Skip to main content

Building Automation Market will Reach $43 Billion

After years of steady but low growth, the commercial building automation systems (BAS) market is experiencing a rapid period of change and investment.

Traditionally, growth and adoption has been closely tied to new building completion but new entrants and new connectivity are driving greater investment.

According to the latest market study by ABI Research, over the next five years the building automation services market will grow to $43 billion -- that's up from $35 billion this year.

Two key factors are driving a new round of growth. Greater environmental and financial demands have raised the appeal of reducing energy consumption in commercial buildings and the benefits for optimizing building automation systems.

In addition, a new level of connectivity that stretches the reach of BAS apps from new sensors and actuators through to cloud application management and data analysis.

"This is a market long dominated by a handful of major players who deploy and manage commercial building management systems,” says Jonathan Collins, principal analyst at ABI Research.

Now these players are developing new ways to integrate and compete with a host of new service offerings. Perhaps we'll start to see some more meaningful examples of smart, connected building technology applications.

Dominant players Siemens, Johnson Controls, Honeywell, and Schneider Electric are increasingly seeing demand for their BAS systems connected to third-party player software as building owners gradually look to gain savings and offer additional level of control within their properties.

Within the BAS market, software and services will see the greatest revenue growth while hardware will lag as the pricing of actuators and switches fall.

In its latest market data analysis of the BAS market, ABI Research charts and forecasts the growing demand and revenue potential for building automation systems and the devices that connect to them.

Popular posts from this blog

AI-Driven Data Center Liquid Cooling Demand

The rapid evolution of artificial intelligence (AI) and hyperscale cloud computing is fundamentally reshaping data center infrastructure, and liquid cooling is emerging as an indispensable solution. As traditional air-cooled systems reach their physical limits, the IT industry is under pressure to adopt more efficient thermal management strategies to meet growing demands, while complying with stringent environmental regulations. Liquid Cooling Market Development The latest ABI Research analysis reveals momentum in liquid cooling adoption. Installations are forecast to quadruple between 2023 and 2030. The market will reach $3.7 billion in value by the decade's end, with a CAGR of 22 percent. The urgency behind these numbers becomes clear when examining energy metrics: liquid cooling systems demonstrate 40 percent greater energy efficiency when compared to conventional air-cooling architectures, while simultaneously enabling ~300-500 percent increases in computational density per rac...