INDUSTRY NEWS

US-ASEAN ‘Smart Cities Partnership’

Published Date | 2018 November 16

In 33rd ASEAN summit in Singapore, November 15, 2018, U.S. Vice President has announced to support Southeast Asia’s digital and urban infrastructure development
India: In Singapore, U.S. Vice President Mike Pence has offered the Trump administration’s support for Southeast Asia’s digital and urban infrastructure development. Mike Pence announced the new “U.S.-ASEAN Smart Cities Partnership.” This effort will spur renewed American investment in the region’s digital infrastructure, advancing prosperity and security in Southeast Asia, adding that it will enhance Washington’s cooperation on cybersecurity. Smart Cities has become a necessity among ASEAN member countries as they face two megatrends, urbanization, and digitalization. Southeast Asian nations are rapidly increasing in population, and a large portion of their people are gravitating toward cities, creating multiple challenges ranging from traffic congestion, water, and air quality, to digital security. The smart cities partnership is part of what Pence said is proof of the U.S. commitment to the Indo-Pacific region, which he calls “steadfast and enduring.” He stressed that Washington “seeks collaboration, not control, and we are proud to call ASEAN our strategic partner.” The United States is still seen by the region as a leader in innovation and a natural partner in the smart cities initiative. The partnership will offer opportunities for American companies to develop urban digital infrastructure ranging from payment mechanisms to smart transit systems.   According to BlueWeave Consulting, significant growth in next-generation technologies such as artificial intelligence (AI), personalized healthcare, sustainable energy generation, and robotics are driving the smart cities’ future. Moreover, increase in residential preference towards the adoption of advanced information and communication technologies (ICT) escalates the future market growth The United Nations reported that two-thirds of the world’s population will live in cities by 2050. Already home to 53% of the world’s urban population, Asia will see this proportion expand to 64% by 2050 which will accelerate the market of smart cities According to the report by BlueWeave Consulting onGlobal Smart Cities Market, By Component, By Application, By Region- Industry Analysis, Size, Share, Growth, Trends & forecast by 2018-2025”, With the rise of innovation and digitalization, particularly in the residential sector, countries across the globe are actively looking for solutions to balance economic, technological and social development. Further, increase in urban population has emerged the requirement for smart cities. Data is also becoming more readily available nowadays owing to digitalization and social network. Communities are turning to innovative information communication technologies (ICT) to re-imagine the way in which people of the residents live, work or play. Therefore, the smart cities market will witness high growth over the forecast period.