India Smart Infrastructure Market Research Report By Technology (Internet of Things, Artificial Intelligence, Big Data Analytics, Cloud Computing, Blockchain), By Application (Smart Transportation, Smart Energy, Smart Buildings, Smart Water Management, Smart Grid), By End Use (Commercial, Residential, Industrial, Government) and By Infrastructure Type (Telecommunication Infrastructure, Road Infrastructure, Energy Infrastructure, Water Infrastructure)-Forecast to 2035

India Smart Infrastructure Market Overview

As per MRFR analysis, the India Smart Infrastructure Market Size was estimated at 6.13 (USD Billion) in 2023.The India Smart Infrastructure Market Industry is expected to grow from 6.5(USD Billion) in 2024 to 10.5 (USD Billion) by 2035. The India Smart Infrastructure Market CAGR (growth rate) is expected to be around 4.456% during the forecast period (2025 - 2035).

Key India Smart Infrastructure Market Trends Highlighted

Urbanization, government programs, and technical progress are all driving the India Smart Infrastructure Market rapid expansion right now. India's cities are growing quickly, and many people are relocating there, which makes smart infrastructure solutions quite popular. The Indian government is actively supporting programs like Smart Cities Mission, which aims to improve urban services and the quality of life by building smart infrastructure.

This push for modernization has led to more money being spent on smart grids, intelligent transportation systems, and eco-friendly construction solutions. This shows how important it is to manage energy and stay connected.

There are many chances to be had in India's smart infrastructure landscape, especially when it comes to integrating renewable energy and making public safety better. The government's ambitions for sustainability are in line with the growing interest in smart transportation systems, such as metro projects, electric vehicles (EVs), and smart traffic management.

Also, working together between the public and commercial sectors can lead to new ways of funding projects and new technology solutions that meet the specific needs of Indian towns. Recent trends have shown that more and more infrastructure projects in India are using Internet of Things (IoT) technologies and data analytics.

There has been more use of smart public services in cities, such as smart lighting, waste disposal, and water management. Cities like Ahmedabad and Pune are at the forefront of using smart solutions, setting an example for others to follow. Also, using artificial intelligence and machine learning to manage infrastructure is becoming more widespread.

This makes it easier to allocate resources efficiently and makes operations safer. As India continues to change, the smart infrastructure industry is ready for big improvements that will meet the needs of its urban residents.

Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

India Smart Infrastructure Market Drivers

Government Initiatives and Investments in Smart Cities

The Indian government has prioritized the development of Smart Cities as a crucial part of its urbanization strategy. The Smart Cities Mission, initiated in 2015, aims to develop 100 smart cities across the nation, with a cumulative investment of over 2 trillion Indian Rupees. This initiative is expected to significantly boost the India Smart Infrastructure Market Industry as infrastructure, technology, and investment converge to facilitate urban development.

The Ministry of Housing and Urban Affairs indicates that as of 2023, 50 cities have been selected for the mission, triggering various infrastructure projects that enhance connectivity, energy management, transportation, and waste management.

Companies like Tata Consultancy Services and Infosys have been actively involved in smart infrastructure projects, leveraging technology to improve urban planning and service delivery. This influx of government funding and private sector participation is anticipated to drive the market towards a more advanced and integrated infrastructure setup.

Growing Urban Population and Demand for Enhanced Infrastructure

India is experiencing rapid urbanization, with projections indicating that by 2031, 600 million people will reside in urban areas. This unprecedented urban growth prompts increased demand for efficient and sustainable infrastructure, providing a strong impetus for the India Smart Infrastructure Market Industry.

The urbanization process also correlates with a rise in vehicle ownership and energy consumption, which necessitates improvements in transport and energy infrastructure.According to the National Institution for Transforming India (NITI Aayog), urbanization is expected to contribute to 70% of India's GDP growth, prompting the need for advanced smart infrastructure solutions.

