Smart Buildings

The Smart Building ‘Future Proofing’ Opportunity

Most operational systems in buildings, from lighting to HVAC, last at least 10-15 years, and perhaps more. While there are ongoing maintenance costs to operate these systems, those ongoing expenses are small compared to the costs to replace core systems. Smart building technology can extend equipment life and improve performance, but vendors often run into a different challenge: common budget cycles are not aligned with acquiring cloud based technology. The trade-off of increasing annual operating costs (for ongoing software licenses) to reduce longer-term capital costs (of purchasing new equipment) may not be viewed favourably. Some vendors struggle to convince building owners and operators to invest in their technology due to these increases in operating costs, Vendors may be more successful if they pitch the future-proofing benefits: specifically, that the technology can prevent or mitigate vendor lock in. Memoori has covered the ”lock in” issue in the past, highlighting the opportunities created by 3-D printing and […]

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