Artificial Intelligence In Construction Market Size, Share & Growth [2031]

Report Description

Artificial Intelligence In Construction Market Outlook 2031

The global artificial intelligence in construction market size was valued at USD 1.13 Billion in 2022 and is anticipated to reach USD 17.99 Billion by 2031, expanding at a CAGR of 36% during the forecast period, 2023-2031. The growth of the market is attributed to the use of artificial intelligence technology by construction companies for risk management solutions and predictive maintenance.

Artificial Intelligence (AI) in construction can support in many ways including designing, facility management, planning, building material, and construction phase. AI in construction helps to overcome challenges such as schedule management, exceeding cost of construction, and labor shortages. Main concern during constructions is death of the workers, AI address this problem by alarming system after detecting elevated threat.

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AI based solutions are also helping in building information modeling for creating the 3D models of building. The development of AI based software is proved to be effective for providing information on a construction project and gathering of data which will be beneficial for overall construction process.

The COVID-19 pandemic outbreak had considerable impact on the market. During pandemic, construction sites were totally shut down, which was restraining the market. On the other hand lockdown and social distancing norms imposed by government bodies resulted in shortage of labors, which in turn increases the adoption of AI solutions for automated construction and off-site construction.

Artificial Intelligence In Construction Market Trends, Drivers, Restraints, and Opportunities

• Increasing adoption of AI solutions for safety concern is one of the key factor driving the market growth.
• Using AI based solutions to ease the communication between different elements in the construction process is projected to drive the market expansion during the forecast period.
• Lack of skilled professionals to handle the AI technology at construction site acts as a major challenge that can restrict the market growth in the coming years.
• Escalating cost of initial investment in AI technologies can hamper the market growth during the projected timeline.
• Using industrial internet of things applications along with AI to bring full automation at construction sites is projected to create significant growth opportunities for the market.

Scope of Artificial Intelligence In Construction Market Report

The report on the global artificial intelligence in construction market includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.

Artificial Intelligence In Construction Market Segment Insights

Construction Stages Segment Analysis

Based on construction stages, the global artificial intelligence in construction market is divided into constructing-stage, pre-construction, and post-construction. The pre-construction segment is expected to grow at a rapid pace during the forecast period attributed to cost management and schedule management by using AI.

Furthermore, AI helps in creating virtual design of the model to be constructed, at the pre-construction stage, which is projected to accelerate the segment growth further. However, the constructing-stage segment is anticipated to expand at a substantial CAGR in the coming years due to use of AI enabled cameras, drones, and robots for safety concern and automation in construction process.

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Offerings Segment Analysis

In terms of offerings, the market is bifurcated into service and solution. The solution segment is expected to account for a major market share during the projected timeline owing to AI solutions, which escalate the efficiency of construction process by providing major construction applications, such as supply chain management, project planning, schedule management, and risk management.

On the other hand, the service segment is projected to expand at a considerable CAGR during the forecast period due to increasing implementation of AI solutions in the construction, which creates high necessity for training services among workers and correct installation as well as maintenance of technologies.

Industry Types Segment Analysis

On the basis of industry types, the global artificial intelligence in construction market is segregated into heavy construction, residential, public infrastructure, and others. The heavy construction segment is estimated to account for a significant market share during the forecast period owing to growing accident cases and sudden falls at large building construction sites.

Moreover, heavy construction includes huge structures and a varied variety of equipment so, numerous equipment manufacturers are creating investments in self-operating machines to perform paving, excavation, grading, site work, demolition, and other tasks, which presents a major factor driving the segment.

Applications Segment Analysis

Based on applications, the market is segmented into schedule management, project management, supply chain management, risk management, asset management, and others. The project management segment is expected to expand at robust growth rate during the forecast period due to adoption of project management by companies in every construction stage.

On the other hand, the risk management segment is projected to expand a considerable CAGR during the forecast period owing to the use of AI cameras and drones on construction sites for predicting and managing the risk of sudden fall and death of worker while working on site.

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Organization Sizes Segment Analysis

In terms of organization sizes, the global artificial intelligence in construction market is bifurcated into large enterprise and small & medium enterprises. The large enterprise segment is estimated to account for a major market share during the forecast period owing to increasing advantageous government regulations which are encouraging large construction enterprises to incorporate AI solutions and services.

On the other hand, the small & medium enterprises segment is expected to expand at a robust CAGR in the coming years due to rising use of cloud based AI solutions as it is cost effective. Additionally, enlargement of building firms need appropriate management of their databases is major driver of the segment

Deployments Segment Analysis

On the basis of deployments, the market is bifurcated into on-premises and cloud. The cloud segment is projected to expand at high growth rate in the projected timeline attributed to cost-effective deployment method for construction companies.

Furthermore, investors are investing in cloud based AI solutions for developing computer aided virtual environment to provide virtual experience of building to customers, designers, and contractors, which is projected to accelerate the segment growth further. However, the on-premises segment is anticipated to register a substantial CAGR during the forecast period due to data privacy risks associated with cloud based AI solutions and services.

Regional Analysis

In terms of region, the global artificial intelligence in construction market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America is anticipated to constitute a key share of the market during the projected period owing to investment by key players in the regional market for implementation of AI solution and services in the region.

However, the Asia Pacific market is anticipated to grow at a rapid pace during the forecast period due to the rising investment of AI solutions in the region for supply chain management, risk management, and project management.

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