Major firms like Larsen & Toubro and Hindustan Construction Company are aligning investment strategies to cater to this growing demand, making a direct impact on infrastructure development. As cities continue to expand, this growing urban population is set to stimulate market growth through the demand for innovative urban planning and service delivery solutions.

Technological Advancements and Internet of Things Integration

The integration of technology into infrastructure development, particularly through the Internet of Things (IoT), is transforming the India Smart Infrastructure Market Industry. The increasing penetration of smartphones and internet access in India, with over 700 million smartphone users by the end of 2023, has led to a rising demand for smart solutions in urban environments.

This technology facilitates real-time data collection, analysis, and management, thus enhancing the efficiency of infrastructure systems such as transportation, waste management, and energy utilization.

Notable technology companies like Wipro and Bosch are increasingly investing in smart infrastructure technologies, helping cities to adopt IoT-driven solutions. The potential savings from improved operational efficiency can account for a significant percentage of overall infrastructure costs, making technological advancements a critical driver for market growth as cities look to modernize their infrastructure frameworks.

Increased Focus on Sustainability and Green Initiatives

With growing awareness around environmental sustainability, the Indian government and private sector are increasingly focusing on incorporating green technologies into infrastructure projects. The Indian Ministry of Environment, Forest and Climate Change has set ambitious goals for carbon neutrality, which includes promoting sustainable infrastructure.

The Smart Cities Mission promotes environmentally-friendly initiatives, such as solar energy, waste recycling, and sustainable public transport, to minimize the ecological footprint.Companies such as Adani Green Energy and Renew Power are investing in renewable energy projects that are integral to smart infrastructures, aligning with government policies.

This shift towards sustainability is expected to favorably influence the India Smart Infrastructure Market Industry by providing alternative solutions that comply with regulatory requirements and attract eco-conscious investment.

India Smart Infrastructure Market Segment Insights

Smart Infrastructure Market Technology Insights

The Technology segment of the India Smart Infrastructure Market is witnessing robust growth, driven by advancements in various technologies that effectively address urbanization demands and infrastructure development. The Internet of Things (IoT) stands out as a transformative force, enabling smart connectivity across devices and infrastructure, thereby enhancing efficiency in resource management and urban planning.

Artificial Intelligence (AI) is also playing a crucial role, empowering real-time data analysis and decision-making processes, which aids in predictive maintenance and enhances operational efficiency across sectors like transportation and utilities. Big Data Analytics complements these initiatives by facilitating actionable insights derived from vast data generated by IoT devices. This analytics capability allows for improved service delivery and operational optimization, further fueling the growth of smart infrastructure.

Cloud Computing serves as the backbone for these emerging technologies, providing scalable resources and enabling firms to operate effectively without heavy infrastructure costs, which is vital for small and medium enterprises seeking to adopt smart solutions. Furthermore, Blockchain technology is becoming increasingly significant in ensuring data security and integrity, especially in transactions related to public utilities and smart contracts, fostering trust among stakeholders. The convergence of these technologies is paving the way for innovative solutions in the India Smart Infrastructure Market, which is perfectly aligned with the government's initiatives aimed at enhancing urban resilience and sustainability.

The collaboration between private and public sectors plays a pivotal role in creating smart infrastructure ecosystems, making it possible to integrate these various technologies seamlessly, thereby addressing both current urban challenges and future demands. This integration not only transforms the way infrastructure operates but also contributes to the overall economic development of India, with job creation and improved quality of life for its citizens becoming key outcomes. As these segments continue to evolve, they will be fundamental in driving the India Smart Infrastructure Market towards a more sustainable and technologically advanced future.

Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review

Smart Infrastructure Market Application Insights

The Application segment of the India Smart Infrastructure Market holds significant potential for growth, driven by increased urbanization and the government's push towards smart city initiatives. As India focuses on sustainable development, Smart Transportation has emerged as a critical area, facilitating efficient traffic management and reducing congestion through real-time data analytics.

