Smart Government Market Synopsis

Smart Government Market Size Was Valued at USD 34.5 Billion in 2023, and is Projected to Reach USD 180.7 Billion by 2032, Growing at a CAGR of 20.2% From 2024-2032.

Smart government can be further defined as the intelligent networking of information communication technology in the management of business transactions that fall under government and administration. This portfolio encompasses e- government and open government initiatives in addition to big data and open data initiatives. It is all about the longevity of government and administration work in the context of internet of things and the internet of service that is built through Internet of systems, internet of people and internet of data.

• Due to digital mediums and smart technologies caused by the advancement of technologies, the investment of smart government technologies across the world has increased significantly, which is likely to propel the market growth. Moreover, with growing census data/ ever-increasing population, cooperation with other regions, as well as new policies/ initiatives the government data generation has cumulative risen. Information and data storage systems which are rooted in physical hardware on the other hand may have lack of space due to the inconvenience. Therefore, the need for smart governance is gradually rising, thus accelerating the market’s growth even further. In addition, considering the current influx of data from different sources, governments are ready for a digital transformation that causes the initiation of smart technology.
• The advanced use of smart technologies and digital mediums is the encouraging factor that is driving the smart government industry. All round Application of Technologies, Technology assisting in enhancing investment in the market etc. The smart government market will increase a lot more in the coming years
• Also, method including mobile applications, big data, and social technological extensions provided citizens of country with an opportunity to interact with government and fuel the market further. Larger adoption of smart technology solutions by governing bodies and authorities of different countries, increased usage of digital technologies by consumers, necessity to protect data from different sources, as well as the need for data processing for digitalization and escalation towards digital transformation, increasing trends of cloud services, big data and IoT, and many others are some of the factors influencing the growth of smart governments market.

Smart Government Market Trend Analysis

Increase in demand for digitalization of government operations

• Digital media and smart technologies are expected to enjoy a higher demand due to technical advancements; therefore, there may be rising expenditures in smart government technology, the key driver of this market. Also, continued demand by citizens to make passports, aadhar cards, and other legal processes via digital means is putting pressure on the governments to digitalize the procedures. Furthermore, using mobile services like applications and Short Message Service, it becomes convenient and specific for the target customers to access the services they want. In addition, these e-participation technologies facilitate higher cooperation from citizens as they are involved in decision making, policy making, budgeting and prioritizing, problem solving and service co-creation. Similarly, higher smartphone usage has also helped in adding on to the demand for digitalization of several processes. Therefore, the increasing demand for the digitalization of government operations can be cited as the primary factor that is accelerating the market’s growth.

Increasing adoption of cloud technology by governments

• The advancement technical has made it possible for government entities to adopt the use of cloud technology. Security is always a crucial factor concerning government processes, and this is where the value of cloud solutions is so significant for storing classified information within the government. For instance, as at March 2019, the IT infrastructure of the city of Los Angeles had been modernized, with the mainframe shifted to the state data center that is located in Sacramento, operated by the California Department of Technology (CDT). Furthermore, the severe difficulties faced by government institutions during the pandemic seem to align perfectly with the strengths afforded by cloud solutions. The cloud’s inherent elasticity had provided for an unanticipated influx in service usage earlier. The reason for this is that the virtual nature of cloud services has allowed for the demand to go to remote work to be met quickly. Therefore, many government agencies relied on the cloud to solve a number of new challenges related to COVID-19—challenges that might involve capacity to manage much higher volume of existing deliverables on the fly, ability to create novel programs from scratch based on new requirements, and adaptability to ensure both the customers and the employees worked remotely. For this reason, the adoption of cloud technology is rising progressively among governments, and consequently, the market.

Smart Government Market Segment Analysis:

Smart Government Market Segmented based on Service, Solution, Deployment.

