1. 1. The Smart Cityand impact on Latin America
2. 2. Agenda Mega Trends and the Smart CityNecessity Drives Innovation: Why Cities Are Getting Smarter Urban Mobility Key Factor and Opportunity2
3. 3. Smart City as Extension of Key Mega Trends Mega Trends drive and are intertwined in the concept of a Smart City Urbanization creates a need for a smarter city Healthcare, Infrastructure, Energy and Mobility converge and connect disparate markets Connectivity creates a platform for these markets to communicate and New Social Trends demand customization, real time information, and enable a higher comfort level with technologyUrbanization City as a CustomerBricks and ClicksFuture Infrastructure DevelopmentSmart is the New GreenInnovating to ZeroHealth, Welln ess and Well BeingSocial TrendsNew Business Models: Value for ManyFuture of MobilityConnectivity and ConvergenceBeyond BRIC: The Next Game ChangersFuture of Energy3
4. 4. Necessity Drives Innovation4
5. 5. Mega CitiesMega RegionsMega CorridorSmart and Sustainable Cities 5
6. 6. Mega Cities: By 2025, it is expected that 85.7% of the population (566.5 million people) in Latin America will be living in urban areas Bogota Population 2025: 11.4 million GDP 2025: $298.0 billionGuadalajara Population 2025: 5.7 millionMexico City Population 2025: 24.6 million GDP 2025: $713.5 billionBelo Horizonte Population 2025: 6.6 millionLima Population 2025: 11.5 millionRio de Janeiro Population 2025: 13.6 million GDP 2025: $327.1 billionSao Paulo Population 2025: 23.2 million GDP 2025: $643.9 billionPeople per Square Kilometre Highly Urban CountriesMore than 200 peopleMedium-High Urban Countries100 200 peopleMedium Urban Countries50 100 peopleLow-Medium Urban Countries10 50 peopleLow Urban CountriesSantiagoLess than 10 peoplePopulation 2025: 7.1 millionBuenos Aires Population 2025: 15.5 million GDP 2025: $327.1 billionMega Cities in 2025 Emerging Mega Cities (4-8 million population in 2025)Source: United Nations, Department of Economic and Social Affairs Statistics, Frost & Sullivan and other regional and country level statistics bureau6
7. 7. City as a Customer Urbanization Creates OpportunitiesHealthcare Remote monitoring of patients and ability to conduct surgeries from remote areasCivil Construction Industry Smart Infrastructure Smart homes, green buildingsSecurity Data on nearby police stations or officers along with tracking highvalue goods and monitoring crimeMobility Car sharing, bike sharing, integrated door-todoor multi-modal transport solutionsWater and Sanitation Market Water treatment systems, integrated power sources, and zero waste for industry Source: Frost & Sullivan analysis.
8. 8. InteractiveFacets of a Smart City Championed Smart Diamond to Define Smart City Smart GovernanceGreen Smart Citizen Smart EnergyComprehensive Smart HealthcareCoordinated4G Smart TechnologyMeasured and MonitoredSmart BuildingPlatform BasedIntelligent and Integrated Smart MobilitySmart Infrastructure 8 Source: Frost & Sullivan analysis.
