Global Revenue for Commercial Building Automation Solutions is Anticipated to Exceed $44B by 2029
A new report from Navigant Research states that global revenue for commercial building automation solution (BAS) products is anticipated to reach more than $44.2 billion by 2029, growing at a compound annual growth rate (CAGR) of 3.2 percent between 2020 and 2029.
The commercial BAS market is undergoing large structural change. Although BASs are seeing increased adoption throughout the global building stock, particularly in retrofit and new construction, large-scale trends are expected to significantly affect the market’s 10-year growth outlook.
“The development of the intelligent buildings (IBs) market through Internet of Things (IoT) deployments in buildings has introduced customers to new tools for data acquisition and analysis,” says Daniel Talero, research analyst with Navigant Research. “Market entrants are competing with traditional BAS offerings, while major BAS vendors recognize the market evolution and are introducing new versions of core BAS offerings as well as complementary IB solutions.”
According to the report, the result is an increasingly dynamic competitive landscape that will likely see considerable transformation in the future. Global revenue for traditional commercial BAS products is anticipated to reach $66 billion by 2029, growing steadily from 2020 to 2029. However, a significant amount of this growth is expected to be cannibalized by the emerging building IoT market, which is projected to grow at almost triple the commercial BAS rate.
The report, Building Automation Systems for Commercial Buildings, analyzes the revenue overlap mentioned and the global market for commercial BASs in five key technology segments: HVAC, lighting, fire and life safety, security and access controls, and BMSs. The study provides an analysis of the market issues, including drivers and barriers, associated with commercial BASs and IB adoption. Global market forecasts for revenue, broken out by segment, region, and building type, extend through 2029.