By Service, professional services segment is expected to dominate the market during the forecast period

• In 2023, the professional service has opined to be the largest market share. Professional services are thus witnessing growth in the smart government market mainly because the application of smart technologies such as AI and IoT becomes challenging for governments. They provide advisory services in terms of planning, executing and even tailoring these services to suit the governments because dealing with the integration of these numerous technologies is complex. The latest evolution of rules prevents efficient application of smart technologies, thus forming a need for consultancy, so that the landscape would remain compliant to the updated rules. Of equal importance, due to demands for effectiveness and focus on civil servants, professional service providers are delivering tailored services to market, solidifying this segment’s growth.
• The managed services segment was responsible to contribute a prominent CAGR within the predicted period of time. Such services depend on subscriptions and this makes the expenditure for governments to be more estimable. This is especially true given the fact that through outsourcing things like system maintenance, updating, or protection, which can be conducted by the professional providers, governments are able to reduce the costs of operation while maintaining exemplary performance and security of their systems. This cost effective strategy helps to popularize the concept of managed services as a strategic solution in the context of SG.

By Solution, Government resource planning system segment held the largest share in 2023

• Demand for government resource planning system is expected to have highest market revenue share in 2023. Government Resource Planning Systems (GRP) are experiencing the growth because having a single consolidating and coordinating system for various administrative activities is useful. These systems provide a focal center that can cover financial, human resource, procurement as well as operational information, thus embracing the drive towards integrated and efficient governance. Other factors that are driving the uptake of GRP systems embraces the increasing call for efficiency in operation, the use of data in decision making and more openness in government undertaking. Through offering accurate subsequent analyses to aid in successful coordination between the departments, GRP systems play a great role in enhancing the progressive goals of smart government. The remote monitoring segment contributed to offset high growth in the region for the estimated time span at a considerable CAGR.
• Remote monitoring is taking the path of growth thanks to its capacity to put in place real-time monitoring as well as control of key infrastructure as well as services. As density and extent of urbanization and ruralization increase, remote monitoring technologies provide ways of supervising complicated systems including utilities, transport, the environment and safety from a central position. It assist governments to anticipate developments and respond to challenges, allocate resources effectively, and provide permanent relevant services. Additionally, the speculation for remote monitoring has increased due to factors such as improvement of efficiency, operational costs, and overall responsiveness to the citizen’s needs, causing it to grow exponentially in the smart government segment.

Smart Government Market Regional Insights:

North America is Expected to Dominate the Market Over the Forecast period

• North America generated the largest proportion of the global revenue in the year 2023. High technologically developed region with high digital maturity levels present a suitable condition for adopting and implementing advanced technologies in governmental operations. In addition, the increased sensible governmental support and funding of smart city programs, as well as technological giants and research centers, enhance the region’s growth in this area. Furthermore, there is an increasing focus on leveraging technology to enhance public administration as well as public service delivery, effectiveness, and solutions to address urban problems, thus fueling the adoption of smart government solutions in North America.
• There is high traction expected from the United States and Canada as the market sees an increased adoption of cloud computing and various IOT applications leading to the growth of smart governments. In addition, the availability of major providers that supply smart government solutions and services positively impacts market growth in this area. For example, Oracle Corporation, IBM Corporation, and Amazon Web Services.

Active Key Players in the Smart Government Market

• Accela
• Amazon Web Service, Inc.
• CivicPlus
• Google LLC
• International Business Machines Corporation
• Microsoft Corporation
• Oracle Corporation
• Palantir Technologies
• Salesforce, Inc.
• Snowflake Inc.
• Other Key Players

Key Industry Developments in the Smart Government Market:

