Two recently released studies anticipate significant growth in the worldwide smart building market.
Zion Research says that the market will reach $36 billion by 2020. The study says that the market was only valued at $7 billion in 2014. The compound annual growth rate (CAGR) will be a bit more than 30 percent between 2015 and 2020.
The researchers say that the drivers include increased urbanization and the desire to lower operating costs and increase building security. The key companies in the sector are Johnson Controls, ABB, General Electric, CISCO, Hewlett-Packard, Accenture, Ingersoll Rand Security Technologies, Delta Controls, Emerson Electric, Honeywell, Hitachi, IBM, Schneider Electric, Johnson Controls, TYCO International and Siemens.
The other study – from Stratistics MRC – comes to the same overall conclusion, though it uses a different timeline. The company says that the market will grow from $6.46 billion in 2015 to $43.96 billion in 2022. That is a CAGR of 31.5 percent. Drivers are the desire for increased safety and security, energy efficiency needs and rising government investments. North America has the largest market share, while Asia Pacific is expected to have the highest CAGR.