Report

The APAC Smart Office Market is expected to register a CAGR of 10.5% during the forecast period.

Key Highlights
- Various progressions have raised the smart office need, driven by digital transformation and the varying needs of all stakeholders. One of the drivers is the pandemic's influence on the future of work and the improved adoption of the hybrid work model. However, various existing drivers have grown significantly in the region, with dedicated, intelligent IoT solutions for different use cases.
- The market is noticing different innovations catering to access cards, data security, and AI capabilities, and various governments and organizations are implementing or planning to implement across the organization. For instance, in May 2024, IDEX Biometrics partnered with a prominent South Asian smart card manufacturer to deploy smart cards across Asia and international markets. With a track record of producing over 3 billion cards and a monthly production capacity of 25 million, this collaboration strengthens IDEX Biometrics' expansion strategy in the Asia Pacific, Middle East, Africa, and the United States.
- Also, various collaborations are being noticed, like capacity thresholds, mask-wearing, social distancing, and air quality. For instance, in the recent past, Infosys and RXR Realty partnered to develop and install a complete Smart Officeform solution that runs on Microsoft Azure. RxWell, a public-health-based, data-driven framework, delivers health and wellness insights and management tools for property managers, tenant administrators, and office workers to provide a safe return to perform after a medical emergency.
- The market vendors combine data-driven and digitally-enabled services and solutions to improve work expertise and efficiency, realize cost and energy savings, and add value to the office via apps for different stakeholders.
- In January 2023, Wipro Limited announced its latest smart building solution, "Smart i-Building." Smart i-Building is a combined, modular Internet of Things and Impact Intelligent building management solution operating on the Microsoft Azure platform. The solution decreases costs and the sustainability footprint impact of office buildings through better use of corporate space, lower energy consumption, and higher operational efficiency. In addition, the company claims that, on average, buildings that adopt the Smart i-Building solution can realize 10 to 30 percent energy savings.


Asia Pacific Smart Office Market Trends

Security and Access Control to Witness Significant Growth


- India's safety and security market is experiencing significant growth, fueled by rising safety requirements and widespread technological adoption across various segments. Although the market remains price-sensitive, a growing number of consumers are willing to pay a premium for innovative, technologically advanced products with dependable after-sales service. While the "Make in India" initiative promotes domestic production, U.S. manufacturers, suppliers, and solution providers continue to see expanding opportunities in the Indian market.
- Over the last five years, the Indian government has steadily increased its budget allocation for the safety and security sector, which has achieved a compound annual growth rate of 12 percent. This growth notably surpasses the five percent annual increase in India's defense budget. Additionally, the Ministry of Home Affairs has raised its capital expenditure on policing by five percent during the same period, highlighting the government's prioritization of modernizing and strengthening the country's security infrastructure.
- Initiating technically sophisticated smart card cards for various applications fuels security and access systems demand by providing a user-friendly and reliable service. Various commercial establishments, such as IT companies, enterprises, and data centers, are implementing access control systems to protect personnel and data breaches and record employees' entry and exit timings.
- In January 2024, Advanced Card Systems Ltd (ACS), a leading provider of smart card technology, introduced two advanced products: the ACR40U Standard Contact Smart Card Reader and the ACR40U Premium Contact Smart Card Reader in Hong Kong. These devices are designed to revolutionize secure digital transactions, serving diverse applications such as financial services and secure identification. The ACR40U series represents ACS's latest innovation in contact smart card reader technology. Engineered with a forward-looking approach, these readers address current security requirements while offering firmware upgradability to adapt to future demands. By integrating advanced technology with a user-focused design, the ACR40U series delivers a secure, dependable, and adaptable solution.


China to Witness Significant Growth


- China is one of the fastest-growing countries in the Asia Pacific in terms of smart office deployment, primarily due to a rise in 5G penetration and robust internet infrastructure. Moreover, the growing working population drives the demand for sustainable living, which innovative office solutions can achieve.
- Furthermore, growth in cloud industrial IoT is poised to drive the market's growth. As per GSMA, industrial IoT devices are expected to account for 13.8 billion by 2025, and China accounts for approximately 4.1 billion of these connections. Moreover, the initiatives taken by the Chinese government, such as Made in China 2025, are expected to boost the demand for smart office solutions over the forecasted period.
- Smart fire and safety control systems are witnessing high demand to identify security leaks and leverage next-generation intelligent security solutions. Also, a seminar organized by Chubb Beijing and the Security Professionals Alliance of China saw the latest trends and breakthroughs in fire safety solutions. Moreover, companies are focusing on developing advanced integrated security management platforms. For instance, China Entropy offers an intensive converged fire-fighting platform for offices, which provides real-time information sharing.
- The number of companies are growing significantly as indicated in the graph, thereby contributing to the market growth rate. The exponential business growth drives the demand for comfortable working solutions, which drives the development of innovative and diversified HVAC solutions. The Chinese government's electricity policies are driving the launch of smart HVAC products. The annual SH Shanghai & CIHE - Shanghai International Trade Fair for Heating, Ventilation, Air-conditioning, and Home Comfort Systems allows companies to display their latest heating innovations.
- Further, key sectors, including institutional, infrastructure, and commercial, are undergoing rapid advancements. These sectors increasingly rely on cutting-edge surveillance cameras to protect assets and ensure customer safety. Additionally, the country is making significant investments in infrastructure development. IP cameras provide operational flexibility, enabling seamless deployment and repositioning within infrastructure buildings. Moreover, as these cameras operate on a network, expanding surveillance coverage by adding additional cameras is straightforward and does not require substantial infrastructure modifications.


Asia Pacific Smart Office Industry Overview

The Asia Pacific Smart Office is moderately competitive. Product launches, high expenses on research and development, partnerships, and acquisitions are the prime growth strategies adopted by the companies in the region to sustain the intense competition.

Additional Benefits:

- The market estimate (ME) sheet in Excel format
- 3 months of analyst support