Siemens breaks ground on smart city development

Siemens, in the presence of German Chancellor Olaf Scholz and Berlin’s Governing Mayor Kai Wegner, commenced the ground breaking ceremony for one of Europe’s largest urban development initiatives in Berlin.

Siemensstadt Square, encompassing approximately 188 acres and offering over a million square metres of floor space, will accommodate around 35,000 residents and workers. This project serves as a model for the efficient design of urban brownfield developments and industrial transformation globally. Leveraging digital technologies from the Siemens Xcelerator platform, including an end-to-end digital twin and artificial intelligence (AI), the district aims to be both liveable and future-ready.

Collaborating with various project partners, Siemens is transforming its century-old industrial site in Berlin’s Spandau area into a “district of the future,” integrating manufacturing, research, education, and living spaces. The project will provide living accommodation for up to 7000 people over 270,000 square metres, with 30% designated for social housing.

Additionally, the development will create up to 20,000 jobs through partnerships with numerous companies. This transformation is set to enhance the district’s competitive edge and ensure the industrial jobs there remain viable and future-proof. Siemens is investing €750 million, its largest single investment in Berlin, reaffirming its commitment to Germany’s industrial sector. By 2035, the total investment in the project will reach up to €4.5 billion.

“This laying of the foundation stone is encouraging. Because it shows what we can already achieve in Germany today – in urban planning and in the construction of modern neighbourhoods. Siemensstadt will remain what it has been for 125 years – a place of new beginnings, a place of the future and of confidence!” said Federal Chancellor Olaf Scholz. 

“Siemensstadt Square will be the blueprint for the city of the future,” said Roland Busch, President and CEO of Siemens. “The project will combine artificial intelligence, digital twins and other technologies from the Siemens Xcelerator platform to transform an industrial brownfield area into an engine for solid, healthy growth. Net zero will be ensured through automated production and building technology, optimised energy management and green mobility. It will be a blueprint for sustainable growth and competitiveness through digitalisation.” 

“The future is being made at a new location in Berlin. As we lay the cornerstone for the new Siemensstadt Square neighbourhood, we are marking the start of an exciting urban development project: an advanced, sustainable smart city in the middle of one of Berlin’s fastest-growing areas for new construction,” added Governing Mayor of Berlin, Kai Wegner. “It will significantly help Germany’s capital city to reach its climate targets and attract skilled workers, in part because the neighbourhood will offer housing with a high quality of life. I am very grateful to Siemens; the Senate Department for Urban Development, Building and Housing; and the borough of Spandau for their outstanding cooperation on this flagship project.”

Siemensstadt Square will showcase how technologies from the Siemens Xcelerator platform can integrate digital and sustainable solutions across the city: from intelligent sustainable buildings with photovoltaic roofs to AI-optimised biodiversity monitoring and electric vehicle solutions.

At the core of the planning, optimisation, and operation of the urban infrastructure is an end-to-end digital twin, combining all data points from campus, building, and energy twins. This intelligent data integration creates a comprehensive virtual model of the district, breaking down data silos. Consequently, errors can be identified in the digital city and prevented in the real world, with continuous improvements implemented based on digital insights.

The campus twin, developed in collaboration with Bentley Systems, consolidates all relevant data into a digital real-time master plan, including building information and planning status. The building twin, part of the Building X software suite, enables photorealistic re-planning of the existing area. Siemensstadt Square serves as the pilot for this project, integrating 100-year-old industrial buildings into a “walk-in” twin without disrupting operations. The energy twin optimises the district’s power supply by generating virtual forecasts and monitoring supply options. Integrated AI enhances energy efficiency, traffic, and waste management through data analysis and forecasting.

“I started my training and career at Siemensstadt thirty years ago. Today, as a member of the Managing Board, I’m laying – together with my fellow colleagues – the foundations for a district of the future. As a native of Berlin, today’s a special day for me. After more than 100 years as a closed production site, Siemensstadt Square will become an open meeting place. A space that will enable people to live together in an inclusive and climate-friendly manner and will significantly shape the future of the people of Berlin. This project is a beacon for Berlin, Germany and Europe,” said Cedrik Neike, member of the Managing Board of Siemens. 

The project’s comprehensive energy design aims to reduce carbon emissions in established cities. In collaboration with Berliner Wasserbetriebe and an energy supplier, Europe’s largest wastewater heat exchanger will be installed. The system, combined with heat pumps, will supply the district with 100% carbon-neutral heating and cooling by 2026. The required electricity will come entirely from renewable and local sources. This will be achieved even as the district accommodates more residents and increases productivity.

The construction phase for Module 1 has begun, and by July this year, visitors can explore the new Siemensstadt Square district in a showroom within the historic administration building. The Chancellor unveiled this showroom today. The first two buildings, including the Siemens Hub Berlin and an information pavilion, will be completed by autumn 2026. A 60-metre high-rise, housing part of the Siemens Mobility team, and a redesigned entrance plaza are set for completion by mid-2027.

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