The market for smart buildings is anticipated to grow at a CAGR of 25.3% from 2022 to 2030, reaching a value of USD 570.02 billion. The adoption of smart building solutions and services is predicted to be fueled by the rising need for energy-efficient systems, the increase in Internet of Things (IoT)-enabled Building Management systems (BMS) usage, and the expansion of industry standards and regulations.
Big data, cloud computing, and Internet of Things (IoT) technologies assist employees to adapt to changing lives and vocations as well as enhance workspaces and individual working environments. For example, Hitachi, Ltd. launched an IoT platform in December 2020 to improve building operation quality and add value. The platform provided a better user experience and very effective administration. In the upcoming years, it is anticipated that these discoveries will lay the groundwork for the creation of ground-breaking technologies that will dramatically improve human lifestyles.
Companies offer maintenance and assistance for updating systems to improve the management and performance of smart buildings. Additionally, the businesses are working to evaluate existing solutions routinely to order optimising performance through better technological adjustments and process enhancements. Companies like Johnson Controls, Siemens AG, and IBM Corporation invest a lot of money in research and development to bring new technologies to market and keep their market leadership. For example, Johnson Controls included Microsoft’s Digital Twin in its OpenBlue IoT platform in December 2020, allowing it to create detailed digital duplicates of real structures, assets, and systems.
To achieve this, several governments around the world are promoting smart building programs, placing an emphasis on sustainability, crafting laws governing energy efficiency, and promoting public-private collaborations. Additionally, governments all over the world are supporting and funding the development of smart cities due to the speed with which local administrations are adopting smart solutions. For instance, an Australian partnership received financing from the government totaling up to AUD 28 million (USD 16.3 million) to undertake a project targeted at changing how buildings are planned and built in Australia. During the forecast period, all of these initiatives are anticipated to significantly contribute to the market’s expansion.