Petroleum Industry in South Africa Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Smart Building Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028) The Smart Building Market size is expected to grow from USD 80.10 billion in 2023 to USD 136.19 billion by 2028, at a CAGR of 11.20% during the forecast period (2023-2028). Moreover, the consumer's propensity to adopt security solutions is on the rise due to the pandemic scenario and the uncertainty of going back into normal life. The aspect of a ‘smart building' is looking more practical in the new normal post-COVID-19. Key HighlightsEnergy costs are rapidly increasing, and environmental issues are a major concern today. There is increasing pressure to provide more energy-saving solutions to save money. As energy conservation has become more important recently, demand for smart buildings has increased. Reduction in energy consumption is a primary concern amongst commercial building owners and managers to save money. According to the US Energy Information Administration, almost 40% of the energy consumed in the country powers commercial and residential buildings.For instance, in February 2021, ABB installed its smart building control systems at New Development Bank (NDB) headquarters in Shanghai. The installations are anticipated to generate energy savings of more than 15% compared to conventional systems. Furthermore, in January 2022, ABB Smart Lighting was adopted by the Kattegatt high school in Halmstad, Sweden to make the 19,00 square meter campus energy-efficient.The increasing government initiatives to reduce energy consumption have been one of the primary factors for adopting smart building solutions. For instance, according to the U.S.-China Economic and Security Review Commission, in China, spending on government spending on smart cities initiatives would reach USD 38.92 billion in 2023. Such developments further indicate a nation's propensity towards adopting energy efficiency solutions.Also, the Canadian government is laying high emphasis on energy conservation through smart buildings majorly, including offices and homes. Moreover, the United Kingdom also has kept considerable efforts in smart building solutions, primarily to reduce the carbon footprint from the building sector and reduce its energy consumptionThe Government of India developed 'The Energy Conservation Building Code' (ECBC), which sets minimum energy performance standards for buildings and includes the building envelope, heating, ventilation, and air conditioning. Hence, the growing adoption of smart lighting systems could help the country in saving energy.Green HVAC systems are being developed to improve energy efficiency and bring down costs. For instance, Ice Energy, a prominent energy storage company based out of Glendale, California, released an ice-powered air-conditioning unit called the Ice Bear to cool buildings and, in most cases, reduce a building's total net energy consumption.However, the market growth is expected to be hindered due to a lack of competent experts skilled in assessing smart solution systems. Professionals operating in the field need to be aware of the design changes and installation in the context of future needs. Failing to do so may lead to complications.Smart Building Market TrendsBuilding Energy Management System to hold a Significant Market Share Due to an increasing number of commercial buildings, the growing demand for reduction in energy consumption levels and continuing growth of energy use created a need to develop innovative techniques to reduce and optimize building energy use. Building energy management systems (BEMS) has gained popularity because of the increasing interest in energy conservation and savings. Building energy management systems can control and monitor the building's energy needs. Further, in July 2021, Johnson Controls, a global player in innovative, healthy, and sustainable buildings, announced the availability of OpenBlue Net Zero Buildings as a Service. Johnson Controls will serve as a one-stop shop for businesses seeking to achieve net zero carbon and renewable energy targets. The offering recognizes customers' need for assistance in making these goals easier to plan, execute, track, and achieve. More prominent buildings require advanced building and predictive analytics, building optimization and continuous optimization, demand response, automated building control, autoDR, and enterprise integration, while small-sized buildings require a system that can provide information on incentive availability, historical billing analysis, and behavioral, educational, and retrofit suggestions. BEMS plays a crucial role in fulfilling these requirements. Additionally, Government initiatives, such as the EU's Energy Performance of Buildings Directive (EPBD) and the US Commercial Building Initiative (CBI), are forcing public authorities and businesses to step up their efforts to limit greenhouse gas emissions and energy consumption at the community level. Furthermore, there is rising pressure for increased uptake in energy-saving and cost-effective solutions within countries such as the United Kingdom, particularly across smart buildings and cities. IoT is evolving to meet ever more stringent requirements and business challenges with constant technological developments. By