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Global AI In Smart Buildings And Infrastructure Market Analysis 2025-2030: Growth Drivers, Challenges, And Opportunities
AI In Smart Buildings And Infrastructure Market Growth
How Big Is the AI In Smart Buildings And Infrastructure Market Size Expected to Be by 2034?
In recent times, there has been a significant expansion in the market size of AI in smart buildings and infrastructure. The market is projected to grow from $29.52 billion in 2024 to $35.92 billion in 2025, representing a compound annual growth rate (CAGR) of 21.7%. Several factors have contributed to this growth during the historical period, including an increased need for optimized usage of buildings, heightened demand for public safety and security measures, the surge in the adoption of smart building solutions amidst the Covid-19 pandemic, a desire for improved indoor air quality (IAQ) linked to health and well-being, and a rise in the application of IoT and automation in building management.
The market for AI in smart buildings and infrastructure is predicted to expand significantly in the upcoming years, with a projected value of $78.15 billion in 2029, implying a compound annual growth rate (CAGR) of 21.4%. This predicted expansion in the forecast period is due to several factors including the need for enhanced asset reliability, performance, and space utilization, the development of AI and IoT applications in smart buildings, the increasing demand for smart infrastructure in both commercial and residential establishments, governmental initiatives, and digital transformation trends in emerging markets, along with the rising requirement for energy-efficient buildings. The forecast period is likely to see some major trends such as technological progress, incorporation of machine learning, natural language processing, computer vision, and AI predictive upkeep.
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What Are the Emerging Segments Within the AI In Smart Buildings And Infrastructure Market?
The AI in smart buildings and infrastructure market covered in this report is segmented -
1) By Type: Software, Hardware, Services
2) By Technology: Machine Learning, Natural Language Processing, Computer Vision, Robotic Process Automation, Other Technologies
3) By Application: Building Automation, Energy Management, Security And Surveillance, Predictive Maintenance, Smart Parking, Other Applications
4) By End-User Industry: Commercial Buildings, Residential Buildings, Industrial Buildings, Government Buildings, Healthcare Facilities, Educational Institutions, Retail Spaces, Other End User Industries
Subsegments:
1) By Software: AI-Powered Building Management Systems (BMS), Energy Management Software, Predictive Maintenance Solutions, Security And Surveillance Analytics, Space Optimization And Utilization Software, HVAC Optimization Software, Smart Lighting Control Software
2) By Hardware: Sensors, Edge AI Devices, IoT Gateways, AI-Powered Cameras And Surveillance Equipment, Smart Meters And Smart Grids, Robotics For Facility Management
3) By Services: AI Consulting And Implementation Services, System Integration Services, Managed AI Services, Predictive Maintenance Services, AI Training And Support Services, Cloud-Based AI Services For Smart Buildings
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What Long-Term Drivers Are Shaping AI In Smart Buildings And Infrastructure Market Trends?
The surge in need for energy-saving and sustainability-focused building solutions is anticipated to drive the progression of the AI in smart buildings and infrastructure industry. Such solutions entail constructing and applying systems that limit energy usage, decrease ecological harm, and advocate for prolonged sustainability in structures. Growing environmental worries and climate changes are fueling the need for energy-saving and sustainability-focused building solutions. These strategies aid in cutting carbon emissions, reducing energy expenses, and adhering to strict government sustainability regulations. AI boosts energy efficiency in smart buildings by computerizing climate management, illumination, and predictive maintenance to boost performance and sustainability. For instance, in March 2024, the UK's Department for Energy Security and Net Zero stated that 318,600 energy efficiency methods were put in place in 2023 in homes all over Great Britain through different government aid programs, representing a 49% growth from 2022. Hence, the rising need for energy-saving and sustainable building solutions fuels the growth of AI in the smart buildings and infrastructure segment.
Who Are the Top Competitors in Key AI In Smart Buildings And Infrastructure Market Segments?
Major companies operating in the AI in smart buildings and infrastructure market are Google LLC, Microsoft Corporation, Amazon Web Services Inc., Robert Bosch GmbH, Hitachi Ltd., Siemens AG, Intel Corporation, Panasonic Corporation, International Business Machines Corporation (IBM), Cisco Systems Inc., Oracle Corporation, Schneider Electric SE, Honeywell International Inc., ABB Ltd, NEC Corporation, Johnson Controls International plc, Samsung SDS, Autodesk Inc., Terminus Group, GridPoint Inc., Verdigris Technologies, BuildingIQ Inc., Built Robotics.
What AI In Smart Buildings And Infrastructure Market Trends Are Gaining Traction Across Different Segments?
Prominent firms in the AI for smart buildings and infrastructure market are prioritizing technological enhancements like AI-based analytics and control to improve energy efficiency, raise operational efficiency, and support sustainability via data-guided decisions. AI-based analytics involves the utilization of artificial intelligence to examine data, discern patterns, and offer insights that aid in refining operations, bettering decision-making, and boosting performance. For example, Siemens AG, a tech firm based in Germany, introduced Building X in June 2022. This AI-facilitated platform aims to maximize energy conservation, automate tasks, and enrich the user experience for net-zero buildings. The platform centralizes numerous building systems, utilizing AI-based analytics to boost efficiency and sustainability. The platform's open architecture encourages third-party integration and nurtures a wider ecosystem of smart building solutions within Siemens Xcelerator, with the objective of speeding up digital transformation within buildings.
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Which Regions Are Becoming Hubs for AI In Smart Buildings And Infrastructure Market Innovation?
North America was the largest region in the AI in smart buildings and infrastructure market in 2024. The regions covered in the AI in smart buildings and infrastructure market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the AI In Smart Buildings And Infrastructure Market?
2. What is the CAGR expected in the AI In Smart Buildings And Infrastructure Market?
3. What Are the Key Innovations Transforming the AI In Smart Buildings And Infrastructure Industry?
4. Which Region Is Leading the AI In Smart Buildings And Infrastructure Market?
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