The global building automation and controls market was valued at $US101.91 billion in 2019, and is projected to reach $US215.59 billion by 2027, registering a CAGR of 11.10 per cent during the forecast period.
Europe is expected to be the leading contributor to the global building automation and controls market, followed by North America and the Asia-Pacific, according to Allied Market Research.
The building automation and controls system is a centralized system that controls, monitors, and records the functions of building services systems.
Building facilities, which are monitored and controlled by a reliable BACS system tend to maintain the building environment more efficiently and reduce the building’s environmental impact and energy costs. In addition, the building automation system broadly refers to creating network systems of hardware and software that monitor and control building’s facility systems such as electricity, lighting, plumbing, HVAC, and water supply.
The growing deployment of building automation systems in large office buildings, shopping complexes, and public transport areas, such as railway stations and airports, is expected to drive this growth. However, lack of interoperability between devices hampers the growth of the market.
The HVAC control segment contributed the maximum in terms of revenue to the market and accounted for a 40 per cent share in 2019 due to the penetration of artificial intelligence and IoT for the advancement of HVAC systems.
In addition, the residential segment is expected to grow at a faster rate of 12.90 per cent, owing to increased awareness for smart homes, development of application-specific solutions, and increased utilization of connected domestic appliances.
Europe contributed maximum revenue in 2019 and is expected to follow the same trend during the forecast period. Factors, such as an increase in penetration of digital electronic devices and high adoption of advanced technologies, have provided several growth opportunities for the building automation and controls market in Europe.
As a result of the COVID-19 crises, the construction market is expected to witness an abrupt downturn this year. However, a slow recovery is anticipated to begin next year in 2022.