Artificial Intelligence (AI) in Construction Market – Global Industry Size, Share, Trends, Opportunity, and Forecast Segmented by Application (Planning and Design, Safety, Autonomous Equipment, Monitoring, And Maintenance), By Region, By Competition. 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 7.76 Billion
CAGR (2026-2031)	19.87%
Fastest Growing Segment	Safety
Largest Market	North America
Market Size (2031)	USD 23.02 Billion

Market Overview

The Global Artificial Intelligence (AI) in Construction Market will grow from USD 7.76 Billion in 2025 to USD 23.02 Billion by 2031 at a 19.87% CAGR. Artificial intelligence in construction involves the application of machine learning, robotics, and predictive analytics to optimize project planning, design, and execution workflows. The market is primarily driven by the critical need to reduce project costs and adhere to strict timelines, effectively addressing the financial risks associated with operational delays. Additionally, the sector relies on these automated systems to improve job site safety standards and mitigate the impact of a shrinking skilled workforce by augmenting labor-intensive processes.

However, a significant challenge impeding broader market expansion is the difficulty of integrating these tools with legacy systems and the high cost of implementation, which prevents many companies from advancing beyond initial testing stages. This barrier to full adoption is evident in recent industry benchmarks. According to the Royal Institution of Chartered Surveyors, in 2025, 45% of organizations reported no artificial intelligence use, with only 1% having scaled these technologies across their projects. This statistic underscores the persistent gap between technological interest and successful enterprise-level execution.

Key Market Drivers

The chronic shortage of skilled labor significantly accelerates the deployment of artificial intelligence as companies seek to maintain output with reduced headcounts. With experienced professionals retiring and fewer entrants joining the trades, construction firms are increasingly relying on AI-driven robotics and automated project management tools to bridge the widening workforce gap. This technology allows fewer workers to accomplish complex tasks, ensuring project continuity despite personnel deficits. A distinct urgency surrounds this driver; according to the Associated General Contractors of America, August 2025, in the '2025 Construction Workforce Survey', 92% of construction firms reported struggling to find qualified candidates to hire. Consequently, automation has shifted from a luxury to a strategic necessity for survival in a labor-constrained environment.

Concurrently, the critical need for improved operational efficiency and productivity compels stakeholders to adopt predictive analytics and machine learning solutions. Inefficiencies such as design clashes and data silos frequently lead to costly errors that artificial intelligence can preemptively identify and resolve. According to Procore Technologies, April 2025, in the 'Future State of Construction Report', 28% of total project time is currently wasted due to rework, presenting a massive financial opportunity for AI to reclaim lost value. This potential for optimization resonates across the industry, driving investment despite integration challenges. According to Autodesk, in 2025, 68% of industry leaders believe AI will significantly enhance the construction sector, reflecting a strong consensus on its role in future operations.

Download Free Sample Report

Key Market Challenges

The high cost of implementation and the complexity of integrating artificial intelligence with legacy systems serve as a primary impediment to the expansion of the Global Artificial Intelligence (AI) in Construction Market. Construction projects operate on tight margins and strict schedules, making the substantial upfront investment required for AI adoption a prohibitive risk for many firms. The integration process often demands significant downtime and the restructuring of established data pipelines, which conflicts with the industry's need for continuous, uninterrupted site operations. Consequently, firms frequently stall at the pilot phase, as scaling these solutions requires a financial and operational resilience that many enterprises lack.

This inability to allocate necessary resources for integration is reflected in recent industry data. According to the Associated General Contractors of America, in 2024, 43% of contractors cited the difficulty of finding the time to implement and train on new technology as a significant challenge. This statistic illustrates that the barrier is not merely the purchase price of software but the costly disruption of workforce productivity required to integrate these tools into daily workflows. As a result, the market faces a persistent ceiling on growth, where the theoretical value of AI is overshadowed by the practical and financial burdens of deployment.

Key Market Trends

Widespread adoption of generative AI is fundamentally reshaping the pre-construction phase by enabling architects and engineers to autonomously generate thousands of design alternatives based on specific constraints such as cost, material efficiency, and spatial requirements. Unlike traditional methods that rely on manual iteration, this technology enhances decision-making speed and optimizes structural integrity while minimizing material waste early in the project lifecycle. This shift towards automated design intelligence is gaining substantial momentum as firms seek to leverage data for competitive advantage. According to Utility Contractor Magazine, November 2024, in the 'Trimble 2025 Construction Industry Outlook', 59% of survey respondents identified artificial intelligence and machine learning as the most significant trends impacting their operations for the upcoming year.

