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2025 Predictions for the Smart Buildings Industry

predictions

What does the future hold for 2025 in the Smart Buildings industry? Each year we ask a few key team members to identify trends and predict what's in store for smart buildings, smart equipment, and IoT in the coming year. Here's what they had to say.

Generative AI

Gareth Johnson, Chief Software Architect

As we look to the future of building automation, the integration of generative AI is set to revolutionize the industry in ways we’re just beginning to understand. From enhancing operational efficiency to streamlining workflows, AI is poised to transform building management systems (BMS).

"I predict an increase in the use of generative AI within the space of building automation. AI will continue to touch every single area of building management systems…

  • Operational: predictive fault detection, alarm analysis, etc.
  • Usability: helping customers understand their data more easily and take action.
  • Commissioning: lowering the amount of time and effort it takes to validate a system.
  • Assistance: AI will grow as an assistant to those using a BMS.

I think we’re also going to see some increase in security and data requirements from the EU’s CRA. This will affect all vendors and will provide more secure systems. We should also see an increase in government legislation regarding climate change that will affect us." 

 

Hybrid architectures

Emmanual Val, Head of Product Management

''As our built environments continue to change, integrating edge and cloud computing is becoming essential for modern building automation. Rather than seeing these two approaches as opposites, they actually complement each other. Each brings unique benefits to the table, and when we combine them, we really unlock a lot of value for building operators.
 
At the edge, real-time data processing enables immediate insights and control, ensuring systems operate efficiently and reliably. It gives us immediate insights and control, which helps ensure that our systems run efficiently and reliably. On the flip side, the cloud offers us powerful centralized capabilities, allowing for large-scale data aggregation, advanced analytics, and long-term storage. When we use them together, we create a smooth flow of information that helps organizations optimize their operations both locally and globally.

I believe that edge is more than just an option; it's a crucial part of a solid cloud strategy. By processing data locally first, edge solutions make decision-making faster and more secure, while also ensuring that only the most relevant data gets sent to the cloud. This not only cuts down on bandwidth costs but also enhances scalability and sets the stage for advanced cloud-based applications, like predictive maintenance and AI-driven insights.

Looking ahead to 2025, I expect that more smart building providers will embrace this hybrid architecture. The result will be smarter and more efficient buildings that strike a great balance between the strengths of edge and cloud solutions, all while meeting the growing demands for performance, sustainability, and connectivity in an industry that's constantly evolving.''

 

Data standards breakthrough

Scott Muench, Vice President of Knowledge Excellence

"In 2025, I am looking forward to seeing how Project Haystack evolves the standard with the introduction of Haystack 5.0. Following last year's 10 year anniversary of Haystack Connect, we got a sneak peek into the DOE's sponsored project, Buildings Energy Efficiency Frontiers & Innovation Technologies (BENEFIT). This is a three-year undertaking to create a validation and accreditation system for semantic metadata templates and models. The goal is to create semantic interoperability, which will dramatically reduce implementation costs, improve delivered quality, and democratize intelligent buildings.

Imagine a day when:

  • A building owner can specify that their facility follows the Project Haystack data standard.
  • An OEM can contribute libraries of templates containing point definitions and data models for their equipment.
  • A system integrator has the tools and access to a central repository of these libraries and can easily add them in to create project solutions.
  • A validation tool or service provides confirmation that the delivered product meets the original owner's data specification."

 

Driving forces for new opportunities

David Gits, Global Business Development Manager

The building automation landscape will continue to evolve, and new business models will emerge, driven by a focus on energy management, energy efficiency, AI, cloud, and autonomous buildings.  

"I predict we will see the following:

  • Energy management, cost efficiency, and ESG will remain driving forces in 2025.
  • Some European countries will need to increase the renovation rate to meet the 2030 energy efficiency and decarbonization targets.
  • Artificial intelligence will become a more concrete topic within the HVAC industry.
  • Hybrid architectures, combining edge and cloud solutions, will emerge as the solution for smart buildings and equipment.
  • Large investments will be made towards the evolution from smart buildings to autonomous buildings."

There is an opportunity for smart building providers to create new business models and holistic solutions to address regulatory, economic, and sustainability challenges.

 

Better choices through innovative, sustainable solutions

Joanna Benbow, Global Marketing Director 

"In 2025, I believe AI will play a big role in transforming the building automation industry from a sustainability and energy efficiency perspective. This is the time when building operators will have access to analyze real-time data, learn from patterns, and make intelligent adjustments to reduce energy waste. All that with ease and accessible management for users. While AI features will help reduce operating costs, it will be more about creating a future where every watt of energy is used with purpose. 

One of the areas I’m most excited about is how AI can help us align with regulations like the Energy Performance of Buildings Directive (EPBD). Instead of scrambling to meet compliance deadlines, building owners and managers will have access to BMS systems with AI features that monitor energy performance, optimize usage, and even automate reporting. For someone as passionate about sustainable living as I am, this feels like a leap toward achieving near-zero energy buildings becoming the norm. 

For me, the future is about creating spaces that respect the planet and empowering people to make better choices through innovative, seamless and sustainable solutions. I can’t wait to see how we rise to meet this challenge and build a greener future, one intelligent building at a time."

 

The shift to open platforms 

Matteo Pierone, Managing Director

"The era of closed, proprietary building management systems is ending. In 2025, we’ll see a decisive shift toward open platforms driven by the demand for flexible, scalable, and future-ready solutions. Clients are no longer willing to compromise on interoperability—they expect seamless integration across systems and the freedom to customize their platforms.

Open platforms will empower OEMs to shape their solutions, allowing them to embed unique features and tailor their offerings to the specific needs of their markets. This independence fosters innovation, enabling businesses to differentiate themselves and stay ahead in a competitive landscape.

This move toward openness isn’t just about technology; it’s a strategic advantage. Open ecosystems will attract the brightest minds, encourage collaboration, and deliver smarter, more efficient buildings. For clients and vendors alike, the message is clear: the future is open, adaptable, and uniquely yours."

So there you have it! Lots of different perspectives from our team, who range in roles and geography. What are your 2025 predictions?

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