(Credit: Canva Pro)As cities begin investing to improve building sustainability and efficiency, the market for smart buildings is expected to soar through the end of the decade, according to a recent report.
ResearchandMarkets.com' report on the smart building market provides insights into the industry's trends, projections, as well as the impact on urban development. With governments worldwide investing in smart city initiatives and the rising demand for sustainable solutions, the smart building market is projected to reach $570 billion by 2030, reflecting a robust CAGR of nearly 27% from 2023 to 2030.
As cities pivot towards a smart building transition, which increases the likelihood of smart building adoption across various regions. As the report dictates, the embrace of solutions that foster adaptive regulations and disruptive entries safeguards the interests of citizens and cities alike.
A notable example is India's Energy Conservation Building Code (ECBC), which sets stringent energy performance benchmarks for structures, spanning building exteriors, heating, cooling, and air conditioning systems. This regulatory push has accelerated the adoption of smart lighting systems, fostering energy conservation and sustainability.
Smart buildings rely on a network of Internet of Things (IoT) sensors and computer systems to automate various functions, from lighting and temperature management to security and access control. This technology promises enhanced efficiency and convenience. However, it also introduces vulnerabilities, as building automation systems and IoT sensors are susceptible to cyberattacks.
To mitigate these risks, businesses are increasingly focusing on segregating BAS systems from broader networks, implementing robust cybersecurity measures, and utilizing real-time monitoring and threat response solutions.
Smart buildings are positioned to contribute to self-generation and grid-supplied energy, driving the demand for low-carbon energy solutions. Through the integration of artificial intelligence and machine learning, building data can be harnessed to optimize operations and revenue generation. These technologies offer unprecedented insights into building performance, enabling informed decision-making and enhancing sustainability efforts.
Leading industry players are capitalizing on their expertise and market presence to drive innovation and growth. Cisco Systems, for instance, has introduced solutions such as private 5G and Wi-Fi 6E to enhance hybrid work environments. By collaborating with various sectors, these companies are transforming buildings into intelligent, connected spaces that enhance productivity and user experience.
The Building Infrastructure Management segment is expected to grow at a CAGR of 25%, driven by the adoption of advanced solutions like automation and data centers. Consulting, with a CAGR of nearly 29%, is vital for integrating operational and structural systems, ensuring functionality and financial impact.
The Industrial sector, with a projected CAGR of 26%, utilizes smart building technologies to optimize operations and reduce costs. In the Asia Pacific, consumer interest in converting buildings into smart, sustainable spaces is driving growth, expected to reach $166.45 billion by 2030.
