AI and acquisitions reshape smart building market
Artificial intelligence, data center investment and major acquisitions are reshaping the global smart building industry. Recent developments highlight growing connections between building automation, digital infrastructure and energy management.
According to Honeywell’s official announcement, AI agents and digital twins are moving into building operations. Meanwhile, infrastructure investments and acquisitions reflect wider changes across the sector.
AI moves deeper into building operations
Honeywell has introduced Forge Cognition, combining AI agents and digital twins to support facility management. Developed using technologies from NVIDIA and Dell Technologies, the platform can help operators manage alarms, monitor equipment and identify maintenance requirements.
Honeywell is also piloting the technology at the Fairmont Hotel in Dubai. More details are available in our recent coverage of Honeywell Forge Cognition.
Meanwhile, Akila and ThinkDeep are participating in the next phase of a digital twin and AI program in France. The initiative covers more than 200 public sites in the Côte-d’Or department.
Data center investment accelerates
Siemens has announced a strategic investment in Skeleton Technologies. According to Skeleton Technologies, the investment supports expanded manufacturing and research activities for AI data center power systems. The technology addresses rapid changes in power demand associated with AI computing workloads.
Also, CBRE has agreed to acquire Onnec, a provider of data center infrastructure services. The agreement includes an initial payment of approximately $610 million and potential additional payments of up to $400 million. The acquisition remains subject to regulatory approval.
Three trends shaping the smart building market
AI-driven operations – AI agents and digital twins are supporting building management, alarm prioritization and predictive maintenance.
Data center investment – Siemens’ investment in Skeleton Technologies and CBRE’s planned acquisition of Onnec highlight growing activity in digital infrastructure.
Energy efficiency – AI-based energy management, remote resource monitoring and HVAC optimization remain important areas of investment.
Energy management remains a priority
Energy efficiency continues to attract investment across the smart building market. Germany’s 1KOMMA5° plans to invest approximately $116 million in AI during 2027, according to Memoori’s analysis. Its Heartbeat AI platform already manages more than one gigawatt of capacity.
Finnish company Smartvatten has reported revenue of approximately $24 million. Its remote monitoring solutions have also helped save 2.4 million cubic meters of water, according to Memoori.
In France, Siemens and Voltalis are developing a model that uses HVAC flexibility to finance part of building management system project costs. Together, these developments illustrate how AI, infrastructure investment and resource efficiency are becoming increasingly connected within the smart building industry.
