Digital Twin Urban Lighting Network Market Report 2025

The digital twin urban lighting network market size has grown exponentially in recent years. It will grow from $1.87 billion in 2024 to $2.35 billion in 2025 at a compound annual growth rate (CAGR) of 25.8%. The growth during the past period was driven by higher demand for energy-efficient lighting solutions, expanding urban populations and infrastructure, increasing implementation of smart city initiatives, greater government emphasis on sustainable urban development, and rising investments in public safety systems.

The digital twin urban lighting network market size is expected to see exponential growth in the next few years. It will grow to $5.82 billion in 2029 at a compound annual growth rate (CAGR) of 25.8%. Future growth is expected to be driven by the expanding adoption of integrated digital twin platforms, increased deployment of IoT-enabled lighting networks, greater focus on real-time data monitoring and analytics, rising demand for predictive maintenance in lighting infrastructure, and growing use of adaptive and responsive lighting systems. Key trends include advancements in digital twin technologies, innovations in sensor-based lighting, developments in AI-driven urban planning tools, progress in cyber-physical lighting systems, and innovations in energy management through digital twin solutions.

The growth of the digital twin urban lighting network market is being supported by increased budget allocations toward smart infrastructure. Smart infrastructure involves embedding advanced technologies such as sensors, IoT, and data analytics into physical systems to boost efficiency, safety, and sustainability. Allocating more resources to smart infrastructure helps optimize operations through real-time data and automation, reducing costs and improving resource management. For example, in April 2025, the European Investment Bank reported that around 60% of municipalities plan to use external funding sources, up from 40% in 2022, with more cities investing in both green and digital initiatives. This rise in funding is facilitating the adoption and growth of digital twin urban lighting networks.

The adoption of the Internet of Things (IoT) is driving the expansion of digital twin urban lighting networks. IoT connects devices and systems to collect, share, and analyze data in real time, improving operational efficiency and decision-making. By integrating IoT, cities can monitor infrastructure, automate processes, and optimize energy usage more effectively. For instance, the European Commission projected in July 2025 that 49 million IoT-connected devices would be installed by 2026, rising from over 40 billion in 2023. Such developments are strengthening the capabilities of digital twin urban lighting networks.

Looq AI has introduced its DigitalTwinAI platform to advance smart city lighting and infrastructure management. The platform combines digital twin modeling with artificial intelligence, creating virtual replicas of urban lighting systems for monitoring, predictive maintenance, and energy optimization. Launched in February 2024, the Looq platform allows surveyors, engineers, contractors, and asset owners to map physical infrastructure digitally with survey-grade accuracy. By leveraging AI and computer vision technologies, the platform enables frequent, large-scale digitization of critical infrastructure, supporting safer, more sustainable, and highly electrified urban environments.

Major players in the digital twin urban lighting network market are Siemens AG, Cisco Systems Inc., Ericsson, Signify N.V., Zumtobel Group AG, Schreder S.A., Quantela Inc., Ubicquia Inc., TOTEM S.A., Paradox Engineering SA, Juganu Ltd., Akselos SA, Eagleprojects Srl, BizzTech Solutions Pvt. Ltd., blueOASIS Ltd., Looq AI Inc., Des Moines GIS Team, vCity Ltd., TwinUp S.A., and Planète GreenLeaves S.A.

North America was the largest region in the digital twin urban lighting network market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in digital twin urban lighting network report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the digital twin urban lighting network market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the utilities sector, particularly in power generation, grid infrastructure, and renewable energy projects. Higher duties on imported equipment such as turbines, transformers, solar panels, and battery storage systems have increased capital and operational costs for utility providers, forcing them to reconsider project timelines or pass on expenses to consumers through higher energy rates. The water and waste management segments are also affected, with tariffs driving up the cost of essential machinery, piping, and treatment technologies. Additionally, retaliatory tariffs have disrupted global supply chains for critical raw materials like rare earth metals used in clean energy technologies, further complicating the transition to sustainable energy sources. The sector must now prioritize domestic sourcing, digitalization, and efficiency-driven innovations to manage escalating costs while ensuring energy security and regulatory compliance.

A digital twin urban lighting network is a real-time virtual model of a city’s lighting system, built using high-resolution geospatial data and 3D mapping via light detection and ranging (LiDAR). It enables precise visualization, simulation, and analysis of lighting assets throughout urban areas, supporting proactive management and performance optimization. This digital representation improves decision-making by offering a continuously updated and accurate view of the physical infrastructure.

The primary components of digital twin urban lighting networks include software, hardware, and services. Software consists of programs, instructions, or data that allow devices or computers to execute specific operations. Deployment can be on-premises or cloud-based, with connections provided through wired or wireless networks. Applications include energy consumption optimization, fault detection and predictive maintenance, lighting asset management, smart street lighting control, urban planning and simulation, and emergency response. These solutions serve end users such as municipalities, utility companies, commercial enterprises, and others.

The digital twin urban lighting network market research report is one of a series of new reports that provides digital twin urban lighting network market statistics, including the digital twin urban lighting network industry global market size, regional shares, competitors with the digital twin urban lighting network market share, detailed digital twin urban lighting network market segments, market trends, and opportunities, and any further data you may need to thrive in the digital twin urban lighting network industry. This digital twin urban lighting network market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The digital twin urban lighting network market consists of revenues earned by entities by providing services such as system integration, maintenance and support, training and education, data analytics and reporting, remote monitoring services, and implementation services. The market value includes the value of related goods sold by the service provider or included within the service offering. The digital twin urban lighting network market also includes sales of smart street lights, sensors, controllers, and energy meters. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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