9. 9. IBMs Intelligent Operations Center: Rio De Janeiro On its Way to Become a Smart City Integrated ViewData Reporting & CollectionThe centralized command center gathers data from 30 agencies and provides an aggregate view in a single dashboard helping the city coordinate their work. Analyses data reported by citizens via platforms such as social media on city plans and projects that will impact themData from sensors in video feeds creates real-Analytics & Visualization time maps and graphs working to predictproblems and counter them proactivelyFaster Response SystemAbility to predict gives city officials more time to alert the public and send emergency help improved emergency response time by 30% 9
10. 10. Smart cities To Create Huge Business Opportunities With A Market Value Of $1.5 Trillion In 2020 Smart City Market by Segments1, Global, 2012-2020Smart Building CAGR: 11.2% (20122020)7Smart Governance1 and Smart Education29.7%CAGR: 15.4% (20122020)24.6% Smart Healthcare CAGR: 8.7% (20122020)614.6% Smart City MarketSmart Mobility CAGR: 18.9% (20122020)8.7%13.5%52 Smart Security CAGR: 14.3% (20122020)13.1% 15.8% Smart Infrastructure3 CAGR: 11.1% (20122020) 1These numbers 2Smart 3Other3 Smart EnergyCAGR: 25.2% (20122020)4represent the entire smart solutions eco-system in each segment for both urban and non-urban panoramasEducation includes eLearning services for schools, universities, enterprises, and government entitiesSmart Infrastructure such as sensor networks, digital management of water utilities not included in other segmentsSource: Frost & Sullivan analysis.10
11. 11. Key Parameters That Will Define a Smart City in 2020 Smart Energy: Digital Management of Energy Smart Grids Smart Meters Intelligent Energy StorageSmart Technology: Seamless Connectivity Broadband penetration rate of over 80% Location Based Services, Augmented Reality, GPS enabled devices/ phonesSmart Security: Safe Cities Surveillance Biometrics Simulation modelling and crime prediction C2 and responseNote: *Infrastructure not included in other segmentsSmart Buildings: Automated Intelligent Buildings Building Automation Intelligent Buildings: Advance d HVAC, Lighting EquipmentSmart Infrastructure: Digital Management of Infrastructure* Sensor Networks Digital Water and Waste ManagementSmart Governance: Government-onthe-Go e-Government e-Education Disaster Management SolutionsSmart Mobility: Intelligent Mobility Low-emission Mobility Integrated Mobility Solutions Multimodal TransportSmart Healthcare: Intelligent Healthcare Technology Use of ehealth and mhealth systems Intelligent and connected medical devicesSmart Citizen: Civic Digital Natives Use of Green Mobility Options Smart Lifestyle Choices Energy consciousSource: Frost & Sullivan analysis.
12. 12. Future Of Mobility12 12
13. 13. Future Innovation in Mobility to Focus on The Wild Side Technology Innovation Traffic Prediction systemUnknown SolutionsWild Innovation Mobility IntegrationParking Search assistanceNew Mobility ProductsCashless PaymentMotorized MoverTwo seated Electric CarImprovement Micro carsKnown SolutionsApplication Innovation Car SharingElectric CarsCar PoolingElectric BikesBike SharingMet NeedsUnmet Needs 13
14. 14. The Future of Mobility Is Multi-Modal Commuting, Combining Door to Door Solutions Using Dedicated Mobility Platforms IntercityIntercity TrainTRAVEL DISTANCESuburbsShared MobilityPrivate CarsIntercity BusCity Shared MobilityMicro-mobilityDestinationPublic TransportationTRAVEL DISTANCEDoor to door integrated, multi-mobility a reality in future Vehicle manufacturers to offer smart mobility solutions ensuring first and last mile connectivity. Government to club public transport with bike / two wheeler/car rental schemes Market will see new players in market termed as Mobility Integrators Source: Frost & Sullivan14
15. 15. Investments in Urban Mobility: Latin America Investments in Subway will reach more than $20 billion by 2020 Car Fleet*Road RingsBrazil - 53 million +89%$650 million investment Aracaju, Cuiaba, Curitiba, Belo Horizonte and FortalezaSao Paulo - 8 million +19% Rio de Janeiro - 3 million +76%Mexico - 34 million +65% Mexico City - 6 million +58%San Jose, Costa Rica - $115 million Santander , Colombia - $37 millionBus Rapid TransitSubway - Train$2.7 billion investments$1.0 billion investments to expand 208 km $115 million investments to expand 18 km$17 billion investments In Sao Paulo, Rio de Janeiro, Fortaleza, Curitiba$1.9 billion investments in BogotaMacro to Micro ImplicationsEthanol demand generation Hybrid cars Insurance demand *Projection for 2020Reduction of logistic costs Increasing urbanizationReal state appreciation Better places for services and retail Source: Frost & Sullivan analysis15
16. 16. From Macro to Micro: Taking Mega Trends from Information to Strategy Implementation MacroToMicroMega TrendAnalysis of Opportunities and Unmet NeedsSelected trends that impact your business and marketsSub TrendImpact on Future Product/ TechnologyA sub-layer of trends that has a wide ranging impactImpact to Your Industry Visualising the roadmap of these critical forces through scenariobuilding and macro economic forecasts 16