AEC: Key market research findings
- Reduced time in project designs the primary driver for market growth
- EMEA dominates the market geographically
- Key vendors—AVEVA, Autodesk, Bentley Systems, Intergraph, Nemetschek, and Trimble Navigation
Technavio’s market research analysts predict the global AEC market to grow at a CAGR of almost 11% between 2016 and 2020. The reduction in the project design time is the fundamental driving force for growth in this market. The adoption of architecture, engineering, and construction (AEC) eliminates the need for paperwork to reduce the design time of projects. For instance, the LEAP Bridge Enterprise solution by Bentley Systems was used to design pre-stressed concrete box girder bridges in India. During 2015, EMEA dominated the global AEC market and is expected to continue its dominance throughout the forecast period. The increased adoption of building information modeling (BIM) for public and private construction projects spurred by government initiatives will contribute to the growth in the AEC market in EMEA by 2020.
The new market research report from Technavio presents a breakdown and analysis of the AEC segments based on the product.
“The growth of 5-D BIM is the latest trend in the global AEC market. 5-D BIM is the evolved form of 4-D and 3-D BIM and is capable of taking more dimensions into consideration. 5-D BIM enables efficient preparation of cost schedules, calculate deviations from the pre-determined project schedule and budget, and get real-time cost estimates for an easier and quick comparison with the target cost. For instance, Nemetschek invested in Sablono, a software provider for digital planning, to strengthen its position in the new 5-D BIM segment by combining the 3-D BIM solution, cost planning, and time planning of Sablono,” says Amrita Choudhury, Lead Analyst, ICT, Technavio Research.
The software segment generated a revenue of $3 billion in 2015 to dominate the global AEC market. This segment comprises of construction management software, BIM software, CAD-based construction software, and design and analysis software. The growing demand for lean construction and high-quality buildings is expected to trigger an increase in the adoption of AEC software amongst construction companies to fuel further growth in this segment in the coming years.
The key vendors in the market include AVEVA, Autodesk, Bentley Systems, Intergraph, Nemetschek, and Trimble Navigation. The market is characterized by the presence of well-diversified international and regional architectural engineering companies. Though regional vendors provide cost-efficient AEC services, international vendors offering quality features of AEC solutions dominate the market. Due to the increase in product extensions, technological innovations, and M&A vendor competition in the market is expected to intensify during the forecast period.
A more detailed analysis is available in the Technavio report, Global AEC Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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