Smart Building Market Size To Reach $571.28 Billion By 2030

Smart Building Market Growth & Trends

The global smart building market size is expected to reach USD 571.28 billion by 2030, registering a CAGR of 30.4% from 2025 to 2030, according to a new report by Grand View Research, Inc. Governments of various countries are taking supportive initiatives for digitalization and significantly launching projects of smart cities, which is propelling market growth. The rising public and private investments in digital infrastructure are also contributing to the growth of the market. Furthermore, the growing need among the commercial sector to optimize energy consumption, enhance operational efficiency, and automate processes has escalated the market growth.

The market for smart buildings is growing primarily due to the quickening pace of technological advancement. In the future years, it is anticipated that advances in artificial intelligence research will lay the groundwork for the creation of game-changing technologies that will greatly improve human lifestyles. In addition to helping people adapt to changing lifestyles and vocations, big data, cloud computing, and the Internet of Things (IoT) technologies also help to improve workplaces and individualized working environments. For instance, in March 2023, ABB launched a new smart building management tool that allows emission reduction and significant energy savings. The ABB AbilityTM Building Analyzer provides crucial information on building utilization and utility consumption for facility managers aiming for energy savings.

Various Asia Pacific countries are taking supportive initiatives to improve digital technology adoption without compromising consumer data privacy, which is supporting market growth. For instance, in May 2022, AVEVA Group plc announced a merger with Namchi (Sikkim) Smart City, a smart India city mission. The main aim of the merger was to develop a digital platform and integrated cross-city command center to streamline and improve municipal services. To save energy, the city upgraded the existing city infrastructure. The city has reduced energy use by 20% while improving the standard of living for its growing population by utilizing smart technology. It intends to promote tourism and spur economic development.

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Smart Building Market Report Highlights

• The solution segment dominated the market with a revenue share of over 76.0% in 2024. The service segment is expected to register the fastest CAGR of over 32.0% from 2025 to 2030.

• The safety & security management segment dominated the smart building industry in 2024.The energy management segment is expected to register the fastest CAGR from 2025 to 2030.

• The implementation segment dominated the market in 2024.The support and maintenance segment is expected to register the fastest CAGR from 2025 to 2030.

• The commercial segment dominated the smart building industry in 2024. The residential segment is expected to register significant growth at a CAGR from 2025 to 2030.

• North America dominated the smart building market with a share of over 34.0% in 2024.The Asia Pacific smart building industry is expected to grow at the fastest CAGR of around 33.0% from 2025 to 2030.

Smart Building Market Segmentation

Grand View Research has segmented global smart building market report based on component, solution, service, end-use, and region:

Smart Building Component Outlook (Revenue, USD Million, 2018 - 2030)

• Solution

• Service

Smart Building Solution Outlook (Revenue, USD Million, 2018 - 2030)

• Safety & Security Management

  • Access Control System

  • Video Surveillance System

  • Fire and Life Safety System

• Energy Management

  • HVAC Control System

  • Lighting Management System

  • Others

• Building Infrastructure Management

  • Parking Management System

  • Water Management System

  • Others

• Network Management

  • Wired Technology

  • Wireless Technology

• Integrated Workplace Management System (IWMS)

  • Real Estate Management

  • Capital Project Management

  • Facility Management

  • Operations and Services Management

  • Environment and Energy Management

Smart Building Service Outlook (Revenue, USD Million, 2018 - 2030)

• Consulting

• Implementation

• Support & Maintenance

Smart Building End-use Outlook (Revenue, USD Million, 2018 - 2030)

• Residential

• Commercial

  • Healthcare

  • Retail

  • Academic

  • Others

• Industrial

Smart Building Regional Outlook (Revenue, USD Million, 2018 - 2030)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • France

  • Italy

  • Spain

• Asia Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

• Latin America

  • Brazil

  • Argentina

• Middle East and Africa (MEA)

  • UAE

  • Saudi Arabia

  • South Africa

List of Key Players of Smart Building Market

• ABB Ltd.

• BOSCH

• Cisco Systems Inc.

• Emerson Electric Co.

• Hitachi, Ltd.

• Honeywell International Inc.

• INTEL Corporation

• Johnson Controls

• KMC Controls

• LG Electronics Inc.

• Legrand

• Schneider Electric Corporation

• Siemens AG

• Sierra Wireless (Semtech)

• Telit