Construction 4.0 Market Expected to Reach $62.2 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Construction 4.0 Market," The construction 4.0 market size was valued at $11.9 billion in 2021, and is estimated to reach $62.2 billion by 2031, growing at a CAGR of 17.7% from 2022 to 2031.

Construction 4.0 refers to a current industrial revolution in the construction sector. It consists of technology to process massive amounts of data, including IoT, artificial intelligence, drones, sensors, industrial robots, and others. Cost and time savings, an improved perception of the construction business, increased production, and a focus on the client are all advantages of construction 4.0.

The increasing use of IoT, 3D printing, and other technologies in construction aims to connect construction sites to achieve maximum productivity and reduce errors. The construction industry uses its IoT technologies such as sensors, smart wearables, building information modeling, augmented reality and RFID tags to improve productivity, optimize resource utilization and efficiently manage projects. increase. For instance, in June 2021, CalAmp's Tracker has Launched iOn fleet management software to accelerate the speed of smart decision making for fleets across the UK. Such instances are expected to drive the market.

The construction industry's growing need for automation and worker safety, as well as the availability of accessible, energy-efficient technology like industrial robots and artificial intelligence, in the construction industry drive the growth of the construction 4.0 market. In addition, the need for construction technologies such as IoT, virtual reality, and others increases as efficiency and productivity on building sites improve, fueling the market's expansion. The construction 4.0 market share is expanding as a result of the usage of IoT, AI, and BIM-based technologies in construction sites with the use of drones, CCTV cameras, and sensors to collect real-time data about workers, inventories, and ongoing activities. The construction industry also uses industrial robots to create large structures and demolish buildings, which boosts demand for industrial robots and expands the market.

Increased security threats in connected devices are restraining market growth. For instance, in January 2023, article published by ETCIO, the data published by Check Point Research (CPR) has released new data in 2022 cyber-attack trends showing that global cyber-attacks increased by 38% in 2022, compared to 2021.This compromises the confidentiality and integrity of the data. Such instances hinder market growth.

In addition, the outbreak of COVID-19 has led to halt in logistic and construction activities across the globe, which, in turn, has led to interruption of supply chain, thereby hindering growth of the construction 4.0 industry. However, this situation is expected to improve as the government is relaxing norms around the world for resuming business activities.

The adoption of new construction-related technologies, such as IoT, robots, BIM, and others, is being prioritized in developing nations like India, Brazil, Russia, and others as awareness of construction 4.0 technology expands. Digital technologies are increasingly being used in construction activities due to benefits including reducing repetitive work and human error. New technologies, including drones, augmented reality, building information modeling, 3D scanning are used in construction activities. Such instances are expected to offer lucrative opportunities for the construction 4.0 market growth.

The global construction 4.0 market is segmented on the basis of solution, technology, application, end user, and region. Based on solution, the construction 4.0 market is fragmented into hardware, software, and services. Based on technology, the global construction 4.0 market is categorized into IoT, artificial intelligence, industrial robots, and others. Based on application, the market is divided into asset monitoring, predictive maintenance, fleet management, wearables, and others. By end user, the market is classified into residential and non-residential.

Region wise, the global construction 4.0 market analysis is conducted across North America (the U.S., Canada, and Mexico), Europe (the UK, France, Germany, and rest of Europe), Asia-Pacific (China, Japan, India, South Korea, and rest of Asia-Pacific), and LAMEA (Latin America, the Middle East, and Africa).

Competition Analysis

The major players profiled in the construction 4.0 market include Advanced Opto-Mechanical Systems and Technologies Inc, ABB Ltd, Autodesk Inc, CalAmp Corporation, Hexagon AB, Hilti Corporation, Mitsubishi Electric Corporation, Oracle Corporation, Topcon Corporation, and Trimble, Inc.

Major companies in the market have adopted product launch, acquisition and partnership as their key developmental strategies to offer better products and services to customers in the construction 4.0 market.

Key Finding Of the Study

• The report provides an extensive analysis of the current and emerging global construction 4.0 market trends and dynamics. 
• Based on solution, the hardware segment accounted for maximum share of the construction 4.0 market in 2021.
• Based on technology, the IoT segment accounted for maximum share of the construction 4.0 market in 2021.
• By application, the asset monitoring segment generated the highest revenue during 2021 in the construction 4.0 market.
• By end user, the non-residential segment generated the highest revenues during 2021 in the construction 4.0 market.
• Region-wise, North America dominated the market in 2021. Moreover, Asia-Pacific is anticipated to dominate the global construction 4.0 market exhibiting highest CAGR during the forecast period.
• The report provides an extensive analysis of the global construction 4.0 market trends and emerging opportunities of the market. 
• The global construction 4.0 market forecast analysis from 2021 to 2031 is included in the report.