Smart building technology spending is expected to grow to $17.4 billion in 2019 from $6.3 billion in 2014, said IDC Energy Insights report.
With compound annual growth rate (CAGR) of 22.6 percent, spending growth will be concentrated in Asia Pacific, North America and Western Europe.
The smart building technology is expected to grow rapidly and the forthcoming report, 2015 IDC MarketScape in Smart Building solutions shows that over 90 percent of firms will increase their investment in smart building technologies.
The report, Business Strategy: Global Smart Building Technology Spending 2015-2019 Forecast depicted, the overall pace of adoption is slightly lower than last year prediction but the level will be increased in coming years because of competitive pricing and technology.
According to the report, commercial buildings are expected to grow more than domestic buildings and companies with the fact that these smart constructions can save energy as well as create operational efficiencies.
Building owners and key decision makers are increasingly aware of the business value of these solutions but adoption of these technologies is slow due to changes in business process required for deployment and utilization.
Vertical industries will have large impact on the rate of adoption of smart building technologies and HVAC systems were kept in mind while making the investments.
In Europe, local governmental and EU regulations are helping the market to expand their investment in smart building technology, the report said.
North America will focus on corporate with objective of reduction in energy costs and China is expanding rapidly in smart building.
Last month Navigant research said the smart city technology market is expected to grow from $8.8 billion annually to more than $27.5 billion in 2023.
In 2014, IDC Energy Insights announced global smart building technology spend will grow from $7.3 billion in 2014 to $21.9 billion in 2018, representing a 28.4 percent CAGR.