2025
WRAPPED!
TRENDS
DYNAMICS
INNOVATION
TRENDS
DYNAMICS
INNOVATION
Adoption Drivers: Lower hardware costs, better
connectivity, and AI analytics.
Edge Intelligence: IoT gateways enabling local processing,
protocol translation, & IT/OT integration.
Energy Benefits: Edge AI delivers HVAC energy reduction
in real-world implementations.
IOT DEVICES
IOT PLATFORMS
Integration Layer: Platforms convert fragmented building
system data into actionable intelligence.
Core Infrastructure: Evolved from optional add-ons to
essential building infrastructure components.
3 Categories: Foundational Cloud IoT, Data Integration
Platforms, and purpose-built BIoT solutions.
ARTIFICIAL INTELLIGENCE
Software Commoditization: AI makes software functionality a
commodity, eliminating SaaS as competitive differentiator.
Outcomes as a Service: Shift from selling software to delivering
measurable results and performance outcomes.
Embedded Service Models: Software becomes invisible
component of broader service delivery rather than a standalone
product.
TRENDS
DYNAMICS
INNOVATION
US Market: Office vacancy rates at 19.8% by end 2024.
Leasing activity 30% below pre-pandemic levels
European Market: More resilient at 8.8% vacancy rate
Recovery Stalled: Leasing activity remains about 30% below
pre-pandemic levels
THE WORKPLACE IS CHANGING
REGULATORY PRESSURE
INTENSIFIES
EPBD: 16% worst-performing non-residential buildings
must be renovated by 2030, reaching at least Class F
EU Member States have until May 2026 to transpose
EPBD requirements into national law
CSRD: Mandatory for large companies from 2024
financial year
IT/OT Convergence: Major differences between IT and OT
systems create challenges in managing cyber risk for smart
buildings
IT Service Providers: Network security, data management, &
system integration
Leverage existing infrastructure for building automation,
energy management, & security systems
IT MANAGED SERVICES: THE
BUILDING TECHNOLOGY BRIDGE?
TRENDS
DYNAMICS
INNOVATION
$3.1 billion across 126 funding rounds
13% decline, down from 145 rounds
BUT Average size of Seed & Series A Rounds is Up
H1 2025 INVESTMENT
H1 2025 ACQUISITIONS
42 startups acquired in H1 2025
60% increase on H1 2024
Why?
ROUTES TO EXIT
IPOs remain scarce.
Dominant path is still strategic acquisition
Equity buy-and-build is 2nd major route
Thank
You!

Smart Buildings 2025 Wrapped! The Rise of Outcomes-as-a-Service

  • 1.
  • 2.
  • 4.
  • 7.
    Adoption Drivers: Lowerhardware costs, better connectivity, and AI analytics. Edge Intelligence: IoT gateways enabling local processing, protocol translation, & IT/OT integration. Energy Benefits: Edge AI delivers HVAC energy reduction in real-world implementations. IOT DEVICES
  • 9.
    IOT PLATFORMS Integration Layer:Platforms convert fragmented building system data into actionable intelligence. Core Infrastructure: Evolved from optional add-ons to essential building infrastructure components. 3 Categories: Foundational Cloud IoT, Data Integration Platforms, and purpose-built BIoT solutions.
  • 11.
    ARTIFICIAL INTELLIGENCE Software Commoditization:AI makes software functionality a commodity, eliminating SaaS as competitive differentiator. Outcomes as a Service: Shift from selling software to delivering measurable results and performance outcomes. Embedded Service Models: Software becomes invisible component of broader service delivery rather than a standalone product.
  • 13.
  • 15.
    US Market: Officevacancy rates at 19.8% by end 2024. Leasing activity 30% below pre-pandemic levels European Market: More resilient at 8.8% vacancy rate Recovery Stalled: Leasing activity remains about 30% below pre-pandemic levels THE WORKPLACE IS CHANGING
  • 17.
    REGULATORY PRESSURE INTENSIFIES EPBD: 16%worst-performing non-residential buildings must be renovated by 2030, reaching at least Class F EU Member States have until May 2026 to transpose EPBD requirements into national law CSRD: Mandatory for large companies from 2024 financial year
  • 18.
    IT/OT Convergence: Majordifferences between IT and OT systems create challenges in managing cyber risk for smart buildings IT Service Providers: Network security, data management, & system integration Leverage existing infrastructure for building automation, energy management, & security systems IT MANAGED SERVICES: THE BUILDING TECHNOLOGY BRIDGE?
  • 19.
  • 21.
    $3.1 billion across126 funding rounds 13% decline, down from 145 rounds BUT Average size of Seed & Series A Rounds is Up H1 2025 INVESTMENT
  • 23.
    H1 2025 ACQUISITIONS 42startups acquired in H1 2025 60% increase on H1 2024 Why?
  • 25.
    ROUTES TO EXIT IPOsremain scarce. Dominant path is still strategic acquisition Equity buy-and-build is 2nd major route
  • 26.