- ClicktoTweet: #SmartBuilding #Technology Spending Forecast to Grow to $17.4 billion in 2019 & registering 22.6% CAGR - @IDC Aggressive adoption expected
Key findings from the report include:
- Although the overall pace of adoption is slightly lower than predicted last year, more competitive pricing and technology advances will result in a higher level (and more "smarter" buildings) in the years ahead.
- Despite the aggressive growth of the smart buildings market (a global CAGR of 22.6%), adoption still represents a small share of the total addressable market. The continued development of case studies and best practices by early adopters will promote awareness and support longer-term expectations for market expansion.
- In 2015 and beyond, adoption is anticipated to recover as the economic recovery takes hold and as energy costs remain a large and variable component of building operation.
In developing this forecast, several trends were identified. The first is that vertical industries have a large impact on the rate of adoption of smart building technologies. Buildings managed in the government or healthcare verticals, for example, tend to be more mature in their appreciation of the benefits of smart buildings and more advanced in their deployment. Secondly, investments over the past several years have focused on HVAC systems. Customers are now beginning to expand their evaluation to lighting, plug load, equipment maintenance, and other issues.
From a geographic perspective, North America will continue to implement smart building technology driven largely by corporate objectives of controlling and reducing energy costs. Many European nations will continue to expand their investments in smart building technology, driven by continued EU and local governmental regulations. And within Asia/Pacific, China's rapid building boom continues apace, resulting in new construction with many smart building capabilities designed in from the beginning.
"While the 'Internet of Things' is a topic of much speculation in the consumer market, smart building technology has steadily been increasing its footprint and impact among commercial buildings. Smart building solutions are valuable technologies for deploying energy management strategies that generate operational efficiencies, cost containment, and sustainability benefits that appeal to key stakeholders in building management," said Jill Feblowitz, Vice President, IDC Energy Insights.
For additional information about this report or to arrange a one-on-one briefing with Jill Feblowitz, please contact Sarah Murray at 781-378-2674 or sarah@attunecommunications.com. Reports are available to qualified members of the media. For information on purchasing reports, contact insights@idc.com; reporters should email sarah@attunecommunications.com.
About IDC Energy Insights
IDC Energy Insights assists energy businesses and IT leaders, as well as the suppliers who serve them, in making more effective technology decisions by providing accurate, timely, and insightful fact-based research and consulting services. Staffed by senior analysts with decades of industry experience, our global research analyzes and advises on business and technology issues facing the utility and oil and gas industries. International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology market. IDC is a subsidiary of IDG, the world's leading technology, media, research, and events company. For more information, please visit www.idc.com/energy, email info@idc-ei.com, or call 508-935-4400. Visit the IDC Energy Insights Community at http://idc-community.com/energy.
Regions Covered:
Asia Pacific, North America, United States, Western Europe
Topics Covered:
Pricing and valuation
Vertical Markets:
Clean energy, Energy, Smart utilities