global smart office market reached USD 31,029.79million in 2020 and is further projected - PDF document

global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 Global Smart Office Market is witnessing astonishing prospects: Expected to Reach USD 73,109.67millionin 2027 Su mmary Global Smart Office Market - By Component (Hardware (Smart Lighting, Security Systems, Energy Management Systems, Smart HVAC Control System, Audio – Video Conferencing Systems)), Software, Se rvices(Advisory & Consulting Services, Installation & Support Services, Managed Services)), By Office Type (Retro Fit, New Construction Offices), By Region (North America, Europe, the Asia - Pacific, Rest of the World); Trend Analysis, Competitive Market Sha re & Forecast, 2016 - 2027 . A study recently conducted by the strategic consulting and market research firm, BlueWeave Consulting , revealed that the global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67milli on by 2027, growing at a CAGR of 11.42% during 2021 - 2027 (forecast period). The global smart office market growth is positively impacted by the rising potential of 5G technologies penetration rates globally. It is accompanied by the rising adoption of IoT technologies in augmenting the connectivity of an employee with the organization. The rising government initiatives for technology infrastructure and enhancement of work culture in the developed countries is further boosting the growth of the global smart office market. View report Press release Sample report global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 The global smart office market reached USD 31,029.79million in 2020 and is further projecte d to reach USD 73,109.67million by 2027, growing at a CAGR of 11.42% during 2021 - 2027 (forecast period). The global smart office market growth is attributable to the rising demand for commercial spaces in developing economies. It is accompanied by an acute shortage of space which is raising the costs of commercial spaces in the major metropolitan cities. Additionally, the growth of the global smart office market is also affected by the rising adoption rates of the latest technologies like the Internet of Th ings (IoT) and Artificial Intelligence in offices across the developed nations. The technologies are helping in incorporating businesses to opt for intelligent solutions in their office premises, thereby enabling the growth of the global smart office marke t. Global Smart Office Market Overview A smart office leverages technology for assisting its employees in improving work productivity and efficiency. The technologies and services make sure that the employees are stay connecte d with their team no matter where they operate. Smart offices combine the use of analytics and technology to comprehend the working space environment and initiate projects that could help improve the overall performance of their employees. Smart offices te chnology leverages different hardware, software and service like audio - video conferencing software, employee engagement software, energy management tools and hardware, smart security solutions and others. The hardware technology consists of various beacons and sensors that help identify the location of an employee, determine the meeting duration, different rooms location, and others, which reduces the efforts. Additionally, it helps companies manage their employees and reduce their operational costs, which are essential in scaling business over time. Global Smart OfficeMarket Forecast and Trends Growth Drivers Advancements of IoT in Smart office offerings The technological advancements and the advent of IoT is one of the major factors that are contributing to the rising potential growth of the global smart office market. The smart office industry leverages smart solutions like smart lightning technologies, smart security and surveillance systems and others. The global smart office markethas also been witnessing a surge in the incorporation of such IoT enabled devices due to the advantages it holds such as, better time management, connectivity with employees, office functions, and analyzin g the work productivity of their employees.According to the 5G Readiness index estimate released from the European Commission; In 2021, Finland is the most 5G network - ready country in the world. Since 5G plays a pivotal role in augmenting the capabilities of the IoT technology and enhances the connectivity of devices, the growth of the 5G network is allied to the growth of IoT. Since the countries are enhancing their technology infrastructure to incorporate 5G networks; It is thus helping in the growth of t he global smart office market. Rise in Demand for Smart Office Solutions and Sensor Networks for Energy Efficiency Businesses are incorporating smart offices solutions to reduce their operational costs amid rising concerns about energy - efficient systems. S mart office solutions global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 have proven essential in optimizing unwanted energy usage, thereby helping in plummeting the overall operational costs. The lighting, heating, air conditioning, and ventilation systems are some of the major energy - consuming systems in flating the operational costs. Initially, the companies were reluctant to make a move for expensive lighting options, which provided higher efficiency. However, the companies have started opting for smart lighting hardware solutions that can automatically adjust the brightness