Building automation market seen topping $203B by 2030

The Business Research Company projects the global building automation system market will pass $203 billion in 2030, driven by energy efficiency, IoT adoption and smart infrastructure spending. North America and the U.S. are expected to lead growth, while hardware remains the largest segment.

Why it matters: - The building automation system market is moving deeper into the smart-building economy as owners and operators invest in energy savings, centralized control and connected infrastructure. - The market’s growth points to rising demand for systems that can cut operating costs, improve comfort and support sustainability targets across commercial and residential buildings. - The forecast also shows where supplier and investment opportunities are concentrating: hardware, software, retrofits and IoT-enabled building management.

What happened: - The Business Research Company released its Building Automation System Market Report 2026 – Market Size, Trends, And Global Forecast 2026-2035. - The report says the global building automation system market will surpass $203 billion in 2030. - The market is projected to grow at a 13% CAGR through 2030. - North America is expected to be the largest region in 2030, at $76 billion. - The USA is projected to be the largest country in 2030, at $67 billion. - The hardware segment is expected to be the largest component category in 2030, with 63% of the market, or $127 billion. - The report includes a free sample and a full report link: Request a free sample and Access the detailed report.

The details: - The report says the building automation system market will represent about 2% of the projected $9,940 billion buildings construction market in 2030. - The market will account for nearly 1% of the broader $21,691 billion construction industry in 2030. - North America is forecast to grow from $42 billion in 2025 to $76 billion in 2030, a 12% CAGR. - The U.S. market is forecast to grow from $37 billion in 2025 to $67 billion in 2030, also at a 12% CAGR. - The hardware segment’s growth is supported by deployment of smart sensors, controllers, actuators, access control and surveillance devices, and smart energy metering equipment. - The market is segmented by component into hardware and software. - The market is segmented by offerings into facility management systems, security and access controls, fire protection systems, building energy management software, building automation system services and other offerings. - The market is segmented by technology into wireless technology and wired technology. - The market is segmented by application into industrial, residential and commercial. - The report says rising demand for energy-efficient buildings could contribute 2.9% annual growth. - The report says increasing adoption of IoT and smart building technologies could contribute about 2.8% annual growth. - The report says rapid urbanization and smart infrastructure development could contribute about 2.7% annual growth. - The hardware market is projected to grow by $59 billion from 2025 to 2030. - The software market is projected to grow by $35 billion over the same period. - Together, hardware and software are projected to add more than $94 billion in market value by 2030. - The 2026 report package includes market attractiveness scoring, TAM analysis, company scoring matrix graphics and tables, Excel-based forecasting dashboards, market hotspots infographics, and updated graphics and tables.

Between the lines: - The forecast suggests building automation is becoming a core layer of modern property operations, not just a niche upgrade. - The biggest growth themes are familiar: energy optimization, predictive maintenance, cloud-connected controls and cybersecurity for connected infrastructure. - The report’s emphasis on hardware shows that physical devices still anchor the market, even as software gains share through data, automation and remote management tools. - The regional and country outlook implies that retrofit activity and smart commercial development in North America remain the clearest near-term demand drivers.

What's next: - The market’s next phase likely depends on how quickly building owners accelerate retrofits and adopt IoT-enabled control systems. - Growth will also hinge on whether software platforms and automated diagnostics can reduce downtime and maintenance costs enough to justify wider deployment. - The Business Research Company is positioning the report as an ongoing research product, with continuous and custom research services available.