Smart Building Market: Introduction
The rise in need for efficient energy related inventions in infrastructure industry, increased market for Building automation and control system, and growth in the use of Internet of Things (IoT) in the building management system are some of the factors which are increasing the growth of the smart building market. Some of the other factors like increasing work for development of smart city projects across the globe is expected to provide good opportunities for smart building market.
Smart Building Market: Drivers and Challenges
The constant attention to energy conservation throughout the world and the adoption of green building and ecofriendly infrastructure has led to the construction of smart buildings. This growing market acts as a driver to other smart product markets like occupancy sensors, smart thermostats, and HVAC and lighting controls. The other plus for the market comes from different governments across the world who are promoting the construction and growth of smart buildings. These initiative makes the players who are relating to smart cities projects more interested and thriving to use these products in their respective projects.
The factors which would affect the growth of smart building are the markets like Building Automation, Smart sensors market, growth of construction industry, urbanization rate of the world, shift to digitization for emerging countries and other such factors.
While there are drivers for the market, the factors like the operability between intelligent buildings and the cost of connecting and deploying the systems to make a smart buildings are some of the factors which are restraining the market.
Smart Building Market: Segmentation
The global smart building market can be segmented on the basis of component, system type, end user and region.
On the basis of component, the smart building market can be segmented into:
On the basis of system type, the smart building market can be segmented into:
The segment like Intelligent Security System and Network Management System are estimated to be the fastest growing segment for the market due to growing need for integrated security and safety systems and the implementation of the IoT platform in building automation technology.
On the basis of end user, the smart building market can be segmented into:
Smart Building Market: Key Players
The smart building market, currently, is considerably competitive, with continuous product and technology developments by established as well as new players. Some of the key players in the smart building market are Legrand, Johnson Controls, Delta Controls, United Technologies Corporation, ABB, Cisco Systems, Inc., Siemens AG, Honeywell International Inc., Intel Corporation, Schneider Electric, IBM Corporation, BuildingIQ, TYCO International, Emerson Electric, Ingersoll Rand Security Technologies, Hitachi and others.
Smart Building Market: Regional Overview
On the basis of geography, the smart building market can be segmented into North America, Latin America, Europe, East Asia, South Asia, Oceania and Middle East & Africa. Among the various regions, the smart building market for Europe and North America is expected to dominate during the forecast period, owing to many local vendors in the market. Europe is expected to hold a major share in the global smart building market due to the high demand and adoption of these structures and also due to the rapid technological advancements in the region. Europe and North America regions in the smart building market are expected to be followed by South Asia and Latin America during the forecast period, owing to increased spending on the research on the new technologies. Apart from these the markets in different regions are seen to be specifically connected with the spending power of the countries in the region.
In April 2018, University of Technology, Sydney deployed a systems to cut energy costs of their building which was Cisco’s intelligent building systems for smart energy usage, with an energy management system and building management system controlling essential functions. This product had an upgraded and customized features for UTS provided by Cisco.
The Smart Building market report covers exhaustive analysis on:
Regional analysis for Smart Building Market includes:
The Smart Building market report is a compilation of first-hand information, qualitative, and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain. The report provides in-depth analysis of parent market trends, macro-economic indicators and governing factors along with market attractiveness as per segments. The report also maps the qualitative impact of various market factors on market segments and geographies.
Smart Building Market Report Highlights:
The emerging trend of energy-efficiency has been driving the growth of the smart building market. The innovations going in the infrastructure industry are lately being diverted in the direction of building automation and control systems. The use of advanced technologies such as the Internet of Things is augmenting the smart building landscape. The burgeoning smart city projects across the globe are generating lucrative opportunities in the global smart building market.
The green building and eco-friendly infrastructure are gaining demand on the back of energy conservation and sustainability. The growth in the market of these infrastructures positively influences the progress of the smart building landscape. With the growth in the smart building, the markets of smart products such as smart thermostats and occupancy sensors are also experiencing positive growth.
The global market can be broadly segmented on the basis of components into software, hardware, and services. Different prominent system types in the global market include Intelligent Security Systems, Infrastructure Management Systems, Coaxial/Copper Cable, Building Energy Management Systems, and Network Management Systems. Segments such as intelligent sensory systems and network management systems are projected to contribute significant revenue in the market by the end of the forecast period owing to the rise in demand for integrated security and safety system. The surge in IoT implementation in building automation systems is the other factor that is expected to enhance the adoption of these systems. Significant end-user in the global market include the commercial sector, industrial sector, and residential sector.
The global smart building market faces challenges in terms of operation and high cost. The interoperability of smart buildings is still in developing phase, creating a roadblock for the robust market growth. The cost of connecting these smart systems and deploying them is very high, which comes with other expenses for maintenance. These cost issues are creating a major challenge for the market players.
With a high concentration of market vendors, the markets in North America and Europe are expected to generate significant revenue in the market. The rapid technological advancements in Europe is forecasted to generate white spaces of growth for the market vendors in the coming years. The adoption of these technologies is also expected to drive growth in the markets of Latin America and South Asia during the forecast period.
Major market players are continuously developing new and innovative products to achieve a competitive edge in the market. They are investing in the research & development activities to stay ahead in the market competition. For instance, Cisco launched Cisco intelligent building system to facilitate smart energy. This system when deployed in buildings controlled different essential functions to manage the energy used in the building. Prominent players are collaborating with the local players to strengthen their regional foothold. Established players profiled in the global smart building market include Cisco Systems, Honeywell International Inc., IBM Corporation, Intel Corporation, Emerson Electric, United Technologies Corporation, Schneider Electric, and Hitachi.