Global AEC Market Opportunities and Forecast, 2021-2028
Global AEC Market Opportunities and Forecast, 2021-2028
AEC Market Statistics—2028
The global AEC market size was valued at $7,188.00 million in 2020, and is projected to reach $15,842.00 million by 2028, growing at a CAGR of 10.7% from 2021 to 2028. Architecture, engineering, and construction software is used by real estate companies, construction firms, surveyors, interior designer, and mechanical & electrical piping engineers for effective project life cycle management. Key objective of architecture, engineering, and construction software is to enhance project performance and produce better outcomes. AEC helps construction managers to gather data and information from relevant disciplines and communicate more effectively. Enhanced data communication and coordination among various stakeholders, architectures, and construction supervisors is coupled with improved construction productivity to provide a leading edge to AEC users.
Depending on deployment mode, the on-premise segment dominated the AEC market share in 2020, and is expected to continue this trend during the forecast period. The growth of this segment is attributed to rise in concerns about security of data associated with construction projects, which is highly valuable. Larger firms in the AEC industry provide on-premise software for their customers in industrial, infrastructure, and residential sectors. However, the cloud segment is expected to witness highest growth in the upcoming years as it does not involve capital cost as well as has low maintenance requirements, hence is most preferred by mid-sized financial institutions.
On the basis of enterprise size, the large enterprises segment dominated the market share globally in 2020, and is expected to continue the same during the forecast period. The growth is attributed to rise in use of cutting-edge technology such as augmented reality and virtual reality in large scale enterprises, which needs AEC.
North America generated highest revenue in 2019, and is expected to continue this trend during the forecast period. This is attributed to rapid growth in the construction and infrastructure sector such as adoption of artificial intelligence and rise in need for automation in the construction and architecture sector. However, Asia-Pacific is expected to exhibit highest growth during the AEC market forecast period as adoption of AEC software is prominent in this region, owing to growth in the construction sector in this region. Surge in multi-story buildings and skyscrapers as well as ongoing developments in infrastructure in this region are expected to be key factors facilitating growth of the AEC market.
Segment review
AEC market is segmented into component, deployment mode, enterprise size, application, and region.
- By component, it is bifurcated into software and service.
- Depending on deployment mode, it is categorized into on-premise and cloud.
- On the basis of enterprise size, it is categorized into large enterprises and small & medium size enterprises.
- As per application, it is classified into construction & architecture companies, education, and others.
- Region wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Top impacting factors
Numerous factors such as growth in infrastructure projects, owing to rapid urbanization and increase in productivity through exchange of information drive the market globally. Furthermore, mandatory rules and regulations applied by government authorities for the use of AEC software also drives the market globally. However, high initial cost of implementation of AEC software and lack of skilled workers in the industry restrain the market globally. Furthermore, growth in adoption of AR and VR in the construction industry and rise in implementation of IoT in numerous construction projects are expected to create AEC market opportunity market during the forecast period.
Increase in infrastructure projects
As population is increasing globally, demand for construction of buildings, malls, and offices, owing to launch of projects such as smart cities and high-speed roads, is on the rise. Hence, to operate these projects seamlessly and efficiently, key players are adopting AEC software. The construction industry has witnessed rapid growth in the Middle East and in most developing countries of Asia- Pacific such as India and China.
Source: The indicators are extracted from Allied Market Research report as a reference for market forecast.
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BIM Market Overview
Building Information Modeling (BIM) refers to a specific software used in various stages of implementation and design of several infrastructural projects. The BIM market provides construction consultants, architects, and engineers extra funds and tools for building theme-based buildings based on abstract design. The need for blueprints for medical, electrical, and plumbing designs combined with the regulations to implement building information modelling market. Furthermore, flexible uses can boost the growth of the BIM market over the coming years.
BIM Market Drivers
The global market for building information modeling has recorded a massive rise in the growth rate in the last few years. The significant aspect causing an upsurge in the market's growth is the rapid expansion of the construction sector across the globe. In addition, the governments across various are taking initiatives to encourage organizations to adopt the BIM market to manage resources efficiently over the assessment era is another major parameter supporting the market growth. In addition, the architects and engineers can draw up modified projects by varying some patterns of the existing templates. Also, the tools needed for designing and developing the projected may also boost the market's growth over the assessment timeframe. Moreover, the constant technological evolution will likely offer lucrative opportunities to the players across the market over the review timeframe.
BIM Market Segments
Among all the components, the solution segment is anticipated to account for the highest revenue share across the global market for building information modeling over the assessment era. The segment's growth is mainly credited to the growing adoption of BIM solutions in the AEC industry. Most of these companies are implementing these solutions to support all construction processes like data management and procurement. On the other hand, the services segment is projected to register the highest CAGR over the review timeframe. The segment's growth is credited to the factors such as an increase in the adoption of services among end users and growth in demand for cloud-based building information modeling services.
BIM Industry Regional Analysis
The global market for building information modeling is analyzed across five major regions: North America, Latin America, Europe, Asia-Pacific, and the Middle East & Africa.
Source: Market Research Future
On Monday, 8 August 2022, Atlas was glad to welcome the visit of representatives of the University of Architecture HCMC (UAH): Assoc. Prof. PhD. Arch. Le Van Thuong – Principal, Ph.D. Nguyen Hoang Minh Vu – Vice Principal, and some other deans of faculties.
