International. The next wave of smart building solutions is forecast to grow at a compound annual growth rate (CAGR) of 32% over the next eight years to create $2 billion in services and software revenue by 2026.
According to a new report from global technology market advisory firm ABI Research, the smart building market has begun to grow and evolve away from the traditional areas of HVAC, lighting, access control, and security, towards more advanced needs.
Emerging applications in space management, environmental monitoring, asset management, and cleanliness and hygiene management are offered as standalone solutions or to augment existing building automation systems to improve the sustainability of buildings.
With a wider range of concerns, targets to meet, and access to more data, building owners, occupants, and general contractors are targeting these newer sectors that go beyond the traditional elements of smart buildings.
Space management solutions are created and designed with a variety of sensors, including contact, movement, and occupancy, reports Smart Buildings 2.0: Building Automation.
Typically implemented in office buildings, new space management solutions are becoming more useful in significantly larger commercial buildings, such as airports or stadiums.
"Occupancy and motion sensors can be used to help improve the speed at which travelers can maneuver around the airport. Real-time information means managers can deploy staff as needed in relevant areas of the building," said Harriet Sumnall, research analyst at ABI Research.
Environmental monitoring consists of sensors that monitor noise levels, air quality, and daylighting systems. These solutions make it possible to see the real-time conditions of the areas within the buildings and monitor the conditions in each room to improve the well-being and overall comfort of the occupants.
Asset management solutions are becoming increasingly important within specific commercial buildings, especially healthcare entities. Using asset management solutions helps hospitals improve their inventory management, reduce operating costs, and automate clinical inventory processes.
Today's HVAC, lighting, access control, and fire and life safety solutions combine to create the core applications of building management systems (BMS) offered by market leaders.
However, as the smart building market evolves, the ecosystem is no longer limited to traditional BMS providers. It now includes consumables and building materials OEMs that add complementary IoT solutions, ABI said.
"The most important competitive dynamic to recognize is that newer vendors, most with wireless solution offerings, can more easily sell in the untapped market of old and small buildings," Sumnall added.
