The ‘Global Smart Buildings Market Report 2022’ revealed that over 78% of new construction will involve smart building automation, the Internet of Things, and other building-related technologies in the next five years. The smart building market is projected to reach $66,546.70 million by 2027 from $20,962.55 million in 2021at a compound yearly growth rate of 21.23 percent during the forecast period.

The major driving force is due to commercial real estate owners who charge higher lease fees for intelligent buildings due to low operational costs, and support for improved safety, comfort, security, and productivity of workers.

This report evaluates the smart buildings market including technologies, players, and solutions, analyzed challenges, and opportunities, assesses market potential and provides accompanying smart buildings market sizing globally, as well as regionally and by market segment for 2022 to 2027.

Smart or intelligent buildings are enterprise structure that is supported by software and systems to ensure more efficient and effective operations and enhance the health and well-being of the assets.

The smart buildings market consists of residential, warehouses, factories, office buildings, and other enterprises, industrial, and government structures. Intelligent structures leverage a variety of inter-dependent technologies such as Artificial Intelligence (AI), broadband wireless (including WiMAX, LTE, 5G, and indoor wireless such as improvements coming with WiFi version 6), cloud computing (including edge computing), and Internet of Things (IoT) networks and systems to improve operational efficiency and enable a safer and more productive environment.

According to the report, the post-COVID-19 world will challenge building operations management in terms of public health compliance. Life cycle cost management for facilities will become a key factor in building selection for corporate giants.

“Collectively speaking, residential dwellings, offices, educational campuses, indoor recreation, and public service facilities are where people in the developed world spend up to 90 percent of their time. As urbanisation leads to increasingly smarter cities, buildings are an integral part of a city’s ecosystem and are increasingly shaping both the standard of living and the quality of life of inhabitants. Intelligent buildings lead to improved economics for both owners and users as well as improved satisfaction, safety, and well-being of occupants,” the report said.