During the visit, the UAH’s representatives had the chance to see the atmosphere of the open space work environment at Atlas, as well as several significant project types from the architectural, engineering & digital groups.
Atlas is looking forward to welcoming UAH’s young talents to join us in the future. Let's throwback to the precious moments of the visit!
Jewel Changi Airport, Singapore, by Safdie Architects
A vast greenhouse surrounding the world's tallest indoor waterfall brings unusually large amounts of carbon-sequestering plant life into Jewel Changi Airport, designed by Moshe Safdie's architecture firm with the help of engineering firm Buro Happold, environmental designers Atelier Ten and Peter Walker and Partners Landscape Architects.
The 40-metre-tall waterfall, called Rain Vortex, funnels rainwater from Singapore's frequent thunderstorms down seven storeys to naturally cool the air inside the building, with the captured water reused.
Dock A at Zurich Airport, Switzerland, by BIG and HOK
Danish architecture studio BIG and US firm HOK last week revealed their design for a mass-timber terminal and control tower at Zurich's airport, set to open in 2032.
Large V-shaped columns made from locally sourced timber will form the main structure of the terminal, while wood will also be used for the floors and ceilings reflecting Switzerland's alpine buildings.
Seattle-Tacoma International Airport, USA, by Miller Hull Partnership and Woods Bagot
A grand central staircase and sculptural pillar clad in locally sourced Douglas fir will be the focal point of the Miller Hull Partnership and Woods Bagot's 13,520-square-metre expansion of Seattle-Tacoma International Airport, as part of the city's Sustainable Project Framework.
The two architecture firms claim the expansion, expected to complete in 2027, will have embodied carbon reduction strategies and biophilic design principles at its heart, with photovoltaic rooftop panels, electrochromic window glazing and non-fossil-fuel heating systems among the emissions-limiting measures.
Aile Est at La Genève Internationale, Switzerland, by RBI-T
The recently completed Aile Est terminal, designed by a consortium including British architecture studio RSHP to replace an outdated 1970s facility, is intended to produce more energy than it consumes by using on-site renewable sources such as geothermal piles.
Its exposed modular structure reduced waste during construction and means the building can be easily disassembled, recycled or extended in the future.
Shenzhen Bao'an International Airport, China, by RSHP
RSHP has also designed a terminal for an airport in Shenzhen that it said will seek to meet sustainability goals through a compact form, control of solar gain, low water use, and the harvesting of rainwater.
It will include vast green spaces, including a central 10,000-square-metre covered garden that can be enjoyed by the 31 million people expected to travel through the facility each year.
Red Sea International Airport, Saudi Arabia, by Foster + Partners
Foster + Partners is aiming for this airport, under construction in the Saudi desert to serve the huge Red Sea Project tourist development, to achieve a LEED Platinum sustainability rating and be powered by 100 per cent renewable energy.
The studio said the airport's layout as a series of five dune-like pods around a central volume will reduce energy usage by allowing parts of the facility to be shut down during periods of low demand.
Delhi Noida International Airport, India, by Nordic Office of Architecture, Grimshaw and Haptic
The under-construction terminal at Delhi Noida International Airport has been billed as "India's greenest airport" by its design team, a collaboration between architecture firms Nordic Office of Architecture, Grimshaw, Haptic and consultants STUP.
The team claims the building itself will be carbon-neutral, removing as much carbon dioxide from the atmosphere as it emits, helped by indoor trees and a landscaped interior courtyard.
T2 at Guadalajara International Airport, Mexico, by CallisonRTKL
Solar panels, shading and natural light and ventilation offered by a perforated wooden ceiling will combine to dramatically reduce the carbon footprint of a new terminal for the airport in Guadalajara compared to other similar buildings, according to architects CallisonRTKL.
"Multiple environmental strategies reduce energy use by 60 per cent and the carbon footprint of the project by 90 per cent, equivalent to planting 27,300 trees every year," said the US studio.
Beijing Daxing International Airport, China, by Zaha Hadid Architects
Completed in 2019, the starfish-shaped Beijing Daxing International Airport designed by the late Zaha Hadid along with specialist firm ADPI is one of the largest in the world at 700,000 square metres.
It is powered by solar panels and recovers waste heat using a ground-source pump, as well as having a rainwater collection system.
Marseille Provence Airport, France, by Foster + Partners
While still a member of Architects Declare, Foster + Partners was forced to defend the sustainable credentials of its glazed terminal building at Marseille Provence Airport after being challenged by France's Autorité Environnementale.
"Our sustainable design proposal will exceed the existing French HQE standard to align with the new E+C- standard, ensuring further energy and carbon efficiency," a spokesperson for Foster + Partners told Dezeen at the time, in reference to the E+C- certification for energy-positive, low carbon building projects introduced after the 2016 Paris Agreement.
Source: Dezeen
It was an honor for Atlas to be invited to the board of thesis defense of the two faculties: Architecture & Construction on 22-23 & 28-29 August 2022 - a significant event for students to fully demonstrate the knowledge and skills they have learned and practiced during years of studying at UAH, as well as announce the research results in front of the Committee of Defense. During the defense, Atlas’ representative has given critical questions and shared with students from the practical perspective of many years working in the AEC industry.
The graduation thesis defense session once again affirmed the close cooperation of Atlas and UAH in supporting and providing career opportunities for young talents.
Let's see some recap pictures below:
