Construction 4.0 Global Market Report 2025

Construction 4.0 refers to the digital transformation of the construction sector through the integration of advanced processes aimed at enhancing productivity, efficiency, safety, and sustainability. It emphasizes automating workflows, strengthening data-driven decision-making, and fostering collaboration throughout all stages of a construction project, from planning and design to execution and maintenance.

The core elements of Construction 4.0 include hardware, software, and services. Hardware encompasses intelligent physical devices such as sensors, drones, and robotics that facilitate data-driven, automated, and efficient construction activities. It leverages various technologies, including the Internet of Things (IoT), Building Information Modeling (BIM), Artificial Intelligence (AI), and others. These technologies are utilized in applications such as predictive maintenance, fleet management, asset monitoring, and wearables, and are implemented across a wide range of end-use sectors, including residential, commercial, industrial, and public infrastructure projects.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the construction sector, particularly in materials procurement and project costs. Higher duties on imported steel, aluminum, lumber, and machinery have driven up expenses for builders, contractors, and infrastructure developers, leading to increased project bids and delayed timelines. Construction equipment manufacturers face similar challenges, with tariffs on essential components and raw materials inflating production costs and squeezing margins. Additionally, retaliatory tariffs in international markets have curtailed exports of U.S.-made construction equipment and materials, further affecting profitability. The sector must now prioritize local sourcing, modular construction techniques, and supply chain diversification to control costs and ensure project viability amid ongoing trade uncertainties.

The construction 4.0 market research report is one of a series of new reports from The Business Research Company that provides construction 4.0 market statistics, including the construction 4.0 industry global market size, regional shares, competitors with the construction 4.0 market share, detailed construction 4.0 market segments, market trends, and opportunities, and any further data you may need to thrive in the construction 4.0 industry. This construction 4.0 market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The construction 4.0 market size has grown exponentially in recent years. It will grow from $18.53 billion in 2024 to $22.37 billion in 2025 at a compound annual growth rate (CAGR) of 20.7%. The growth during the historic period can be attributed to the adoption of Building Information Modeling (BIM), the increasing use of prefabrication and modular construction, the rising demand for construction safety amid a shortage of skilled labor, and the expansion of 3D printing in the construction sector.

The construction 4.0 market size is expected to see exponential growth in the next few years. It will grow to $46.95 billion in 2029 at a compound annual growth rate (CAGR) of 20.4%. The growth in the forecast period can be attributed to the increasing demand for sustainable construction practices, rising investments in smart infrastructure, growing adoption of digital twin technology, government initiatives supporting digital transformation in construction, and the expansion of cloud-based construction platforms. Key trends expected during this period include the integration of the Internet of Things (IoT) and automation, advancements in artificial intelligence (AI) and machine learning (ML), the use of virtual reality (VR) and augmented reality (AR) for site visualization, a shift toward predictive maintenance enabled by real-time data, and an increasing move toward modular construction.

The rising demand for infrastructure development is anticipated to drive the growth of the construction 4.0 market in the coming years. Infrastructure development involves building and modernizing physical structures such as roads, bridges, buildings, and utilities to support economic growth and public services. This demand is primarily fueled by rapid urbanization, as growing urban populations require expanded transportation networks, housing, utilities, and public services to sustain economic and social activities. The need for faster, more efficient, and cost-effective project delivery is accelerating the adoption of Construction 4.0 technologies, including automation, digital tools, and smart construction solutions. For example, in July 2024, the Office for National Statistics (ONS), a UK-based government department, reported that total investment in the infrastructure sector in 2023 reached £13.8 billion ($17.3 billion) at constant prices, a 3.9% increase from 2022. Therefore, the rising demand for infrastructure development is contributing significantly to the growth of the construction 4.0 market.

Major companies in the construction 4.0 market are increasingly leveraging innovative technologies such as artificial intelligence (AI) to enhance efficiency, automation, and decision-making throughout construction processes. AI refers to the simulation of human intelligence by machines, which supports the construction industry by automating tasks, analyzing data, improving accuracy, and enabling real-time decision-making to boost productivity and reduce delays. For instance, in May 2024, Glodon Company Limited, a China-based software development firm, launched AecGPT and a comprehensive AI platform tailored for the construction sector to improve efficiency, automation, and decision-making across planning, design, cost management, construction, and operations. The AecGPT model features 32 billion parameters and is trained on hundreds of millions of industry-specific data tokens, enabling professional content generation, intelligent design, automated quantity takeoffs, dynamic progress planning, and AI-powered material and safety management.

In June 2025, Compagnie de Saint-Gobain S.A., a France-based manufacturing company, acquired Maturix for an undisclosed amount. Through this acquisition, Saint-Gobain aims to strengthen its digital construction chemicals platform by incorporating Maturix's advanced sensor-based technology, enabling real-time monitoring, improving construction efficiency, and supporting data-driven decision-making in concrete applications. Maturix ApS, based in Denmark, provides real-time monitoring tools for the concrete industry.

Major players in the construction 4.0 market are Microsoft Corporation, Mitsubishi Electric Corporation, VINCI Construction, IBM Corporation, Oracle Corporation, Schneider Electric, SAP SE, ABB Ltd., NVIDIA Corporation, Kiewit Corporation, Obayashi Corporation, Hilti Corporation, Hexagon AB, Autodesk Inc., Trimble Inc., Topcon Corporation, Bentley Systems, CalAmp Corporation, Brickeye, and Advanced Opto-Mechanical Systems and Technologies Inc.

North America was the largest region in the construction 4.0 market in 2024. The regions covered in construction 4.0 report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the construction 4.0 market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The construction 4.0 market consists of revenues earned by entities by providing services such as smart equipment monitoring and maintenance, construction site safety and surveillance, cloud-based collaboration and document management, augmented and virtual reality (AR/VR) training and visualization, digital twin implementation, and data analytics and artificial intelligence integration. The market value includes the value of related goods sold by the service provider or included within the service offering. The construction 4.0 market also includes sales of smart construction machinery, drones, 3D printers, internet of things (IoT) sensors, robotics systems, digital twin platforms, and construction management software. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Construction 4.0 Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses on construction 4.0 market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for construction 4.0 ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The construction 4.0 market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include:

The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.

• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.

Scope

• Markets Covered:1) By Component: Hardware; Software; Service
• 2) By Technology: Internet of Things (IoT); Building Information Modeling (BIM); Artificial Intelligence (AI); Other Technologies
• 3) By Application: Predictive Maintenance; Fleet Management; Asset Monitoring; Wearables; Other Applications
• 4) By End Use: Residential; Commercial; Industrial; Public infrastructure
• Subsegments:
• 1) By Hardware: Sensors; Drones; Robotics; 3D Printers; Wearables; Connected Machinery
• 2) By Software: Building Information Modeling (BIM) Software; Project Management Software; Design And Visualization Software; Cost Estimation Software; Collaboration Platforms; Safety Management Software
• 3) By Service: Consulting Services; System Integration Services; Maintenance And Support Services; Training And Education Services; Managed Services
• Companies Mentioned: Microsoft Corporation; Mitsubishi Electric Corporation; VINCI Construction; IBM Corporation; Oracle Corporation; Schneider Electric; SAP SE; ABB Ltd.; NVIDIA Corporation; Kiewit Corporation; Obayashi Corporation; Hilti Corporation; Hexagon AB; Autodesk Inc.; Trimble Inc.; Topcon Corporation; Bentley Systems; CalAmp Corporation; Brickeye; Advanced Opto-Mechanical Systems and Technologies Inc.
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain.
• Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time Series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data Segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
• Delivery Format: PDF, Word and Excel Data Dashboard.