levels according to the requirements, thereby optimizing the energy usage and helping and driving the growth of the global smart office market. Additionally, these smart office solutions have aided the organizations in diagnozing the problems related to the energy systems which helps in reducing the maintenance costs to be incurred in the future and diminishes the possibilities of a potential breakdown. Restraints High initial setup costs The initial costs of incorporating such techn ologies may not be suitable for some startup or medium - scale companies that are already trying to improve their operating models for increasing profits. It is accompanied by high labor costs as the deployment of smart office solutions requires experienced personnel that know the installation process of these solutions. However, the global smart office market is witnessing a shortage of such personnel. Smart office solutions such as, IoT - enabled room control systems, motion sensors, and smart voice control f unctions are expensive solutions for a startup that could enhance its operational costs temporarily. As a result, it induces the companies to opt for pay cuts and shifting the office premises for an affordable location which can disrupt the performance of their employees. Thus, it encourages the MSME firms to refrain from incorporating such expensive solutions, which is impeding the growth of the global smart office market. Impact of COVID - 19 on Global Smart Offices Market The WHO declared the COVID - 19 to b e a pandemic back in May 2020. After the initial lockdown measures, many industries including, the office's had to shut to curb the spread of the virus. Various measures were adopted to eradicate the possibility of the severe impact of the virus on the peo ple. However, the widespread growth of coronavirus led to a decline in the production of chipsets which are an essential component in the production of smart offices hardware and software, thereby impacting the industries in the Asia - Pacific. The two majo r 5G chipset manufacturing companies, namely, Huawei Technologies & Samsung electronics, had to shut their production in the Asia - Pacific region, which disrupted the supply chain of the chipsets that are the building blocks of smart office hardware. Additi onally, the companies were encouraged to work - from - home which disrupted the demand for hardware solutions, thereby posing a bottleneck to the growth prospects of the global smart office market. Global Smart OfficeMarket - By Component Across the componentsegment, the global smart office market is bifurcated into Hardware, Software, Services. The software sub - segment accounted for the largest share in the market in 2020. However, the hardware sub - segment is expected to register the faste st CAGR in the upcoming years. The software global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 solutions leverage cloud computing technologies to solve business problems with the help of the internet. Some of the most commonly leveraged smart office software includes time and attendance software, payroll s oftware, CRM support software, location and proximity software, employee engagement and communications software, software to track the productivity of the organization and others. The software enables various opportunities for the organization to tap into and identify the loopholes within the organizations, that once taken into account, could help in the expansion of the business. Global Smart Office Market - By Office Type Based on office type, the global smart office market has been segmented into Retro Fi t and New Construction Offices. The retrofit offices held the larger share in the global smart office market in 2020. In contrast to this, the new construction offices segment is anticipated to record the fastest CAGR over the upcoming years. The growth of the sub - segment can be attributed to the growing adoption of newer technologies in the already manufactured offices to avoid unwanted construction costs. Since the advent of IoT, companies have started incorporating the solutions in their commercial offic es for enhancing their performance without bearing marginal costs. According to an estimate from Commercial Buildings Energy Consumption Survey (CBECS) released in December 2020, the U.S. recorded a 6% jump in sales of commercial spaces and approximately 5 .8 million already sold in the year 2018. It indicates that the companies are finding the retrofit set - up to be an optimal choice over new construction offices. Additionally, the sluggish 5G network growth is encouraging countries to stick to the retrofit method. The companies are expected to initiate a transition to new construction offices once the penetration of the 5G technology rises, thereby positively impacting the growth of the retro offices in the global smart office market. Global Smart OfficeMarket - By Region Based on region, the global smart office market is divided into North America, Europe, the Asia - Pacific, and the Rest of the World. The North American region holds the largest share in the global smart office market. The factors attributable to the growth of the market include the presence of major players like Cisco Systems Inc. and United Technologies Corp., which happen to be the biggest contributors to smart office solutions globally. According to the Cente r for Strategic and International Studies, over 2000 cities in America, spanning over 200 million people, has some access