Smart Windows Market to Reach $5.3 Billion by 2020
The global market for smart windows is about $2.3 billion today, and is anticipated to grow to $4.7 billion by 2018 and $5.3 billion by 2020, according to “Worldwide Smart Windows Markets 2013-2020,” a new report from NanoMarkets. Smart windows reportedly still have to overcome a perception problem, as many architects and construction firms tend to view smart windows as expensive and low performing. In addition, many smart windows companies are misreading the recovery in the real estate markets around the world, which may turn out to be temporary. If this is the case, smart windows firms may overinvest and see a rapid decline in profitability if real estate markets go into a slump again.
The fastest growing market for smart windows will be for active smart window glass. This market is already just over $1 billion, and is expected to reach $2.7 billion by 2018. Active glass windows combine the transparency of glass with full control of both light and heat, and can be used both for buildings and vehicles.
While the U.S. will continue to be the largest market for smart windows, the greatest growth opportunities in the smart windows sector are expected to be found in China. Currently, the market for smart windows in China is around $285 million, growing to $740 million in 2018. Many of the new commercial buildings in China are LEED-certified, making them very suitable for smart windows use. In addition, these buildings are designed by large Western architectural firms with a strong familiarity with smart windows.
The Chinese market for luxury cars—the kind of car most likely to use smart windows—is also growing quickly and is predicted to soon overtake the U.S. market. By 2020, China is expected to account for 23.8% of the smart windows market in cars and light automobile vehicles, followed by the U.S. at 21.8%. It also seems likely that as smart windows technology is transferred to China, new Chinese smart windows firms will begin to emerge.
For additional information, visit www.nanomarkets.net.