The global smart elevator market size was valued at USD 10.8 billion in 2023 and is projected to reach USD 17.34 billion by 2030, growing at a CAGR of 7.2% from 2024 to 2030. A key factor driving this growth is the increasing awareness of energy consumption, which is prompting a transition from conventional elevator systems to more energy-efficient smart elevators.

The adoption of gearless permanent magnet synchronous (PMS) traction machines in new installations is gradually rising due to their superior efficiency, which is approximately 50% higher than that of traditional geared machines. In addition, smart elevators often feature regenerative drive mechanisms, which not only reduce energy consumption by up to half but also have the ability to feed excess energy back into the building’s power supply, contributing to overall energy savings.

The market is further propelled by the growing demand for automation, energy efficiency, and advanced security features in modern buildings. The integration of Internet of Things (IoT) and artificial intelligence (AI) technologies into elevators has enhanced automation capabilities, resulting in more efficient operations, shorter wait times, and optimized traffic management during peak usage periods. Additionally, the increasing emphasis on sustainable building practices and energy conservation is encouraging developers and building owners to adopt smart elevator solutions. These energy-efficient systems provide substantial cost savings, reduce environmental impact, and support the creation of smarter, greener, and more technologically advanced urban infrastructure.

Key Market Trends & Insights:

• The Asia Pacific smart elevator market dominated the global smart elevator industry in 2023, capturing a revenue share of 43.3%. This strong regional presence is largely driven by rapid urbanization, extensive infrastructure development, and the growing adoption of energy-efficient and technologically advanced building solutions across commercial and residential sectors. Countries in this region are increasingly prioritizing smart building technologies, which has contributed to the high demand for smart elevators.

• Within Asia Pacific, the smart elevator market in China is expected to grow rapidly in the coming years. This growth is fueled by large-scale commercial and residential construction projects, government initiatives promoting green building practices, and the rising focus on energy-efficient and automated vertical transportation solutions. China’s expanding urban population and modernization of high-rise buildings further support the adoption of smart elevator systems.

• By component, the communication systems segment dominated the market in 2023 with a revenue share of 36.7%. Communication systems are integral to smart elevators, enabling seamless integration with building management systems, improving operational efficiency, enhancing passenger information services, and supporting real-time monitoring for maintenance and safety purposes.

• By application, the commercial segment held the largest revenue share of 47.2% in 2023. The high adoption in commercial buildings is driven by the need for efficient vertical transportation in offices, shopping centers, hotels, and hospitals, where smart elevator technologies help reduce wait times, optimize energy usage, and enhance passenger safety and convenience. This trend reflects the increasing prioritization of productivity, sustainability, and user experience in commercial infrastructure projects across the region.

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Market Size & Forecast:

• 2023 Market Size: USD 10.8 Billion

• 2030 Projected Market Size: USD 17.34 Billion

• CAGR (2024-2030): 7.2%

• Asia Pacific: Largest market in 2023

Key Companies & Market Share Insights:

Some of the key companies operating in the global smart elevator market include Bosch Security Systems, LLC.; FUJITEC CO., LTD.; Hitachi, Ltd.; HYUNDAIELEVATOR CO., LTD.; KONE Corporation Finland; and Mitsubishi Electric Corporation, among others. Leading players in the market are increasingly leveraging IoT and AI technologies to enhance elevator performance, improve passenger experience, and optimize energy efficiency. These companies drive innovation through continuous product development, strategic partnerships, and expanded service offerings. At the same time, new entrants are introducing specialized solutions, creating a competitive environment that accelerates technological advancements across various sectors.

Robert Bosch GmbH is a prominent provider of technology and services with a strong focus on innovation, sustainability, and enhancing quality of life. The company operates across multiple sectors, including mobility solutions, industrial technology, consumer goods, and energy and building technologies. In the smart elevator market, Bosch focuses on integrating advanced security, automation, and connectivity solutions to improve elevator efficiency, reliability, and user convenience.

PHINIA Inc. specializes in providing premium solutions and components, particularly in fuel systems and aftermarket products. With over 100 years of manufacturing expertise and well-established industry relationships, the company primarily focuses on developing sustainable solutions for internal combustion engines. Additionally, PHINIA invests in alternative fuel technologies and innovative energy solutions to support the transition toward carbon neutrality, demonstrating its commitment to sustainability and environmentally responsible practices, which aligns with broader trends in smart building and elevator technologies.

Key Players

• Bosch Security Systems, LLC.

• FUJITEC CO., LTD.

• Hitachi, Ltd.

• HYUNDAIELEVATOR CO.,LTD.

• KONE Corporation Finland

• Mitsubishi Electric Corporation

• Otis Worldwide Corporation

• Schneider Electric

• TK Elevator

• Schindler

• Toshiba Elevator and Building Systems Corporation

• Honeywell International Inc.

• Siemens

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Conclusion:

The Grand View Research report finds that the global smart elevator market is poised for continued growth as building owners and developers increasingly adopt advanced elevator technologies. Key factors driving this expansion include rising demand for energy efficient and automated vertical transportation systems, integration of IoT and AI for improved operational performance, and ongoing construction of high rise and commercial buildings. Enhanced features such as predictive maintenance, real time monitoring, and improved safety and security capabilities are strengthening the appeal of smart elevators in modern infrastructure, contributing to broader adoption across regions.