Building Energy Simulation Software Market Insights 2025-2034: Growth Dynamics, Trends, and Strategic Opportunities
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How has the building energy simulation software market size evolved in recent years?
The building energy simulation software market has seen rapid growth in recent years. It is projected to grow from $5.85 billion in 2024 to $6.67 billion in 2025 at a CAGR of 14.0%. This growth is attributed to the rise of smart city projects, the demand for sustainable construction practices, the adoption of IoT and smart building technologies, and the retrofitting of existing buildings.
What are the predictions for the building energy simulation software market size in the coming years?
The building energy simulation software market is projected to expand rapidly, reaching $11.14 billion by 2029 at a CAGR of 13.7%. This growth is driven by government regulations on energy efficiency, advancements in BIM and simulation technologies, the rise of net zero energy buildings, growing environmental awareness, and efforts to reduce carbon emissions. Key trends include the integration of AI, ML, BIM tools, AR, VR, and IoT.
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What key factors are fueling the growth of the building energy simulation software market?
The increasing demand for energy is expected to stimulate the growth of the building energy simulation software market. Energy consumption is rising with urbanization and the use of electricity-dependent systems like heating, cooling, and electronics. Building energy simulation software optimizes energy usage and grid efficiency. The U.S. Energy Information Administration reported a 3% increase in primary energy consumption in the U.S. in 2022, driving this market.
How is the global building energy simulation software market divided into key segments?
The building energy simulation software market covered in this report is segmented –
1) By Component: Software, Services
2) By Deployment Model: On-Premise, Cloud-Based
3) By Organization Size: Small And Medium Enterprises (SMEs), Large Enterprises
4) By End-User Industry: Architecture And Construction, Government And Defense, Automotive And Transportation, Manufacturing And Engineering, Other End Users
Subsegments:
1) By Software: Building Energy Modeling Software, Hvac Simulation Software, Lighting Simulation Software, Renewable Energy Simulation Software, Energy Efficiency Software, Building Performance Simulation Software
2) By Services: Installation And Integration Services, Consulting And Advisory Services, Training And Support Services, Maintenance And Upgrades Services, Customization Services
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Who are the key firms paving the way for growth in the building energy simulation software market?
Major companies operating in the building energy simulation software market are Siemens AG, Dassault Systèmes, Honeywell International Inc., GE Vernova Inc., Schneider Electric, Johnson Controls International plc, Carrier Corporation, Trane Technologies plc, Harbinger Group Inc., Autodesk Inc., Trimble Inc., UL Solutions, Integrated Environmental Solutions (IES) Ltd., ANSYS Inc., Bentley Systems Incorporated, Aurora Solar Technologies Inc., WeaveGrid Inc., EnergyCAP LLC., GARD Analytics, DesignBuilder Software Ltd., EnergyPlus, EnergySoft LLC, Batia Construction Company, Carmel Software Corporation., Equest Software Inc.
Which trends are expected to transform the building energy simulation software market?
Companies in the building energy simulation software market are focusing on hybrid compilers (HyCo) to enhance energy modeling accuracy and optimize building designs. These technologies enable real-time energy consumption analysis and improve simulation efficiency. In December 2023, Renesas Electronics launched AI Workbench, an integrated virtual environment that leverages Microsoft Azure services, allowing engineers to design, simulate, and fine-tune automotive AI software in the cloud.
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What regions are contributing significantly to the growth of the building energy simulation software market?
North America was the largest region in the Building Energy Simulation Software market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the building energy simulation software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
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