The building automation system market is expected to reach USD 164.4 billion by 2030, at a CAGR of 10.2%
Globally, the size of the building automation system market is set to grow at a CAGR of 10.2% to hit USD 164.4 Billion by 2030 driven by the demand for smart-building increasing every year.
The building automation system is a crucial requirement in any infrastructure. It is essential for monitoring, security, mechanical, humidity, fire, and lightning control systems. The building automation system is useful for autonomous buildings. The system is capable of taking care of the entire building's facilities.
The demand for the smart building is increasing every year. It is causing a rise in the Building Automation System Market Demand. The smart-building system is efficient as it consumes only 50% of the energy. The increasing IT communication methods are also driving the demand for the building automation system industry. The building system is a set of multiple systems that have the same control access. The purpose of these systems is to experience comfort, security, and energy efficiency. The Building Automation System Industry demand will intensify in the forecast period of 2030.
The outbreak of covid 19 has changed the market scenarios. The real estate market is experiencing a severe downfall during the pandemic. As the covid 19 has put a stop to mobility, individuals investing in property are declining. It is Lessing the demand for the building automation system market. As per the Market Analysis, it will experience a surge in demand post covid19. All the industrial works are resuming that ultimately creating a positive impact on Building Automation System Market. Post covid 19, the Building Automation System industry Trends will witness a steady flow in demand.
The crucial feature in any building automation system is the security video surveillance system. Video surveillance is a superior security device that monitors individuals walking in and out of the building. Surveillance systems are essential in educational institutes, airports, residential buildings, and offices. Many governments imply stringent rules to install surveillance systems for security. Especially, public infrastructures must have a security surveillance system.
The system provides security from theft, attacks, or any criminal activity. Governmental awareness and rules about security drive the building automation system market growth. Moreover, modern buildings require building automation systems. These systems are opted to experience cost efficiency. Safety, convenience, and energy efficiency are available through the building automation system. Cost-effectiveness is another factor that drives the demand for building automation systems. The advancement in technology is another crucial market driver. The rise of building automation is possible because of the advancement in the automation industry. This advancement is causing more demand for the building automation industry.
The role of the government in energy efficiency plans is high. Energy efficiency reduces carbon emissions in the atmosphere. Carbon emission is a global issue and many governments are taking severe measures to manage it. The awareness to reduce carbon emissions is higher. The government is making several policies and initiatives to save energy and reduce carbon emissions. These governmental initiatives for energy efficiency are going to increase in the future. It provides plenty of growth opportunities for the building automation system market. With the central control system, building automation saves plenty of energy. Therefore, the demand for end-users will reach a high point in the upcoming years.
The building automation system installation is the main restraint of the building automation system industry. The installation cost fluctuates depending on the complexity and work. It is a significant issue for small and medium-sized enterprises. However, the installation cost of the building automation system is not as expensive as many think. There is a lack of awareness about the cost incurred to deploy a building automation system. The installation rates of the automation systems are not transparent which makes it a significant market restraint. Therefore, the restraining factors of the building automation system are the installation price and lack of awareness about the system.
The strength of building an automation system relies on communication and synchronization features. Communication is the crucial protocol in the integration of the system. The building automation system includes several devices for smooth performance. However, all the communication protocols in the building automation system are complex. There is no open communication protocol for the system. Due to this, the building automation system lacks standardization. It can cause using the building automation system with different communication protocols. It is a significant challenge in the building automation system market. Moreover, experts are required to run a building automation system. However, the lack of experts to run the system is a challenge to the Building Automation System industry. Technical limitations and the lack of expert hands are the chief challenges of this market.
The Building Automation System Market Opportunities are increasing in the upcoming years. As the requirement for building security is high, the growth rate of this market will remain steady in the future. The popularity of an automation system that does not require human intervention is high. The increasing need for security provides plenty of growth. However, there is a serious need to fix technical difficulties in the building automation system. Also, the installation process needs to be more standard and cost-effective for the audience. These factors can decline the growth of the market in forecast 2030. Also, it will be easier to adopt the building automation system with more experts to handle it.
The Asia pacific holds the largest Building Automation System Market Share. The economic growth in the Asia Pacific region is a significant cause for building automation system industry growth. The surge in the building automation industry is causing this massive demand in this region. As per the Market Forecast 2030, the demand will intensify in the Asia Pacific region. Also, the government initiatives to deploy energy-saving buildings are another crucial market driving market. The countries such as China and India are experiencing the highest demand for the make. Further, the demand is going to grow even more in 2030.
By Communication System
The wireless segment of building automation system is witnessing a significant rise in recent years. It holds the highest Building Automation System Market share. Also, adapting to this technology is much easier than the wired automation system.
The wired segment of automation technology is experiencing a downfall in recent years. The decline in demand is due to its complex integration process.
The governmental initiatives for energy-efficient buildings increase the demand for the market in the future. The building automation system market is diversified into Asia Pacific, Europe, and North America. The growing awareness about security building is the reason for this significant growth. The Asia Pacific is the largest market. However, the North American market will outgrow other regions. Today most buildings are adopting automation technology.
Especially in the US construction industry solely relies on the automation industry. The system provides safety, security and convenience for individuals. The consumer interest in a safe and secure building is fueling the market growth in North America. Further, the Building Automation System Industry Size in Asia is adopting automation at an exponential pace. In Europe, the growth in construction is causing massive growth in the region. These three regional players are key contributors to the building automation system market.
The building automation system industry is highly competitive. Building Automation System Market players are establishing new strategies and policies to make the system more effective.
|Market Size||USD 164.4 Billion|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||By Network, End-User, Product|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||United Technologies Corp., Schneider Electric, Ingersoll-Rand PLC, Robert Bosch, ABB Ltd., Hubbell Inc., Johnson Controls International, Mitsubishi Electric Corporation|
|Key Market Opportunities||
|Key Market Drivers||The rise of building automation is possible because of the advancement in the automation industry.|
The global market of building automation system is expected to expand at 10.2% CAGR between 2021 and 2030
The rise in need for affordable building automation system among consumers is identified as a prime driver for the building automation system market.
Rockwell Automation (U.S.), Delta controls, Inc. (U.S.), General electric (U.S.), Schneider electric SE (France), Lutron Electronics Co., Inc. (U.S.), and Honeywell International Inc. (U.S.) are some prominent players of the building automation system market.
HVAC control systems, light control systems, fire protection systems, surveillance systems, and management software are products of building automation. High installation of HVAC control systems can boost the market growth.
Technical backlog and lack of expertise can impede the building automation system market growth.
The North America building automation system market is expected to stay ahead of the growth curve. Increased deployment of building automation systems in the US construction industry can bolster the regional market growth.
The growth rate of the building automation system market is 10.2% in 2030.