According to TechSci Research report, “Saudi Arabia Smart Cities Market – By Region, Competition, Forecast and Opportunities, 2020-2030F”, Saudi Arabia Smart Cities Market was valued at USD 6.72 Billion in 2024 and is expected to reach USD 18.74 Billion by 2030 with a CAGR of 18.64% during the forecast period.
Request For Sample Copy of Report For More Detailed Market insight: https://www.techsciresearch.com/sample-report.aspx?cid=15691#requestform
This growth is fueled by rapid urbanization, large-scale government initiatives, public-private partnerships, and the integration of emerging technologies such as IoT, AI, cloud computing, big data analytics, and renewable energy solutions. Saudi Arabia’s ambitious projects—including NEOM, The Line, Qiddiya, and Jeddah Economic City—are setting benchmarks for what cities of the future can look like: digitally connected, sustainable, and citizen-centric.
Emerging Trends in the Saudi Arabia Smart Cities Market
1. Integration of IoT and AI for Smart Living
IoT-enabled devices and AI-powered platforms are becoming integral to Saudi Arabia’s urban infrastructure. From intelligent lighting systems that reduce energy consumption to AI-based surveillance networks that enhance security, these technologies are improving both efficiency and quality of life.
Cities like Riyadh and Jeddah are experimenting with autonomous transport systems, AI-driven traffic management, and predictive infrastructure maintenance—paving the way for more adaptive, responsive cities.
2. Smart Mobility and Sustainable Transportation
One of the strongest emerging trends is the shift towards smart mobility solutions. With traffic congestion and emissions posing challenges, the government is investing in:
Electric vehicle (EV) infrastructure
Smart parking systems
Integrated public transport networks
Mobility-as-a-Service (MaaS) platforms
The upcoming autonomous transport networks in NEOM and Riyadh showcase the Kingdom’s commitment to sustainable, tech-enabled commuting.
Browse over XX Market data Figures spread through XX Pages and an in-depth TOC on " Saudi Arabia Smart Cities Market.” https://www.techsciresearch.com/report/saudi-arabia-smart-cities-market/15691.html
3. Smart Buildings & Infrastructure as Growth Leaders
The fastest-growing segment is Smart Buildings & Infrastructure. These buildings leverage IoT sensors, AI-based building management systems (BMS), and energy-efficient technologies to optimize operations and reduce carbon footprints.
Features include:
Automated HVAC and lighting controls
Advanced safety and security systems
Predictive maintenance via real-time monitoring
The rise of eco-friendly skyscrapers, green housing projects, and sustainable commercial hubs is expected to dominate the smart city ecosystem in the coming years.
4. Renewable Energy and Smart Utilities
Saudi Arabia’s energy transition is reshaping its smart city infrastructure. Projects are increasingly integrating renewable energy sources, smart grids, and advanced water management systems. These utilities rely heavily on real-time analytics and AI-driven demand forecasting to ensure efficiency and sustainability.
5. Tourism-Driven Smart Solutions
Religious and cultural tourism plays a pivotal role in the Saudi economy. Makkah and Madinah are adopting big data analytics and smart crowd management systems to accommodate millions of pilgrims efficiently. This approach not only enhances visitor experience but also ensures public safety and efficient service delivery.
Key Market Drivers
1. Vision 2030 as the Core Catalyst
Saudi Arabia’s Vision 2030 is the single most important driver behind the growth of the smart cities market. The agenda emphasizes:
Diversification from oil dependence
Development of sustainable, tech-driven urban environments
Creation of globally competitive cities like NEOM and The Line
These initiatives are attracting both domestic and international investment, accelerating smart city adoption.
2. Rapid Urbanization and Population Growth
With over 84% of the population living in urban areas, Saudi cities face mounting pressure to provide sustainable housing, efficient mobility, and advanced infrastructure. Smart city solutions are critical in addressing these challenges while maintaining high living standards.
3. Government Investments and PPPs
The Saudi government is channeling billions of dollars into urban transformation projects. Public-private partnerships (PPPs) are playing a key role in ensuring technology transfer, funding, and innovation. International firms are collaborating with local players to deliver world-class smart infrastructure.
4. Technological Advancements and Digital Readiness
The Kingdom has rapidly expanded its 5G networks, data centers, and cloud infrastructure, creating a strong foundation for smart city technologies. This digital readiness is essential for deploying AI-driven platforms, IoT solutions, and big data analytics across sectors.
5. Focus on Sustainability and Green Development
Saudi Arabia’s pledge to achieve net-zero emissions by 2060 has accelerated the adoption of green buildings, renewable energy grids, and eco-friendly infrastructure. Smart city frameworks align seamlessly with this sustainability agenda.
Industry Key Highlights
Leading Segment: Smart Buildings & Infrastructure
Fastest Growing Region: Western Saudi Arabia (Jeddah, Tabuk, NEOM)
Key Applications: Smart mobility, smart utilities, surveillance & public safety, smart infrastructure, environmental monitoring
Regional Insights
Western Saudi Arabia – The Growth Powerhouse
Western Saudi Arabia is the fastest-growing region in the market, driven by mega-projects like NEOM, Jeddah Economic City, and the Red Sea Project. The region’s emphasis on sustainable urban design, digital ecosystems, and advanced mobility networks positions it as a critical growth hub.
Riyadh and Central Region – The Innovation Core
As the capital, Riyadh is at the forefront of digital governance, AI adoption, and smart infrastructure deployment. With rising investments in autonomous transport, smart healthcare, and smart grids, Riyadh is expected to become a model for integrated smart city ecosystems.
Competitive Analysis
The Saudi Arabia Smart Cities Market is highly competitive, with both domestic and global companies actively contributing to its growth.
Key Players
Saudi Telecom Company (STC): Leading provider of communication and connectivity infrastructure.
NEOM Company: Driving futuristic urban development with mega projects like The Line.
Siemens AG & Honeywell International: Focused on smart infrastructure, automation, and energy-efficient solutions.
Schneider Electric SE: Delivering advanced building management and utility optimization solutions.
Cisco Systems & IBM Corporation: Enabling IoT, cloud, and analytics-driven platforms for smart city operations.
Huawei Technologies: Supporting 5G deployment and integrated smart solutions.
Competitive Strategies
Heavy investments in R&D and innovation labs.
Strategic partnerships with Saudi government and local firms.
Focus on cloud computing, cybersecurity, and AI integration.
Expansion into smart utilities, smart mobility, and infrastructure to capture emerging opportunities.
Customers can also request 10% free customization on this report.
Future Outlook
The Saudi Arabia Smart Cities Market is expected to experience accelerated growth over the next decade, driven by:
Completion of mega-projects like NEOM, The Line, and Qiddiya.
Increasing demand for data-driven governance and real-time citizen services.
Adoption of AI, blockchain, digital twins, and AR/VR in city planning and operations.
Rising global recognition of Saudi Arabia as a hub for smart city innovation.
By 2030, Saudi Arabia aims to become a global leader in smart urban living, offering sustainable, technologically advanced, and citizen-friendly cities. The integration of clean energy, digital ecosystems, and intelligent infrastructure will not only improve quality of life but also unlock vast economic opportunities.
Contact US:
Techsci Research LLC
420 Lexington Avenue, Suite 300,
New York, United States- 10170
Tel: +13322586602
Web: https://www.techsciresearch.com/