• In July 2023, the U. S. government launched the U. S. Cyber Trust Mark program in order for people of the United States to be able to choose better protective Internet connected products. This initiative aims at promoting consumers’ knowledge and trust and guarantee that the devices they acquire have robust intrinsic security against cyber risks and possible cyber assaults.
• In August 2023, the Singapore government with Google Cloud, a Cloud Computing Platform, come together to develop AI Trailblazers, to accelerate the development of generative AI solutions with societal benefits. It helps Singaporean organisations in identifying the problems that could be fit into the generative AI, in their creation and in implementation of the prototypes. Services, and Krungsri Auto— through the use of Data Analysis, Machine Learning (ML), and Artificial Intelligence (AI).
• In September 2023, the Singapore government is consolidating its Smart Nation and Digital Government Unit with digital organisations under the Ministry of Communications and Information to create muscles to effectively lead and steer the country’s smart nation vision and drive digital transformation. This strategic move is going to provide ability to the Government to spearhead an extensive digitisation campaign and manage new opportunities and issues quite efficiently in digital landscape.

Chapter 1: Introduction
 1.1 Scope and Coverage

Chapter 2:Executive Summary

Chapter 3: Market Landscape
 3.1 Market Dynamics
  3.1.1 Drivers
  3.1.2 Restraints
  3.1.3 Opportunities
  3.1.4 Challenges
 3.2 Market Trend Analysis
 3.3 PESTLE Analysis
 3.4 Porter's Five Forces Analysis
 3.5 Industry Value Chain Analysis
 3.6 Ecosystem
 3.7 Regulatory Landscape
 3.8 Price Trend Analysis
 3.9 Patent Analysis
 3.10 Technology Evolution
 3.11 Investment Pockets
 3.12 Import-Export Analysis

Chapter 4: Smart Government Market by Service
 4.1 Smart Government Market Snapshot and Growth Engine
 4.2 Smart Government Market Overview
 4.3 Professional Services & Managed Services
  4.3.1 Introduction and Market Overview
  4.3.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  4.3.3 Key Market Trends, Growth Factors and Opportunities
  4.3.4 Professional Services & Managed Services: Geographic Segmentation Analysis

Chapter 5: Smart Government Market by By Solution
 5.1 Smart Government Market Snapshot and Growth Engine
 5.2 Smart Government Market Overview
 5.3 Analytics
  5.3.1 Introduction and Market Overview
  5.3.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.3.3 Key Market Trends, Growth Factors and Opportunities
  5.3.4 Analytics: Geographic Segmentation Analysis
 5.4 Security
  5.4.1 Introduction and Market Overview
  5.4.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.4.3 Key Market Trends, Growth Factors and Opportunities
  5.4.4 Security: Geographic Segmentation Analysis
 5.5 Government Resource Planning System
  5.5.1 Introduction and Market Overview
  5.5.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.5.3 Key Market Trends, Growth Factors and Opportunities
  5.5.4 Government Resource Planning System: Geographic Segmentation Analysis
 5.6 Remote Monitoring
  5.6.1 Introduction and Market Overview
  5.6.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.6.3 Key Market Trends, Growth Factors and Opportunities
  5.6.4 Remote Monitoring: Geographic Segmentation Analysis
 5.7 Network Management
  5.7.1 Introduction and Market Overview
  5.7.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.7.3 Key Market Trends, Growth Factors and Opportunities
  5.7.4 Network Management: Geographic Segmentation Analysis
 5.8 Others
  5.8.1 Introduction and Market Overview
  5.8.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  5.8.3 Key Market Trends, Growth Factors and Opportunities
  5.8.4 Others: Geographic Segmentation Analysis

Chapter 6: Smart Government Market by By Deployment
 6.1 Smart Government Market Snapshot and Growth Engine
 6.2 Smart Government Market Overview
 6.3 On-Premise
  6.3.1 Introduction and Market Overview
  6.3.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  6.3.3 Key Market Trends, Growth Factors and Opportunities
  6.3.4 On-Premise: Geographic Segmentation Analysis
 6.4 Cloud
  6.4.1 Introduction and Market Overview
  6.4.2 Historic and Forecasted Market Size in Value USD and Volume Units (2017-2032F)
  6.4.3 Key Market Trends, Growth Factors and Opportunities
  6.4.4 Cloud: Geographic Segmentation Analysis