interfacing IoT-enabled devices to a building management system, critical data parameters can be used to anticipate needs, take the requisite action, and control the entire process from end to end. In the United Kingdom, implementing NABERS ratings will increase the demand for businesses to take a proactive approach to building energy efficiency and smart buildings. Further, according to European Telecommunications Network Operators (ETNO), The number of active Internet of Things (IoT) smart buildings connections in the European Union is expected to increase by 154.06 million by 2025, which appears to drive market growth further. North America to Dominate the Market North America is one of the leading markets for Smart Buildings and IoT-enabled smart devices, the region witnesses the increased application and acceptance of Smart building solutions. North America holds a significant market share owing to the high volume of early adopters in the United States and Canada. Over the forecasted period, the region is expected to dominate the global market, owing to its developed infrastructure that can house smart automation solutions in residential and commercial segments. For instance, in October 2021, The U.S. Department of Energy (DOE) announced USD 61 million in funding for ten pilot projects using new technology to transform thousands of homes and workplaces into cutting-edge, energy-efficient structures. These Connected Communities can interact with the electrical grid to optimize their energy consumption, significantly reducing carbon emissions and energy costs. With the rise in energy costs and environmental awareness, more and more Americans are looking for smart, connected, and automated building solutions; with the add-in capabilities of safety and alarm systems, fire safety, surveillance, and security are the most installed products. The IoT-enabled smart building solutions are also widely accepted in the USA. According to the Energy Impact Assessment, U.S. Energy Information Administration, the average energy charges of the USA in 2022 were anticipated to increase by 3.9% to 14.26 cents/kWh, which has been on a constant rise since the 1990s. Energy management systems are another significant revenue-generating segment under which the building HVAC systems hold a considerable concentration. The United States is among the major markets for HVAC systems. According to the Energy Information Administration, or EIA, HVAC was the most energy-intensive application in commercial buildings in the United States. Building operations managers have been concerned about HVAC monitoring and management for decades, and they usually use complicated sensor networks and servers to monitor all of the data. High Internet Speed and deep internet penetration make North American countries an ideal hotspot for IoT, A.I., and Smart Buildings projects. Consumer spending capabilities for newer technology also augment the adoption and drive vendors to launch new solutions targeting different needs. With reduced semiconductor and sensor costs, more and more companies and start-ups are working together to produce better Smart Building Technology. The USA, especially a hub for start-ups and its strong financial and economic presence, has become the top spot for new technology markets such as Smart Building Solution. The governments in the region are also pushing toward adopting such innovative solutions due to the energy-saving benefits offered by such systems. The U.S. Green Building Council runs the 'LEED' program in collaboration with the Bank of America Charitable Foundation, providing support to the local governments looking to adopt sustainable solutions. Moreover, the U.S. government is upgrading its energy grids to Advanced Metering Infrastructure (AMI) to reduce energy consumption. According to the U.S. Department of Energy, the buildings sector accounts for about 76% of the electricity used, resulting in a considerable amount of associated greenhouse gas (GHG) emissions, making it necessary to reduce energy consumption in buildings to comply with the national energy and environmental challenges and to decrease costs to building owners and tenants.?Smart Building Industry Overview The smart building market is currently fragmented, with the presence of established global and domestic players across the globe. The market will be mainly driven by modern technologies and customizations to attract end-users. Vendors are concentrating primarily on offering innovative products and solutions that can optimize energy consumption and serve a high degree of building automation. July 2021 - Honeywell and Nexii Building Solutions Inc. announced a strategic alliance to advance the development of low-impact buildings. This alliance designates Honeywell as the exclusive building technologies supplier for Nexii's latest buildings, offering products that provide energy savings and operational efficiencies. April 2021 - Johnson Controls, a provider of smart, healthy, and sustainable building solutions, has partnered with a Connected IoT Device service provider subsidiary of Arm to accelerate innovation in connectivity, security, and intelligence at the edge for Johnson Controls OpenBlue technology. Additional Benefits: The market estimate (ME) sheet in Excel format 3 months of analyst support