1. Market Research
  2. > Construction Market Trends
United States Commercial Building Automation Systems Market - Growth, Trends, and Forecasts (2021 - 2026)

United States Commercial Building Automation Systems Market - Growth, Trends, and Forecasts (2021 - 2026)

  • September 2021
  • 142 pages
  • ID: 6155714
  • Format: PDF
  • Mordor Intelligence LLP


Table of Contents

Search Inside

The US commercial building automation systems market was valued at USD 4.75 billion in 2020, and it is expected to reach USD 6.63 billion by 2026, registering a CAGR of 6.31% over the period of 2021-2026. Building automation systems connect and integrate different facility technologies, including HVAC, surveillance, lighting, and security, through information flow to a monitoring point. The requirement for energy management and the growing emphasis on overcoming utility costs continue to drive the adoption of building automation systems in the commercial sector. In the United States, most commercial buildings are equipped with these solutions.

Key Highlights
As buildings become more infused with IT and networking technology, building managers and security professionals are becoming aware of the risk of smart building security. Financial services institutions and other industries are potentially valuable targets from the hacker’s perspective, and they should prioritize smart building security. Hence, such trends would drive the demand for intelligent security systems solutions.?
According to the New York State Energy Research and Development Authority, enabling real-time energy management systems and smart technologies could reduce costs by an average of 15% and increase the bottom line by creating an environment that encourages employee productivity and reduces energy waste, according to the New York State Energy Research and Development Authority (NYSERDA).?
Further, the market factor which is challenging the growth is the increasing office vacancy. According to the National Association of Realtors, the office vacancy rates in the United States witnessed a significant increase in 2020. The decline of office spaces, thus, negatively affects building automation systems growth.?
Moreover, with the COVID-19 impact, multiple energy management software providers extend their services beyond energy management systems by building health assessment solutions.? For instance, in May 2020, Honeywell launched an integrated set of solutions for helping commercial building owners improve the health of their building environments and energy efficiency. These solutions further help building owners operate more cleanly and safely and comply with the social distancing policies.?

Key Market Trends

Increase in Focus for Designing and Establishing Energy-efficient and Eco-friendly Buildings

In the United States, the reduction in energy consumption has been a primary concern among commercial building owners and managers to save money. According to the US Energy Information Administration, almost 40% of the energy consumed in the United States powers commercial and residential buildings. According to the New York State Energy Research and Development Authority (NYSERDA), enabling real-time energy management systems can reduce major costs. Such developments have been influencing energy-efficient buildings as part of the smart solutions in commercial buildings. ???
According to the US Department of Energy, the buildings sector accounted for about 76% of the electricity used, resulting in a considerable amount of associated greenhouse gas (GHG) emissions, thereby making it necessary for reducing the energy consumption in buildings in order to comply with national energy and environmental challenges and decrease costs to building owners and tenants. By the year 2030, building energy use could be cut more than 20% using technologies known to be cost-effective today and by more than 35% if the research goals are met. Much higher savings are technically possible.?
The major areas of energy consumption in the buildings are HVAC - 35% of total building energy; lighting - 11%; major appliances (water heating, refrigerators, and freezers, dryers) - 18% with the remaining 36% in miscellaneous areas, including electronics. Such instances cater toward an increasing focus on eco-friendly buildings.?
The growing demand for smart offices is also accelerating the development of SEZs (Special Economic Zones). Green HVAC systems are developed for improving energy efficiency and reduce costs. For instance, Ice Energy, one of the prominent energy storage companies based in Glendale, California, released an ice-powered air-conditioning unit, Ice Bear, to cool buildings and, in most cases, reduce a building’s net consumption of energy.?
Furthermore, the battery management system is being integrated with intelligent energy management systems across several end-user industries to conserve electricity. Battery management systems are advancing as a lucrative market opportunity, as they encompass not only the monitoring and protection of the batteries but also methods for keeping them ready to deliver full power and several methods for prolonging their life. It further includes services from controlling the charging regime to planned maintenance.??

Rising Focus on Security

Sensors, actuators, and controllers, which collectively serve as the backbone of cyber-physical systems for building energy management, are the primary core technical areas of investment for achieving the US Department of Energy (DOE) Building Technologies Office’s (BTO’s) goals for energy affordability in commercial buildings.?
An aggregated annual energy savings of around 29% is estimated in the commercial sector alone by implementing efficiency measures using the current state-of-the-art sensors and controls to retune buildings by optimizing programmable settings.?
Sensors in buildings can either be wired into the building’s electrical distribution network or can be wireless using an onboard electric power source. Because they are typically concealed within walls, floors, and ceilings of a building, wired sensor networks can be costly and difficult to install in remote or inaccessible locations and reconfigure or retrofit after initial installation. This led to the adoption of the wireless sensor. A protocol created specifically for commercial use, Zigbee is perhaps the most widely used for building automation. Zigbee uses a mesh network for creating long ranges and fast communications via radiofrequency.?
Even without new HVAC equipment, the WSN will improve monitoring and control of environmental conditions that, in turn, lead to energy savings since the equipment is only operated when and where needed.?
Due to the proliferation of smart buildings, attackers have a more extensive range of entry points to access organizations’ networks. This is due to the creation of arrays of new access points from IoT devices. This has lead to the adoption of protocol security, leading to the demand for wireless sensors.?
Further, advancing wireless sensor networks that are automated, plug-and-play, and capable of monitoring multiple parameters through effective power management will enable a low-cost approach to accurately detect and diagnose failures and resulting inefficiencies in building equipment and systems while also allowing for optimal and localized whole-building control opportunities to improve building operations along with reducing energy use.?

