Portugal Connected Street Lighting Market 2025-2031

Portugal connected street lighting market expanded in line with the country’s accelerating urbanization and sustained investment in smart infrastructure. Urban population share increased from 2005 to 2024, while the construction sector surpassed in 2023 and is projected to reach more by the end of 2025. These trends are creating strong demand for advanced lighting systems. Government-backed programs such as the national strategy for intelligent territories (NSST) with RRP funding, the digital strategy 2030, and Lisbon’s MOVE 2030 initiative targeting a reduction in transport emissions by 2030 are further reinforcing adoption.

Complementing these efforts, more EV charging points were installed by 2023, and ERDF funding is being deployed across smart city and transport projects, expanding the base for connected lighting deployments. With projections that more of Portuguese streetlights will be LED by 2029 and a growing share of IoT-enabled, connected street lighting is becoming a central pillar of Portugal’s sustainable and digital urban ecosystem.

The Portugal Connected Street Lighting Market is expected to grow at a CAGR of 15.6% during 2025-2031, driven by large-scale infrastructure modernization, smart mobility programs, and EU-backed digital transformation. The government’s recovery and resilience plan (PRR), alongside ERDF funding, is targeting housing, transport, and urban renewal projects, with smart lighting embedded as a baseline requirement for efficiency and sustainability. Legislative reforms such as Urban Simplex, which streamlines approvals, and the upcoming electronic platform for urban planning procedures (2026) are expected to accelerate real estate and infrastructure deployment, creating further opportunities for IoT-enabled lighting systems. Smart city and mobility initiatives reinforce this trajectory.

The NSST, backed by RRP funding, promotes intelligent resource management in areas such as energy and mobility, directly supporting connected street lighting adoption. Projects including the Lisbon-Cascais bus corridor, the Route expansion, and cross-border MOBIX trials on the Portugal-Spain corridor are establishing a framework for integrating smart lighting with intelligent transport systems, traffic monitoring, and environmental sensing. Utilities such as E-REDES are also automating lighting networks through platforms such as FlexIP, while domestic players such as ArquiLED have installed LEDs, representing the national stock.

Market Segmentation by Component

The software segment is set for rapid growth during 2025-2031, driven by the adoption of centralized lighting management platforms for remote monitoring, predictive maintenance, and energy optimization. Government smart city programs and EU-funded digitalization will further accelerate the deployment of interoperable control systems across municipalities.

Market Segmentation by Connectivity

The wireless segment is projected to grow strongly during 2025-2031, driven by IoT-enabled streetlight controllers that cut cabling costs and integrate seamlessly with smart city platforms. Government digital infrastructure programs and EU urban innovation funding will further accelerate adoption across municipalities.

Market Segmentation by End-User

The smart cities segment is projected to grow rapidly during 2025-2031, fueled by municipal investments in integrated platforms linking lighting with mobility, environmental monitoring, and public safety. National strategies like NSST 2023-2030 and EU funding will further accelerate deployment across urban areas.

Key Attractiveness of the Report

• 10 Years Market Numbers.
• Historical Data: Starting from 2021 to 2024
• Base Year: 2024
• Forecast Data until 2031
• Key Performance Indicators Impacting the Market.
• Major Upcoming Developments and Projects.

Key Highlights of the Report:

• Portugal Connected Street Lighting Market Overview
• Portugal Connected Street Lighting Market Outlook
• Portugal Connected Street Lighting Market Forecast
• Historical Data and Forecast of Portugal Connected Street Lighting Market Revenues for the Period 2021-2031F
• Historical Data and Forecast of Portugal Connected Street Lighting Market Revenues, by Component, for the Period 2021-2031F
• Historical Data and Forecast of Portugal Connected Street Lighting Market Revenues, by Connectivity, for the Period 2021-2031F
• Historical Data and Forecast of Portugal Connected Street Lighting Market Revenues, by End-User, for the Period 2021-2031F
• Industry Life Cycle
• Porter’s Five Force Analysis
• Portugal Connected Street Lighting Market Drivers and Restraints
• Market Trends & Evolution
• Market Opportunity Assessment
• Portugal Connected Street Lighting Market Revenue Ranking, by Top 3 Companies
• Competitive Benchmarking
• Company Profiles
• Key Strategic Recommendations
• Market Scope and Segmentation

The report provides a detailed analysis of the following market segments:

By Component

• Hardware
• Software
• Services

By Connectivity

• Wired
• Wireless

By End-User

• Public Infrastructure
• Highways
• Smart Cities
• Others (Institutional and Defense Infrastructure)