Smart Street Lights Market

• Growing consumer preference for energy-effective LED lighting is driving market growth

The rising consumer preference for energy-effective LED lighting drives the market CAGR for smart street lights. The target demographic is growing their usage of light-emitting diodes (LEDs), which additionally gives rise to a massive street lighting system. Business setups underpinned by extensive use of linked street light equipment as part of smart city initiatives will shortly be important market growth drivers. In addition, energy businesses and governmental organizations are using smart lighting technological advances, which will assist in saving money and decrease greenhouse gas emissions over the projected period, which ends in 2024.

Furthermore, the intended market invests in studies and education programs connected to energy-saving measures and efficient lighting solutions. These are receiving the deserved spotlight and attention. These provide tremendous opportunities for the innovative street lighting industry to grow in size. Sustainable growth represents one of the primary aims of businesses for a wise tomorrow, which the big players take seriously. Furthermore, improving sensor & wireless Technology provides good chances for the market's worldwide expansion throughout the forecast period.

The coronavirus disease has infiltrated people and businesses. Still, it also created significant obstacles that could be improved by market companies and the capacity of players to produce by the buying ability of the targeted demographic. Because of the outbreak of COVID-19, new initiatives that had been in the works across several regions have reached a standstill, resulting in a significant drop in demand for analog chips. Furthermore, the pandemic is pressuring major market companies to develop new and novel solutions that will aid in improving product efficiency and meeting demand, as provided by leading market participants.

For instance, according to IEA, developing nations and emerging markets would account for about 70% of the expected increase in energy consumption, with demand rising to 3.4% above pre-COVID-19 levels. Meanwhile, developed economies' energy consumption is on track to be 3% lower than in 2019. Governments and public bodies progressively use intelligent street lighting to make up for these energy needs, boosting market development. Thus, it is anticipated that demand for Smart Street Lights will increase throughout the projected timeframe due to the rising consumer preference for energy-effective LED lighting. Thus, driving the Smart Street Lights market revenue.

The rapid pace of urbanization globally drives the demand for efficient infrastructure, including smart street lights. As cities expand, the need for enhanced public safety and energy efficiency becomes paramount. The Global Smart Street Lights Market Industry is projected to grow from 0.7 USD Billion in 2024 to an estimated 5.82 USD Billion by 2035, indicating a robust shift towards smart technologies. Urban areas are increasingly adopting smart street lighting solutions to reduce energy consumption and improve public safety, with cities like Los Angeles implementing smart lighting systems that adjust brightness based on pedestrian and vehicular traffic.

Public safety remains a critical concern for urban planners and local governments, propelling the demand for smart street lighting solutions. The Global Smart Street Lights Market Industry is increasingly focused on integrating advanced technologies that enhance safety in public spaces. Smart street lights equipped with surveillance cameras and emergency response features can deter crime and improve response times during emergencies. For instance, cities like Chicago have implemented smart lighting systems that provide real-time data to law enforcement, contributing to a safer urban environment. As communities prioritize safety, the adoption of smart street lights is likely to increase, further driving market growth.

The Global Smart Street Lights Market Industry is poised for substantial growth, with projections indicating a rise from 0.7 USD Billion in 2024 to 5.82 USD Billion by 2035. This growth trajectory reflects a compound annual growth rate (CAGR) of 21.23% from 2025 to 2035, driven by factors such as urbanization, government initiatives, and technological advancements. The increasing focus on sustainability and public safety further supports this upward trend. As cities worldwide continue to invest in smart infrastructure, the market for smart street lighting solutions is expected to expand significantly, presenting opportunities for innovation and development.

The continuous evolution of technology plays a crucial role in the growth of the Global Smart Street Lights Market Industry. Innovations in LED technology, IoT integration, and data analytics are transforming traditional street lighting into intelligent systems capable of real-time monitoring and control. These advancements enable cities to optimize energy usage, reduce operational costs, and enhance public safety. For example, smart street lights equipped with sensors can detect ambient light levels and adjust brightness accordingly, leading to energy savings of up to 50%. As technology continues to advance, the market is expected to expand significantly, with a projected CAGR of 21.23% from 2025 to 2035.

