Building Technology

A nascent commercial wireless sensor market is poised to ascend in the next decade

April 11, 2016

Over the next decade, revenue from wireless sensor sales worldwide for installation and use in commercial structures is expected to increase at a compound annual rate of 16.5%, a projection that reflects the expanding demand for products that provide intelligent building solutions via the Internet of Things.

A new report from the market research firm Navigant, entitled “Wireless Sensors for Commercial Buildings,” estimates that global sensor sales will reach $188.2 million this year, and increase to $745.2 million by 2025.

“Sensors capture, communicate, and may even analyze energy and operational data,” the report states. “The resulting useful information will direct fundamental changes in operations that lead to energy efficiency improvements with substantial cost savings.”

Asia-Pacific and European markets are expected to experience the highest demand growth, whereas demand in North America will increase more modestly.

Despite the fact that last year’s Internet of Things World Forum was held in Dubai, the Middle East in general, along with Africa and Latin America, are not seen by Navigant as markets where there will be a high penetration of wireless sensors in the foreseeable future.

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