Concurrently, the market is witnessing a robust integration of AI solutions specifically targeted at sustainability and carbon footprint reduction, driven by increasingly stringent environmental regulations and green building standards. These tools utilize advanced algorithms to monitor energy consumption patterns and predict the environmental impact of material choices throughout the asset lifecycle, moving beyond simple compliance to active carbon management. This green transformation is becoming a core operational focus for many enterprises as they align with global decarbonization goals. According to Autodesk, July 2025, in the '2025 State of Design & Make: Spotlight on Construction' report, 63% of construction organizations are currently leveraging artificial intelligence to advance their sustainability initiatives, highlighting the critical role of technology in achieving net-zero targets.

Segmental Insights

The Safety segment currently represents the fastest-growing area in the Global AI in Construction Market, propelled by stringent regulatory pressure and the imperative to minimize onsite fatalities. Industry participants are rapidly integrating computer vision and sensor-based systems to ensure adherence to protocols established by organizations like the Occupational Safety and Health Administration (OSHA). By autonomously detecting hazards—such as PPE non-compliance or structural risks—these tools allow companies to transition from reactive reporting to proactive risk mitigation. Consequently, firms are prioritizing these investments to safeguard workforces and protect profit margins from liability-related losses.

Regional Insights

North America leads the Global Artificial Intelligence in Construction Market, driven by the widespread adoption of digital technologies and significant public infrastructure investments. The region benefits from a mature ecosystem of major software developers and construction firms that prioritize operational efficiency. Strategic government initiatives, such as the Infrastructure Investment and Jobs Act, have accelerated project volumes, necessitating advanced AI tools for scheduling and resource management. Furthermore, stringent safety regulations compel the industry to utilize AI-powered risk assessment and predictive analytics to ensure compliance and worker protection on job sites.

Recent Developments

• In November 2024, Procore Technologies introduced a comprehensive suite of artificial intelligence capabilities known as Procore AI during its global industry conference. The launch included new AI-powered agents and a copilot feature engineered to streamline construction management by automating routine administrative tasks, such as scheduling and managing requests for information. The platform leverages a vast dataset to provide predictive insights, enabling project teams to benchmark performance and proactively mitigate risks. This innovation aims to transform project execution by reducing manual workloads, allowing construction professionals to focus on high-value decision-making and efficient project delivery.
• In October 2024, Bentley Systems launched OpenSite+, a new engineering application that leverages generative artificial intelligence to revolutionize civil site design. Unveiled during the company’s annual infrastructure conference, this solution was designed to automate repetitive tasks such as site layout optimization and drawing production. The tool allows engineers to deliver residential and commercial projects significantly faster than traditional methods while maintaining strict control over proprietary data. This development marked a major milestone in the company’s strategy to apply AI capabilities to the design phase of the infrastructure lifecycle, thereby boosting productivity and ensuring greater accuracy in project delivery.
• In July 2024, Trimble announced the expansion of its long-standing strategic partnership with Esri to deepen the integration of geographic information system (GIS) technology with construction solutions. This enhanced collaboration focused on leveraging artificial intelligence and location intelligence to optimize infrastructure planning, construction, and operations. By improving the interoperability between their platforms, the companies aimed to automate workflows and support better decision-making for customers in sectors such as transportation and utilities. The initiative was designed to enable organizations to utilize high-quality field data more effectively, fostering smarter and more sustainable asset lifecycle management practices.
• In March 2024, Autodesk advanced the integration of generative artificial intelligence across its extensive portfolio to enhance workflows in the architecture, engineering, and construction sectors. The company highlighted the deployment of new AI-powered capabilities designed to automate complex processes and predict project outcomes. Specifically, the organization introduced a machine learning tool within its water infrastructure software that enables designers to accurately predict flood maps and mitigate water-related disasters. This strategic infusion of AI aims to help industry professionals optimize designs, improve safety standards, and manage construction risks more effectively through data-driven insights and automated context-aware actions.

Key Market Players

• Autodesk Inc.
• Building System Planning Inc.
• Smartvid.io Inc.
• Doxel Inc.
• Bentley Systems Inc.
• PTC Inc.
• IBM Corporation
• NVIDIA Corporation
• Oracle Corporation

By Region

North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Artificial Intelligence (AI) in Construction Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Artificial Intelligence (AI) in Construction Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE