5 things to know about the smart buildings market
IoT Analytics released the Smart Building Adoption Report 2022 researching the most adopted use cases, leading vendors, supporting technologies, best practices and lessons learned of companies that have adopted smart building use cases.
Data centers are the smartest types of commercial buildings today, according to the latest IoT Analytics research on smart building adoption.
Incentives and regulations focused on sustainability are pushing smart building initiatives forward with investments for smart building use cases expected to increase across the board.
Vendor transparency and availability are key pain points for adopters of smart building technology.
Knud Lasse Lueth, CEO at IoT Analytics, says:
“The fact that almost a third of global emissions are a result of building operations shines a light on the importance of more efficient, smarter buildings for our future. Sustainability is a real catalyst for this industry, and with that, we may have reached the tipping point for Smart Building initiatives”.
Dimitris Paraskevopoulos, analyst at IoT Analytics, adds: “The sustainability push of recent years is changing the equation for both vendors and end users of smart building technology. Adopters in this market reported often feeling “lost in translation.” Vendors should provide better education for them.”
This article focuses on five noteworthy aspects of the smart buildings market.
Could smart buildings be the next digitization frontier?
The average American spends 87% of their time inside buildings, according to the U.S. Environmental Protection Agency. However, core building technologies have not kept pace with advancements in other technologies (e.g., smartphones, cars, or TVs). Smart buildings thus might represent the next frontier for making people’s lives more efficient, productive, joyful, and sustainable.
| Smart building definition: “Smart buildings are those buildings that use technology to interact with the people, systems, and external elements around them. They adapt to the needs of people and businesses within them by increasing comfort, efficiency, resiliency, [and] safety.”
Disclaimer: IoT Analytics’ Smart Building Adoption Report 2022 focuses on commercial buildings and large residential buildings. Consumer IoT/smart homes are not part of the study.
Here are five things to know about the smart building market according to our latest Smart Building Adoption Report 2022:
1. The reality of smart buildings is not represented in the press
The smartest of the smart buildings, such as The Edge in Amsterdam or cube in Berlin, make headlines. And while they are magnificent examples of the future of smart buildings, they do not represent the majority of buildings or what is feasible for the average building in the coming years. Of the commercial/large-scale residential buildings in our data set, 58% have the underlying technological infrastructure for further digitization (i.e., they have a building automation system in place). Among that 58%, almost two-thirds (or 36% of the total) are further advanced in their digitization (they have a building management system in place and have digitized several parts of the building, such as building access and security systems). In the next two years, respondents expect this number to jump from 36% to 48%.