Chapter 7: Company Profiles and Competitive Analysis
 7.1 Competitive Landscape
  7.1.1 Competitive Benchmarking
  7.1.2 Smart Government Market Share by Manufacturer (2023)
  7.1.3 Industry BCG Matrix
  7.1.4 Heat Map Analysis
  7.1.5 Mergers and Acquisitions
  
 7.2 ACCELA
  7.2.1 Company Overview
  7.2.2 Key Executives
  7.2.3 Company Snapshot
  7.2.4 Role of the Company in the Market
  7.2.5 Sustainability and Social Responsibility
  7.2.6 Operating Business Segments
  7.2.7 Product Portfolio
  7.2.8 Business Performance
  7.2.9 Key Strategic Moves and Recent Developments
  7.2.10 SWOT Analysis
 7.3 AMAZON WEB SERVICE & INC
 7.4 CIVICPLUS
 7.5 GOOGLE LLC
 7.6 INTERNATIONAL BUSINESS MACHINES CORPORATION
 7.7 MICROSOFT CORPORATION
 7.8 ORACLE CORPORATION
 7.9 PALANTIR TECHNOLOGIES
 7.10 SALESFORCE & INC
 7.11 SNOWFLAKE INC
 7.12 OTHER KEY PLAYERS

Chapter 8: Global Smart Government Market By Region
 8.1 Overview
 8.2. North America Smart Government Market
  8.2.1 Key Market Trends, Growth Factors and Opportunities
  8.2.2 Top Key Companies
  8.2.3 Historic and Forecasted Market Size by Segments
  8.2.4 Historic and Forecasted Market Size By Service
   8.2.4.1 Professional Services & Managed Services
  8.2.5 Historic and Forecasted Market Size By By Solution
   8.2.5.1 Analytics
   8.2.5.2 Security
   8.2.5.3 Government Resource Planning System
   8.2.5.4 Remote Monitoring
   8.2.5.5 Network Management
   8.2.5.6 Others
  8.2.6 Historic and Forecasted Market Size By By Deployment
   8.2.6.1 On-Premise
   8.2.6.2 Cloud
  8.2.7 Historic and Forecast Market Size by Country
   8.2.7.1 US
   8.2.7.2 Canada
   8.2.7.3 Mexico
 8.3. Eastern Europe Smart Government Market
  8.3.1 Key Market Trends, Growth Factors and Opportunities
  8.3.2 Top Key Companies
  8.3.3 Historic and Forecasted Market Size by Segments
  8.3.4 Historic and Forecasted Market Size By Service
   8.3.4.1 Professional Services & Managed Services
  8.3.5 Historic and Forecasted Market Size By By Solution
   8.3.5.1 Analytics
   8.3.5.2 Security
   8.3.5.3 Government Resource Planning System
   8.3.5.4 Remote Monitoring
   8.3.5.5 Network Management
   8.3.5.6 Others
  8.3.6 Historic and Forecasted Market Size By By Deployment
   8.3.6.1 On-Premise
   8.3.6.2 Cloud
  8.3.7 Historic and Forecast Market Size by Country
   8.3.7.1 Bulgaria
   8.3.7.2 The Czech Republic
   8.3.7.3 Hungary
   8.3.7.4 Poland
   8.3.7.5 Romania
   8.3.7.6 Rest of Eastern Europe
 8.4. Western Europe Smart Government Market
  8.4.1 Key Market Trends, Growth Factors and Opportunities
  8.4.2 Top Key Companies
  8.4.3 Historic and Forecasted Market Size by Segments
  8.4.4 Historic and Forecasted Market Size By Service
   8.4.4.1 Professional Services & Managed Services
  8.4.5 Historic and Forecasted Market Size By By Solution
   8.4.5.1 Analytics
   8.4.5.2 Security
   8.4.5.3 Government Resource Planning System
   8.4.5.4 Remote Monitoring
   8.4.5.5 Network Management
   8.4.5.6 Others
