Smart City Initiatives Driving Global BEMS Market at an Estimated CAGR of Around 23.77%

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The Global Building Energy Management System (BEMS) Market size was valued at around USD8,172 million in 2024 and is projected to reach USD29,373 million by 2030. Along with this, the market is estimated to grow at a CAGR of around 23.77% during the forecast period, i.e., 2025-30, cites MarkNtel Advisors in the recent research report. The rise in the market is due to an increase in the need for automated energy management solutions, classrooms, government support, growing investments in technology cloud, AI, etc., enlarging healthcare, hospitality sectors, the growing need for digitalization, increasing 5G internet penetration, and others.

The increasing domestic and international tourism worldwide, with approximately 1.46 billion travelers in 2024, has led to the expansion of hospitality chains and groups like Accor, Radisson Blu, The Social Hub, etc. Thus, the growing need for accommodation units requires an efficient energy management solution for the optimization of power consumption and energy saving, hence increasing the demand for a building energy management system (BEMS) in hospitality institutions across the globe.

Moreover, the advances, such as AI, ML, cloud, Internet of Things (IoT), etc., are revolutionizing the building energy management system market worldwide. These advances precisely monitor the real-time data and analyze the power consumption. Such analysis further enhances the operation of the BEMS, hence increasing the utility and demand for them globally, further states the research report, “Global Building Energy Management System Market Analysis, 2025.”

Global Building Energy Management System (BEMS) Market Segmentation Analysis

Hardware Component Generating Maximum Market Demand

Based on the component, the market is further bifurcated into hardware, software, and services. The hardware component holds the majority of the market share of around 54%. This is due to the integration of renewable resources, compatibility with high-speed internet & cloud services, flexible integration across distinctive IT structures, increasing penetration of renewable energy resources, universal device components, etc.

The hardware devices, such as sensors, meters, controllers, cameras, etc., are integrated into all kinds of management services like SaaS, and with on-premises and cloud deployment.  The hardware components are necessary in all kinds of integrations for the data collection and efficient functioning of the energy management solutions. As the platforms and services rely on these hardware components for operation and analysis of the energy consumption units. Thus, the increasing adoption of smart meters, automated HVAC systems, and energy monitoring equipment increases the demand for building energy management systems, hence facilitating its largest market share among the components of the building energy management system globally. 

North America Leads the Building Energy Management System Industry Globally

North America dominates the Building Energy Management System Market globally by more than 43%. This is due to the large technology solution providers, growing and well-established industrial & commercial units, early access to upgradations, integration of advancements such as AI, ML, Cloud, etc., the growing government investments and initiatives, etc.

North America is a technologically advanced region, attracting large high-tech companies and investors to the region. The increasing expansion of these companies results in the innovation and development of new technologies and solutions like AI-based building energy management systems, thus offering early and easy accessibility to the advancements. As a result, Honeywell, Siemens AG, etc., the BEMS service providers have strengthened their roots in the region. Additionally, the regulatory framework of the US and Canada, including the guidelines and mandatory building energy standards, and the funds, encourages the adoption of Building Energy Management Systems in North America.

Competitive Landscape

With strategic initiatives, such as mergers, collaborations, and acquisitions, the leading market companies, including ABB Ltd., Emerson Electric, General Electric, Honeywell, IBM, Ingersoll Rand, Johnson Controls, Mitsubishi Heavy Industries, NX Technologies, Optimum Energy, Rockwell Automation, Siemens, Schneider Electric, Dexma Sensors, Eaton, and Others are looking forward to strengthening their market positions.

Key Questions Answered in the Research Report

1. What are the industry’s overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares)?
2. What are the trends influencing the current scenario of the market?
3. What key factors would propel and impede the industry across the globe?
4. How has the industry been evolving in terms of geography & product adoption?
5. How has the competition been shaping up across various regions?
6. How have buying behavior, customer inclination, and expectations from product manufacturers been evolving during 2020-30?
7. Who are the key competitors, and what strategic partnerships or ventures are they coming up with to stay afloat during the projected time frame?