Technology growth is set to clearly outpace the annual global growth rate of 3.3% projected by the IMF, in particular the demand for smart building and access control represents a technology space that is expected to grow at an annual nearly double-digit rate for the upcoming decade.

BIoT – a $53.5 billion market

So building management technologies are on the rise. The latest analysis from research company, Memoori, estimates that the Building IoT market (BIoT) grew to $53.5 billion in 2022, and forecasts that the market size will grow at a compound annual growth rate of 10.33% to $96.5 billion between 2022 and 2028.

The access control market

In their report about the electronic security market Memoori estimates the value of the global access control market is 10.3 billion dollars for 2023 and an expected compound annual growth rate at 5.2% for 2023–2027.

There are of course many different figures in circulation regarding the market values of any sector. For example, the market research company Future Market Insight reports a global market value for 2023 at $11.8 billion for the building access control security market, which is not that far from Memoori’s estimation. However, their estimation of the compound annual growth rate is 14% for the period 2023–2033.

Smart buildings

Smart buildings utilise advanced automation systems and integrated technology to optimise building operations, enhance energy efficiency, and improve occupant comfort. Examples include energy management systems that automatically adjust lighting and temperature based on occupancy or time of day, and predictive maintenance systems that monitor the health of building systems, alerting facility managers to potential issues before they become critical. These features not only save energy and costs but also create a more responsive and adaptive environment for inhabitants.

Access Control in smart buildings

Potentially offering an entry-point for electronic security players to the smart building space, access control in smart buildings enhances security by allowing or restricting entry based on pre-set criteria. This could include the use of various forms of biometrics, smartphones acting as a key or RFID cards with an option for multifactor authentication – ensuring only authorised individuals gain access. Integrated with building management systems, it can also personalise lighting, temperature, and entertainment preferences upon an occupant’s entry, elevating the user experience while maintaining set security standards.

The importance of 5G

A sometimes-overlooked enabling technology in the context of access control, is the gradual adoption of 5G connectivity, enabling for access services requiring increased wireless bandwidth. 5G enhances access control systems with mobile entry, real-time monitoring, and centralised multi-site control, making workplaces more secure and adaptable to modern needs.

Sustainability

The development of smart buildings is significantly influenced by a broad drive towards sustainability, investments in infrastructure, and regulatory compliance.

Sustainability is crucial as buildings contribute significantly to global emissions; smart buildings promote energy efficiency and employee well-being, reducing environmental impact.

Infrastructure investments

Infrastructure development serves as the backbone, facilitating the integration of advanced technologies and systems. Without robust infrastructure, the seamless operation of smart functionalities becomes challenging.

The increasing concern for attacks against infrastructure is also increasing the demand security systems in general and access control in particular. Not least to secure the technical systems whose function is a prerequisite for a well-functioning infrastructure. It is highly encouraged by regulations and legislations. An example is the requirements for cyber security of communication in technical systems in the EU-directive NIS2, which member states are required to implement measures to live up to. Secured access control is crucial to protect infrastructure, but also existing access control system or other security systems needs to be updated to comply with NIS2. That will require further investments.

Regulatory compliance

Regulatory compliance is of increasing importance to ensure that smart buildings meet established safety, security, and environmental standards. As urbanisation grows, regulations often mandate certain smart features or set energy benchmarks, pushing developers to prioritise smart solutions that address both ecological concerns and stringent legal requirements, for example the upcoming EU sustainability reporting legislation, applying for large companies – set to be effective from the start of 2024.