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    Turning on the remote control

Inside the enterprise: Building automation could be the next growth area for IT, as companies look to save energy.

By Stephen Pritchard, 16 Dec 2010 at 10:52

Stephen Pritchard

At the IFA electronics trade fair in Berlin earlier this year, of the most intriguing exhibits was a home automation system developed by Harman Kardon, a maker of audio-visual equipment.

The technology allows home owners to control music, TV and video, lighting, security systems and even the curtains from a central control panel, or even an iPad. With flat panel speakers concealed in kitchen cupboards, the effect is all a bit James Bond.

In the UK and Europe, only a minority of home owners opt for this level of automation. Take up is higher in North America, where its higher percentage of more modern homes and more use of lighter-weight building materials makes installing the cabling easier. But Harman believes that demand for home automation will grow in both markets, especially for mid-range systems.

The real growth, though, is likely to come from systems that automate businesses' buildings. A study by ABI Research predicted that the nascent market for building automation will be worth more than $36 billion (£23 billion) by 2015.

Demand for building automation is being driven by better and more flexible technology, and by the businesses seeking to reduce their energy consumption and carbon footprints. Home and building automation systems now often run over standard IP networks using widely available Ethernet cabling. And the growing interest in home automation is driving up volumes and driving down the costs of key components such as switches and sensors.

Businesses are using automated building management systems to improve security and reduce staff overheads. But the largest driver is currently a desire to cut energy use. Building automation controls heating, lighting and air conditioning, and even equipment such as escalators or sliding doors. Turning these systems off when buildings are unoccupied, or even in parts of buildings, brings significant cost savings.

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