The increasing emphasis on environmental sustainability is a driving force behind the adoption of smart street lighting solutions. The Global Smart Street Lights Market Industry is witnessing a shift towards eco-friendly lighting options that reduce energy consumption and lower greenhouse gas emissions. Smart street lights, particularly those utilizing LED technology, consume significantly less energy compared to traditional lighting systems. This transition aligns with global efforts to combat climate change and promote sustainable urban development. Cities that have implemented smart lighting solutions report substantial reductions in energy costs and emissions, further incentivizing the adoption of these technologies.

Governments worldwide are increasingly recognizing the importance of smart street lighting in promoting sustainability and energy efficiency. Various initiatives and funding programs are being launched to support the transition to smart lighting solutions. The Global Smart Street Lights Market Industry benefits from these policies, as they often include financial incentives for municipalities to upgrade their lighting systems. For instance, the European Union has allocated significant funds to support smart city projects, which include smart street lighting. Such initiatives not only enhance public safety but also contribute to reducing carbon footprints, aligning with global sustainability goals.

By region, the research provides market Insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American Smart Street Lights market area will dominate this market during the projected timeframe. The primary reason for this is the project advantages provided by smart road coating, which will assist in reducing power consumption and boost the market growth in the North American region.

Further, the major countries studied in the market report are the US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Smart Street Lights Market Share by Region 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe region’s Smart Street Lights market accounts for the second-highest market share due to the region's significant increase in smart road painting alternatives. Further, the German Smart Street Lights market holds the largest market share, and the UK Smart Street Lights market is expected to grow and expand significantly in the European region during the projected timeframe.

The Asia-Pacific Smart Street Lights Market is expected to grow quickly during the projected timeframe. This is because the area is seeing a high demand for energy-efficient options, which will aid in expanding the APAC building and construction sector. Moreover, China’s Smart Street Lights market dominates the market share, and the Indian Smart Street Lights market is expected to expand and grow steadily in the Asia-Pacific region during the projected timeframe.

Leading market players invested heavily in research and Development (R&D) to scale up their manufacturing units and develop technologically advanced solutions, which will help the Smart Street Lights market grow worldwide. Market participants are also undertaking various organic or inorganic strategic approaches to strengthen and expand their footprint, with significant market developments including new product portfolios, contractual deals, mergers and acquisitions, capital expenditure, higher investments, and strategic alliances with other organizations. Businesses are also coming up with marketing strategies such as digital marketing, social media influencing, and content marketing to increase their scope of profit earnings.

The Smart Street Lights industry must offer cost-effective and sustainable options to survive in a highly fragmented and dynamic market climate.

Manufacturing locally to minimize operational expenses and offer aftermarket services to customers is one of the critical business strategies organizations use in the Smart Street Lights industry to benefit customers and capture untapped market share and revenue. The Smart Street Lights industry has recently offered significant advantages to the camera & lighting industry. Moreover, more industry participants are utilizing and adopting cutting-edge Technology has grown substantially.

Major players in the Smart Street Lights market, including General Electric (US), Koninklijke Philips N.V (The Netherlands), Telensa (UK), Silver Spring (US), Echelon (US), Osram AG ( Germany), Cisco System (US), Trilliant holdings Inc.(US), AxiomTek (US), and Tech Mahindra (India), are attempting to expand market share and demand by investing in R&D operations to produce sustainable and affordable solutions.

Philips is a technology firm that operates in the medical care, illumination, and consumer well-being industries. Personalized Health, Diagnostics & Therapy, Related Care & Healthcare Informatics, and Others are its business segments. Anton F. Philips and Gerard Leonard F. Philips formed the firm in 1891, based in Amsterdam, the Netherlands. Philips Lighting will contribute to Ameland's environmentally friendly LED street lamps. Philips ClearSky is an illumination spectrum designed to decrease the danger and harshness experienced by migrating birds. Furthermore, providing new and powerful infrastructure will aid in attaining sustainable objectives that will aid in energy savings and pollution reduction.

Itron is a technology business in the United States that provides services and goods for managing energy and water resources. Its headquarters are at Liberty Lake, Washington, USA. The products of the firm measure and analyze electricity, gas, and water use. Itron Inc. partnered with VINCI Energies' Electrix, Transportation Canberra, and City Utilities. This will aid in developing an IoT system for the sectors and constructing intelligent towns and energy-related projects in Canberra. This concept was unveiled in April 2019.