INDUSTRY REPORT
Smart building market
Analyst 360iResearch reportedly estimated the smart building market size to be US $ 32.68 billion in 2023 and expected it to reach US $ 39.54- billion in 2024 , at a CAGR 23.01 % to reach US $ 139.38 billion by 2030 .
The smart building market encompasses integrating advanced technology systems , automation solutions and IoT devices to optimise the performance , efficiency and functionality of modern infrastructure . The primary applications of smart building technologies include energy management ; lighting control ; HVAC control ; safety and security management ; predictive maintenance ; waste management and space optimisation .
Increasing government initiatives for smart infrastructure development and the growing need for energy-efficient and sustainable buildings globally are major factors enhancing market growth . The surge in IoT-enabled building management systems ( BMS ) adoption is also improving the demand for smart building solutions worldwide ,” explained the analyst .
“ However , the capital-intensive implementation and privacy concerns associated with smart building infrastructure may limit product adoption in the forecast period . The limited technological expertise and alignment issues also pose challenges for market growth . Furthermore , the emerging advancements of smart cities worldwide are expected to enhance the demand for smart building solutions . The ongoing development and adoption of 5G technology in smart buildings are also unlocking new opportunities to enhance overall building performance ,” it added .
Construction equipment market
According to analyst 360iResearch , the construction equipment market size was reportedly estimated at US $ 144.03 billion in 2023 and expected to reach US $ 152.30 billion in 2024 , at a CAGR 5.92 % to reach US $ 215.57 billion by 2030 .
Construction equipment ( including air compressors ; pneumatic or hydraulic tools ; bulldozers ; excavators ; rollers and concrete mixers ) are designed and intended for usage in construction or material-handling operations . This equipment is widely employed for
Farnborough airport building ( UK ).
Newly launched construction equipment from Komatsu .
The surge in IoT-enabled building management systems ( BMS ) adoption is also improving the demand for smart building solutions worldwide carrying out construction activities as it lowers overall construction costs and boosts construction output .
“ The adoption of construction equipment is increasing with accelerated urbanisation and significant investments in building and construction projects . However , the limited availability of skilled workers for handling machinery and stringent government regulations associated with the use of construction equipment may reduce their employment by end-users . New technologies and the introduction of electric and autonomous vehicles may reduce safety
Image : Shutterstock . com . issues and expand construction equipment use ,” explained the analyst .
Labour and material costs
However , increasing labour and materials costs continue to push engineering and construction costs higher . Engineering and construction costs increased again in March , according to the Engineering and Construction Cost Indicator from PEG and S & P Global Market Intelligence .
“ Construction activity continues to surprise to the upside while other areas of the U . S . economy are slowing ,” said Emily
Crowley , Economics Director , S & P Global Market Intelligence . “ Employment gains in heavy and civil engineering accelerated over the second half of 2023 and promise to remain strong over 2024 , supported by projects linked to the Infrastructure Investment and Jobs Act , Inflation Reduction Act and Chips and Science Act . Job vacancies in the construction industry are once again moving higher as hiring outpaces available supply , suggesting continued support for above-average wage gains despite moderating inflation .”
The six-month headline expectations for future construction costs indicator increased modestly to 66.9 in March , the third straight increase after the single month of expected price declines recorded in December . The six-month expectations indicator for materials and equipment came in at 64.3 , just 0.3 points higher than the previous month ’ s figure . Fabricated structural steel saw an 8.3-point decrease to join carbon steel pipe at a neutral reading of 50.0 . Meanwhile , respondents expect higher prices in six months for all other materials , with especially high readings
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