Competitive Landscape

The United States commercial building automation systems market is moderately competitive and consists of several major players. In terms of market share, few of the major players currently dominate the market. The major players in the United States market are ABB, Siemens, Schneider Electric, Emerson Electric is Texas Instruments. These major players with a prominent share in the market are focusing on expanding their customer base across foreign countries. Companies are also increasing their market presence by introducing new products, expanding their operations, or entering into strategic mergers and acquisitions.

November 2020: Schneider Electric announced an additional USD 40 million investment toward modernizing its United States manufacturing plants in Iowa, Kentucky, Nebraska, and Texas. The money will go towards innovative technologies and new product lines that will help increase Schneider Electric’s capacity of operations in the United States for its customers and further develop its local workforce.
October 2020: Texas Instruments introduced a new Ethernet physical layer (PHY) for factory and building automation applications. The product can transmit 10-Mbps Ethernet signals up to 1.7 km through a single pair of twisted wires. The DP83TD510E helps designers implement a single communications network, from the controller to the edge node, transmitting full-duplex data over a single pair of twisted wires. ??

Additional Benefits:

The market estimate (ME) sheet in Excel format
3 months of analyst support

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 150+ Million searchable statistics with tables, figures & datasets
  • More than 25,000 trusted sources
  • Single User License — provides access to the report by one individual.
  • Department License — allows you to share the report with up to 5 users
  • Site License — allows the report to be shared amongst all employees in a defined country
  • Corporate License — allows for complete access, globally.

ReportLinker may already be registered as a supplier with your company. If you want to Order by PO, check with us first and we'll let you know if we are a registered supplier and what the vendor number is. Otherwise, we'll provide you with the necessary information to register ReportLinker as a vendor.

Ahmad helps you find the right report:

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

We were impressed with the support that ReportLinker’s research specialists’ team provided. The report we purchased was useful and provided exactly what we want.

Category Manager at

ReportLinker gave access to reliable and useful data while avoiding dispersing resources and spending too much time on unnecessary research.

Executive Director at
PwC Advisory

The customer service was fast, responsive, and 100% professional in all my dealings (...) If we have more research needs, I'll certainly prioritize working with ReportLinker!

Scott Griffith

Vice President Marketing at
Maurice Sporting Goods

The research specialist provided prompt, helpful instructions for accessing ReportLinker's product. He also followed up to make sure everything went smoothly and to ensure an easy transition to the next stage of my research

Jessica P Huffman

Research Associate at
American Transportation Research Institute

Excellent customer service. Very responsive and fast.

Director, Corporate Strategy at

I reached out to ReportLinker for a detailed market study on the Air Treatment industry. The quality of the report, the research specialist’s willingness to solve my queries exceeded my expectations. I would definitely recommend ReportLinker for in-depth industry information.

Mariana Mendoza

Global Platform Senior Manager at
Whirlpool Corporation

Thanks! I like what you've provided and will certainly come back if I need to do further research works.

Bee Hin Png

CEO at
LDR Pte Ltd

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

  • How we can help
    • I am not sure if the report I am interested in will fulfill my needs. Can you help me?
    • Yes, of course. You can call us at +33(0) 4 37 65 17 03 or drop us an email at [email protected] to let us know more about your requirements.
    • We buy reports often - can ReportLinker get me any benefits?
    • Yes. Set up a call with a Senior Research Advisor to learn more - [email protected] or +33(0) 4 37 65 17 03.
    • I have had negative experiences with market research reports before. How can you avoid this from happening again?
    • We advise all clients to read the TOC and Summary and list your questions so that we can get more insight for you before you make any purchase decision. A research advisor will accompany you so that you can compare samples and reports from different sources, and choose the study that is right for you.

  • Report Delivery
    • How and when I will receive my Report?
    • Most reports are delivered right away in a pdf format, while others are accessed via a secure link and access codes. Do note that sometimes reports are sent within a 12 hour period, depending on the time zones. However, you can contact us to escalate this. Should you need a hard copy, you can check if this option is offered for the particular report, and pay the related fees.
  • Payment conditions
    • What payment methods do you accept?
      1. Credit card : VISA, American Express, Mastercard, or
      2. You can download an invoice to pay by wire transfer, check, or via a Purchase Order from your company, or
      3. You can pay via a Check made out in US Dollars, Euros, or British Pounds for the full amount made payable to ReportLinker
    • What are ReportLinker’s Payment Terms?
    • All payments must normally be submitted within 30 days. However, you can let us know if you need extended time.
    • Are Taxes and duties included?
    • All companies based in France must pay a 20% tax per report. The same applies to all individuals based in the EU. All EU companies must supply their VAT number when purchasing to avoid this charge.
    • I’m not satisfied. Can I be refunded?
    • No. Once your order has been processed and the publisher has received a notification to send you the report, we cannot issue any refund or cancel any order. As these are not ‘traditional’ products that can be returned, reports that are dispatched are considered to be ‘consumed’.
  • User license
    • The license that you should acquire depends on the number of persons that need to access the report. This can range from Single User (only one person will have the right to read or access the report), or Department License (up to 5 persons), to Site License (a group of persons based in the same company location), or Corporate License (the entire company personnel based worldwide). However, as publishers have different terms and conditions, we can look into this for you.
Purchase Reports From Reputable Market Research Publishers


Reportlinker.com © Copyright 2021. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.

Make sure you don’t miss any news and follow us on