph, the environmental protection expenditure data for 2021 in Sweden demonstrates the nation's significant investment in preserving its natural resources and mitigating environmental impacts. The allocation of funds across waste, water, air, and other environmental areas reflects Sweden's dedication to creating a greener and more sustainable future.

Sweden's Smart Cities Market Segment Analysis

Smart Cities market is segmented into the Solution and Service, Component, Level, and End-user. By Solution and Service, the Smart Utilities Segment is Anticipated to Dominate the Market Over the Forecast Period.

• Sweden has been at the forefront of promoting renewable energy and energy efficiency. Smart Utilities offer opportunities to optimize energy consumption, reduce waste, and promote the use of renewable energy sources. The implementation of smart grids enables better control and monitoring of electricity distribution, enables real-time regulation, and minimizes power outages. 
• Smart Utilities solutions help monitor water usage, detect leaks, and optimize water distribution, which saves water and reduces water loss. Smart technologies can be applied to waste collection and disposal systems, improving waste management practices and reducing environmental impact. 
• The integration of data analytics and Internet of Things (IoT) devices into the utility sector enables better data-driven decision-making, leading to more informed resource allocation and planning. Government policies and initiatives supporting the development of smart cities, especially in the municipal sector, can further promote the adoption of Smart utility solutions.

Sweden's Smart Cities Market Country Analysis

• Sweden has been at the forefront of promoting renewable energy and energy efficiency. Smart Utilities offer opportunities to optimize energy consumption, reduce waste, and promote the use of renewable energy sources.
• The introduction of smart grids enables better control and monitoring of electricity distribution, enables real-time regulation, and minimizes power outages.
• Smart Utilities solutions help monitor water use, detect leaks, and optimize water distribution, which saves water and reduces smart technologies that can be applied to waste collection and disposal systems, improving waste management practices and reducing environmental impact.
• The integration of data analytics and Internet of Things (IoT) devices into the utility sector enables better data-driven decision-making, leading to more informed resource allocation and planning. Government policies and initiatives supporting the development of smart cities, especially in the municipal sector, can further promote the adoption of Smart utility solutions.
• The growing public and corporate awareness of environmental sustainability can increase the demand for smart solutions that reduce carbon footprint and resource consumption.

COVID-19 Impact Analysis on Sweden's Smart Cities Market

• There may have been delays in the implementation of ongoing and planned smart city projects due to movement restrictions and financial uncertainty. In the early stages of the pandemic, the focus was on emergencies and public health measures, diverting attention and resources from other initiatives. The pandemic has highlighted the importance of technology to respond to challenges.
• This could accelerate the adoption of digital solutions such as contactless systems, remote monitoring, and smart infrastructure to improve the efficiency and safety of cities. Restrictions on travel and public transport could have affected the smart transport sector. Demand for rides and public transport may have decreased, leading to a re-evaluation of transport strategies and the promotion of alternative modes of transport.
• The pandemic has highlighted the importance of health infrastructure and public safety. Investments in health-related smart city technologies such as telemedicine, remote patient monitoring, and advanced health analytics have received additional attention. The shift to remote work and increased reliance on digital connections has underscored the importance of strong and reliable telecommunications infrastructure and digital services in smart cities.

Top Key Players Covered in Sweden's Smart Cities Market

• Ericsson (Sweden)
• ABB (Switzerland)
• Siemens (Germany)
• Telia Company (Sweden)
• IBM (US)
• Cisco Systems (US)
• Schneider Electric (France)
• Huawei Technologies (China)
• Vodafone (UK)
• Honeywell (US)
• Nokia (Finland)
• Siemens Mobility (Germany)
• Philips Lighting (Netherlands)
• Accenture (Ireland)
• Fujitsu (Japan)
• Intel (US)
• NEC Corporation (Japan)
• Microsoft (US)
• WSP (Canada)
• CGI (Canada), and Other Major Players

Key Industry Developments in the Sweden Smart Cities Market

In June 2023, Elisa and Ericsson announced the successful launch of the In-Service Software Upgrade (ISSU) capability in Ericsson’s dual-mode 5G Core solution which powers Elisa’s live production 5G Standalone (SA) network. It marks a key step in Elisa’s cloud-native digital transformation strategy as it continues to lay the essential groundwork for automating and creating self-driving networks.

In Oct 2022, Telia Company became the first operator in Europe to launch Teams Phone Mobile, a new service for business customers that links mobile phone numbers to the Microsoft cloud, thereby enabling Telia mobile users in Sweden to make and receive calls via Teams.