Smart Energy solutions are gaining traction in the country, promoting renewable energy sources and enhancing energy efficiency among consumers and enterprises.In the realm of Smart Buildings, the emphasis on automation and energy conservation is crucial, supporting the creation of eco-friendly and efficient living spaces.

Additionally, Smart Water Management technologies are vital for optimizing water usage and reducing wastage, addressing the challenges posed by water scarcity in many regions of India. Finally, the Smart Grid framework plays a pivotal role in modernizing electricity distribution, ensuring a reliable and efficient power supply. Collectively, these applications reflect the broader trends in the India Smart Infrastructure Market, aiming to drive innovation, sustainability, and efficiency across various sectors of the economy.

Smart Infrastructure Market End Use Insights

The End Use segment of the India Smart Infrastructure Market is diversified, encompassing various sectors such as Commercial, Residential, Industrial, and Government, each playing a vital role in the overall growth trajectory of the market. The Commercial sector, driven by rapid urbanization and increased business activities, significantly contributes to the adoption of smart technologies aimed at enhancing operational efficiency.

The Residential segment is gaining traction due to rising disposable incomes and the demand for smart homes, empowering consumers with better energy management and improved security features.On the other hand, the Industrial sector emphasizes automation and IoT integrations, showcasing a propensity for advanced manufacturing approaches that enhance productivity while minimizing costs.

Meanwhile, the Government sector is pivotal as it implements smart city initiatives, focusing on sustainable urban development and efficient public services. This segment is supported by various policy frameworks and investments aimed at improving infrastructure capabilities, showcasing the importance of smart technologies in addressing urban challenges.The confluence of these segments not only shapes the India Smart Infrastructure Market dynamics but also presents opportunities for innovation and investment in smart solutions across the country.

Smart Infrastructure Market Infrastructure Type Insights

The Infrastructure Type segment of the India Smart Infrastructure Market is integral to the nation's development, focusing on enhancing the efficiency and sustainability of various essential services. Telecommunication Infrastructure plays a crucial role, as the increasing demand for fast and reliable communication services drives investment in high-speed networks, including 5G technology, which supports digital transformation across industries.

Road Infrastructure is another significant area, where enhancements are aimed at improving connectivity and reducing traffic congestion, aligning with government initiatives like the Bharat Mala Project.Energy Infrastructure is focusing on the transition to renewable energy sources, supported by government policies encouraging green energy investments, while also improving grid reliability.

Water Infrastructure addresses critical challenges related to water scarcity and management, aiming to provide safe drinking water and sustainable water resource management solutions. Each of these areas reflects the broader trends within the India Smart Infrastructure Market, highlighting the significance of upgrades to support urbanization and improve living standards.Addressing these segments effectively is essential for fostering economic growth and ensuring a sustainable future for India's diverse population.

India Smart Infrastructure Market Key Players and Competitive Insights

The India Smart Infrastructure Market is evolving rapidly, driven by the increasing demand for efficient energy management, sustainable urban development, and advanced technology integration. In this competitive landscape, numerous companies are striving to position themselves at the forefront by offering innovative solutions that cater to the diverse needs of infrastructure development in urban areas. The market comprises a mix of global players and regional firms who compete on various fronts, including technology, product offerings, service capabilities, and customer outreach.

As a result, companies are investing significantly in research and development to enhance their product portfolios while also forming strategic partnerships and alliances to broaden their market footprint. The need for smart solutions that address pressing challenges, such as energy efficiency, smart grid technology, and sustainable building practices, makes this market a hotbed for competition, with firms continually striving to outperform one another by leveraging cutting-edge technologies and customer-centric approaches.Crompton Greaves has established a notable presence in the India Smart Infrastructure Market, leveraging its longstanding expertise and a comprehensive range of products that cater to diverse infrastructure needs.

The company is well-regarded for its innovative solutions in electrical equipment and services, particularly focusing on power distribution and management systems. Crompton Greaves enjoys several strengths in the market, including a robust research and development capability that enables it to consistently introduce advanced technologies.