to 5G technology stating the companies have already started incorporating such technologies to improve the overall functioning of thei r organizations. The rising penetration rates of the 5G network accompanied by a forecast stating that over 50% of the population in North America may have access to 5G technology by 2025 state that the region is expected to solidify its position in the gl obal smart office market. Global Smart Office Market - Competitive Landscape The presence of some technology giants in the marketplace has greatly impacted the opportunities for new entrants in the market. Additionally, the global smart office market requires high initial capital investments, which is not feasible for small players. As a result, the global smart office is consolidated in nature. Some of the key players in the global smart office market include ABB Ltd., Cisco Systems Inc., Lutron Electronics Co., Inc., Crestron Electronics, Inc., Schneider global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 Electric SE, Siemens AG, Johnson Controls International Plc, Honeywell International Inc., Signify Holding, ASSA ABLOY AB, and other prominent players. Recent Development s · On 28 th May 2021, Signify announced the optimization of features for its Interact Office software applications (Space management and Workspace app). The optimization can help organizations and employees to incorporate physical distancing measures. The Interact software appl ications are powered by connected lighting infrastructure, which can help the building managers curate plans, thereby making critical spacing decisions based on data points generated from the assumptions raised by the applications. · On 12 th May 202 1, ASSA ABLOY announced its investment in Paravision, which is a leading provider of facial recognition solutions. The investment is expected to augment the company's strategy for the development of biometric solutions. The solution can leverage facial rec ognition algorithms, thereby providing employee engagement and management solutions that could enhance the working efficiency of the organization. Scope of Report Attribute Details Years considered Historical data - 2016 - 2020 Base Year - 2021 Forecast - 2021 - 2027 Facts covered Revenue in USD million Market coverage US, Canada, Germany, UK, France, Italy, Spain, Japan, China, India, and Rest of the World Product/ Service segmentation By Component, By Office Type, By Region Key Players ABB Ltd., Cisco Systems Inc.,Lutron Electronics Co., Inc., Crestron Electronics, Inc., Schneider Electric SE, Siemens AG, Johnson Controls International Plc, Honeywell International Inc., Signify Holding, ASSA ABLOY AB, and other prominent players. By Component Ø Hardware o Smart Lighting o Security Systems o Energy Management Systems o Smart HVAC Control System o Audio – Video Conferencing Systems global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 Ø Software Ø Services o Advisory & Consulting Services o Installation & Support Services o Managed Services By Office Type Ø Retro Fit Office Ø New Construction Office By Region Ø North America Ø Europe Ø The Asia - Pacific Ø The Rest of the World FAQ: 1 . What is the current size of the global smart office market? Answer: The global smart officemarket has reached USD 31,029.79million in 2020. 2 . What are the major factors driving the growth of global smart office market? Answer: The major factors driving the growth of the global smart office market include: Risi ng demand for smart office solutions and sensor networks for energy efficiency, Advancement of IoT in smart office offerings, and increasing demand for real time optimized experience management. 3. Who are the key players in the global smart officemarke t? Answer: The key players in the global smart officemarket includes ABB Ltd., Cisco Systems Inc., Lutron Electronics Co., Inc., Crestron Electronics, Inc., Schneider Electric SE, Siemens AG, Johnson Controls International Plc, Honeywell International Inc ., Signify Holding, ASSA ABLOY AB, and other prominent players. 4. Which component accounted for the largest sharein the global smart office market? Answer: Software sub - segment accounted for the largest share in the global smart officemarket. 5. Whic h region showcased the highest share in the global smart office market? Answer: The North American region holds the largest share in the global smart officemarket. global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 About us Blueweave Consulting offers a one - stop solution for your market intelligence needs for any service or product. You get well - researched comprehensive reports based on qualitative and quantitative data to put your business plan into action. Your well informed and tim ely decisions using our reports avert situations of excessive risks and help you grow your business with optimum risk - return trade - off. Delivering quality insights into several product or service markets within the timeline as per the needs of the clients has earned BWC an excellent reputation among clients. BWC strives to provide timely and accurate digital market intelligence services for making your business endeavours successful. For more information, kindly visit our Website www.blueweaveconsulting.com contact us info@blueweaveconsulting.com global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7 global smart office market reached USD 31,029.79million in 2020 and is further projected to reach USD 73,109.67million by 202 7