  8.4.6 Historic and Forecasted Market Size By By Deployment
   8.4.6.1 On-Premise
   8.4.6.2 Cloud
  8.4.7 Historic and Forecast Market Size by Country
   8.4.7.1 Germany
   8.4.7.2 UK
   8.4.7.3 France
   8.4.7.4 Netherlands
   8.4.7.5 Italy
   8.4.7.6 Russia
   8.4.7.7 Spain
   8.4.7.8 Rest of Western Europe
 8.5. Asia Pacific Smart Government Market
  8.5.1 Key Market Trends, Growth Factors and Opportunities
  8.5.2 Top Key Companies
  8.5.3 Historic and Forecasted Market Size by Segments
  8.5.4 Historic and Forecasted Market Size By Service
   8.5.4.1 Professional Services & Managed Services
  8.5.5 Historic and Forecasted Market Size By By Solution
   8.5.5.1 Analytics
   8.5.5.2 Security
   8.5.5.3 Government Resource Planning System
   8.5.5.4 Remote Monitoring
   8.5.5.5 Network Management
   8.5.5.6 Others
  8.5.6 Historic and Forecasted Market Size By By Deployment
   8.5.6.1 On-Premise
   8.5.6.2 Cloud
  8.5.7 Historic and Forecast Market Size by Country
   8.5.7.1 China
   8.5.7.2 India
   8.5.7.3 Japan
   8.5.7.4 South Korea
   8.5.7.5 Malaysia
   8.5.7.6 Thailand
   8.5.7.7 Vietnam
   8.5.7.8 The Philippines
   8.5.7.9 Australia
   8.5.7.10 New Zealand
   8.5.7.11 Rest of APAC
 8.6. Middle East & Africa Smart Government Market
  8.6.1 Key Market Trends, Growth Factors and Opportunities
  8.6.2 Top Key Companies
  8.6.3 Historic and Forecasted Market Size by Segments
  8.6.4 Historic and Forecasted Market Size By Service
   8.6.4.1 Professional Services & Managed Services
  8.6.5 Historic and Forecasted Market Size By By Solution
   8.6.5.1 Analytics
   8.6.5.2 Security
   8.6.5.3 Government Resource Planning System
   8.6.5.4 Remote Monitoring
   8.6.5.5 Network Management
   8.6.5.6 Others
  8.6.6 Historic and Forecasted Market Size By By Deployment
   8.6.6.1 On-Premise
   8.6.6.2 Cloud
  8.6.7 Historic and Forecast Market Size by Country
   8.6.7.1 Turkey
   8.6.7.2 Bahrain
   8.6.7.3 Kuwait
   8.6.7.4 Saudi Arabia
   8.6.7.5 Qatar
   8.6.7.6 UAE
   8.6.7.7 Israel
   8.6.7.8 South Africa
 8.7. South America Smart Government Market
  8.7.1 Key Market Trends, Growth Factors and Opportunities
  8.7.2 Top Key Companies
  8.7.3 Historic and Forecasted Market Size by Segments
  8.7.4 Historic and Forecasted Market Size By Service
   8.7.4.1 Professional Services & Managed Services
  8.7.5 Historic and Forecasted Market Size By By Solution
   8.7.5.1 Analytics
   8.7.5.2 Security
   8.7.5.3 Government Resource Planning System
   8.7.5.4 Remote Monitoring
   8.7.5.5 Network Management
   8.7.5.6 Others
  8.7.6 Historic and Forecasted Market Size By By Deployment
   8.7.6.1 On-Premise
   8.7.6.2 Cloud
  8.7.7 Historic and Forecast Market Size by Country
   8.7.7.1 Brazil
   8.7.7.2 Argentina
   8.7.7.3 Rest of SA

Chapter 9 Analyst Viewpoint and Conclusion
9.1 Recommendations and Concluding Analysis
9.2 Potential Market Strategies

Chapter 10 Research Methodology
10.1 Research Process
10.2 Primary Research
10.3 Secondary Research