Additionally, with an expansive distribution network and a strong brand reputation in India, the company has effectively built strong relationships with customers across various sectors. Its commitment to quality and customer satisfaction further solidifies its position in the competitive landscape.Schneider Electric India is another prominent player in the India Smart Infrastructure Market, known for its commitment to providing innovative solutions that enhance energy efficiency and sustainability.

The company offers a wide array of products and services, including smart building technology, data center infrastructure management, and energy management solutions. Schneider Electric India has a significant market presence, backed by its strong brand equity and extensive distribution channels across the nation.

The company emphasizes collaboration and strategic partnerships to enhance its offerings, enabling it to stay ahead of competitors. Schneider Electric India has also been active in mergers and acquisitions, further consolidating its capabilities and expanding its service portfolio to meet the growing demand for smart infrastructure solutions. The strength of Schneider Electric lies in its ability to deliver integrated solutions that cater to the evolving needs of the Indian market while promoting energy sustainability and efficiency across various sectors.

Key Companies in the India Smart Infrastructure Market Include

• Crompton Greaves
• Schneider Electric India
• ABB India
• Siemens India
• Honeywell Automation India
• GE Power India
• Infosys
• Wipro
• Tata Power
• Adani Group
• NTPC Limited
• Larsen & Toubro

India Smart Infrastructure Market Industry Developments

The India Smart Infrastructure Market has observed significant developments in recent months. Crompton Greaves has made strides in smart metering solutions, focusing on enhancing energy efficiency. Schneider Electric India is investing in digital transformation to drive sustainability and increased operational efficiency. ABB India has introduced new automation technologies aimed at improving productivity in manufacturing sectors.

Siemens India is focusing on smart mobility solutions and has reported increased contracts from the government for intelligent transportation systems. In the energy sector, NTPC Limited is diversifying into renewable energy sources and has recently launched projects to upgrade their infrastructure.

Tata Power is also investing in smart grids to improve operational efficiency and reliability. Furthermore, in July 2023, Larsen and Toubro acquired a stake in a clean technology firm to enhance its capabilities in smart infrastructure solutions. The market has seen remarkable growth in valuation as companies adapt to changing consumer demands, positioning themselves for future technological advancements.

India Smart Infrastructure Market Segmentation Insights

• Smart Infrastructure Market Technology Outlook
  • Internet of Things
  • Artificial Intelligence
  • Big Data Analytics
  • Cloud Computing
  • Blockchain
• Smart Infrastructure Market Application Outlook
  • Smart Transportation
  • Smart Energy
  • Smart Buildings
  • Smart Water Management
  • Smart Grid
• Smart Infrastructure Market End Use Outlook
  • Commercial
  • Residential
  • Industrial
  • Government
• Smart Infrastructure Market Infrastructure Type Outlook
  • Telecommunication Infrastructure
  • Road Infrastructure
  • Energy Infrastructure
  • Water Infrastructure

 

Report Attribute/Metric Source:	Details
MARKET SIZE 2023	6.13(USD Billion)
MARKET SIZE 2024	6.5(USD Billion)
MARKET SIZE 2035	10.5(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	4.456% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	Crompton Greaves, Schneider Electric India, Reliance Industries, ABB India, Siemens India, Honeywell Automation India, GE Power India, Infosys, Wipro, Indian Oil Corporation, Tata Power, Adani Group, NTPC Limited, Larsen & Toubro, Mahindra & Mahindra
SEGMENTS COVERED	Technology, Application, End Use, Infrastructure Type
KEY MARKET OPPORTUNITIES	Smart grid technology adoption, Sustainable urban development initiatives, IoT integration for infrastructure, Renewable energy infrastructure growth, Smart transportation solutions implementation
KEY MARKET DYNAMICS	technological advancements, government initiatives, urbanization trends, investment in renewable energy, demand for smart cities
COUNTRIES COVERED	India