Global Smart Office Market to Reach USD 108.6 Billion by 2033 as IoT, AI, and Sustainability Drive Workplace Transformation

Phoenix Research is forecasting a solid 9.2 % CAGR for the smart‑office space, with North America still holding the largest share of adoption. The real fireworks, though, are in Asia‑Pacific – it’s emerging as the fastest‑growing region. All of this is playing out inside the Global Smart Office Market, which was roughly $53.9 billion in 2024 and is projected to hit about $113.8 billion by 2030, riding a 13.9 % CAGR from 2025‑2030 ¹. So while the U.S. and Canada keep leading the charge, the Asia‑Pacific surge is what’s really shaping the market’s future.

– November 26th, 2025 – Phoenix Research has released its latest industry outlook titled “Global Smart Office Market Size, Share & Forecast 2025–2033.” The study highlights rapid adoption of smart workplace technologies as companies worldwide prioritize digital transformation, energy efficiency, and employee productivity. According to the report, the Global Smart Office Market, valued at USD 53.2 billion in 2025, is expected to reach USD 108.6 billion by 2033, expanding at a CAGR of 9.2%.

“Organizations are moving from conventional office setups to AI-powered, IoT-connected smart workspaces that optimize energy use, automate operations, and enhance employee experience,” said Rachna Patni, Principal Analyst at Phoenix Research.

Market Growth Drivers of Global Smart Office Market

• Digital Transformation of Workspaces – Connected devices, AI-driven tools, and cloud platforms improve productivity in hybrid work environments.

• Energy Efficiency & Sustainability – Smart lighting, AI HVAC, and energy management systems reduce costs while supporting ESG goals.

• IoT & AI Integration – Sensors, analytics, and occupancy-based automation enable real-time workspace optimization.

• Employee Wellness & Productivity – Human-centric lighting, ergonomic furniture, and smart air quality monitoring enhance comfort and performance.

• Security & Access Control – AI video analytics, biometrics, and cloud-based access solutions ensure safe, secure offices.

Regional Landscape 

• North America – Largest Market: Early IoT adoption, enterprise digitalization, and strong demand in IT, BFSI, and commercial real estate.

• Asia-Pacific – Fastest Growing Region: Rapid commercial construction, government smart building initiatives, and low-cost IoT deployment.

• Europe: Focus on energy efficiency, sustainability mandates, and hybrid work adoption.

• Middle East & Africa: Growing smart infrastructure, AI security systems, and commercial hubs in UAE, Saudi Arabia, Qatar.

• Latin America: Gradual adoption in Brazil, Mexico, and Chile; rising demand for smart surveillance.

Competitive Ecosystem

Leading players including Siemens, Honeywell, Cisco, Schneider Electric, Johnson Controls, Philips Lighting, Crestron, ABB, IBM, Huawei, Sony, Logitech, Lutron Electronics are expanding smart solutions portfolios, AI-enabled workplace platforms, and global service networks. Siemens and Honeywell currently maintain the largest market share globally.

Phoenix Research concludes that the next decade will be defined by AI-enabled hybrid workspaces, IoT-driven energy efficiency, cloud integration, and sustainable smart building solutions, positioning smart office technologies as a critical component of modern workplace transformation.

Full Report

Global Smart Office Market Size and Share Analysis 2025-2033

https://www.pheonixresearch.com/market-report/global-smart-office-market/