Global building automation systems market to reach a valuation of US$ 44.6 Bn in 2021. After countering the initial impacts of COVID-19, the market is poised to grow at a robust 7.8% CAGR through 2031.
Building automation systems (BAS) demand has been steadily increasing in recent years, with the market growing at a 5.7% CAGR. Numerous advancements in BAS have accelerated its adoption in small and medium-sized buildings alongside large buildings, and the trend is expected to continue in the coming years.
Due to restrictions imposed to contain the coronavirus outbreak, sales of building automation systems fell in the first quarter of FY’2020. However, with global vaccine drives accelerated, the market is expected to maintain its pre-pandemic status.
According to FMI, the building automation system market grew 7.0% year on year between 2020 and 2021.
The efficiency of connective technologies and their benefits that streamline operations, maintain a data-driven environment, and address urban challenges are critical to the success of smart cities.
Rapid urbanization in a variety of developed and developing economies is driving the adoption of building management systems to create sophisticated smart cities.
Smart cities use a variety of technologies to create a robust interconnected infrastructure for the comfort and leisure of residents. Some key features that shape the core of a smart city are structural health management, traffic management, emergency alarm systems, and superior energy management.
The expansion of the commercial and residential sectors in the United States is expected to be a key growth accelerator in the North American building automation systems market. Over the forecast period, FMI expects the market to grow at a healthy 7.2% CAGR.
Rapid technological adoption in industrial and commercial processes will continue to drive sales of building automation systems in the United States. Aside from that, rising concerns about excessive energy consumption in various sectors such as manufacturing, transportation, and business are driving the implementation of building automation systems.
In the U.K., the growth of the building automation systems market is largely backed by the regulations imposed by the European Union to promote energy efficiency in buildings. In 2018, as a part of the ‘Clean Energy for all Europeans’ package, the EU set a new target to cut reduce energy consumption by 32.5% by 2031.
As per EU regulations, the overall energy performance of commercial and residential buildings needs to be improved, as 40% of total energy consumption is accounted for by the building sector.
The top 5 players in the global building automation market include Siemens AG, Honeywell International, ABB, Schneider Electric, and Johnson Controls, plc. As per FMI’s analysts, the top 5 players are anticipated to account for 44% of the total market share.
- Honeywell International
- Schneider Electric
- Siemens AG
- Johnson Controls, Plc
- Delta Electronics, Inc.
- Eaton Corporation
- Bosch Rexroth
- AVASGLO Group
- Signellent Technologies (India) Pvt. Ltd.
- Comnatz Thailand Company Ltd
- Does AG
- MCS Automation Technology Company Ltd.
- Philips Lighting