Digital Twin for Construction Market Gains Momentum as AI, BIM and Smart Infrastructure Transform the Built Environment

The Digital Twin for Construction Market is gaining momentum as construction companies, building owners and infrastructure operators look to connect design data with real-world performance. According to Next Move Strategy Consulting, the market is forecast across 2025–2030, with rising urbanization, demand for green buildings and the development of smart infrastructure identified as major forces supporting adoption. The report also highlights artificial intelligence and machine learning as important opportunities for making digital twins more predictive and useful across the construction lifecycle.

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Market Growth and Outlook

A digital twin creates a digital representation of a physical building, infrastructure asset or construction process and connects that representation with data from the real world. Unlike a static 3D model, a connected digital twin can incorporate current information and support analysis of how an asset is performing or how it may respond to future changes.

The publicly available Next Move Strategy Consulting report does not currently disclose numerical market-size, forecast-value or CAGR figures, displaying placeholders for those metrics. Accordingly, no unsupported valuation is presented here. The report does establish 2025–2030 as the forecast period and identifies software, hardware and services as the principal offering categories. Applications covered include design and planning, construction and site monitoring, operations and maintenance, and performance optimization.

The broader technology environment is moving in the same direction. The UK government defines a digital twin as a digital representation of a real-world entity, environment or process that can exchange information with its physical counterpart and support decisions using data. Government research also identifies applications across the built environment and infrastructure, including monitoring, optimization and whole-life asset management.

Key Market Drivers

Rapid urbanization is creating pressure for more efficient planning and management of buildings and infrastructure. The World Bank reported in 2023 that approximately 56% of the world’s population, or 4.4 billion people, lived in cities, with nearly 70% projected to live in urban areas by 2050. More recently, World Bank analysis published in August 2026 estimated that 4.7 billion people, about 58% of the global population, live in urban areas today, with the share expected to exceed 70% by 2050.

Growing demand for sustainable buildings is another catalyst. Digital twins can combine design information, building-system data and operational information to help owners assess energy performance and make better decisions about maintenance and upgrades. The Next Move Strategy Consulting report identifies green-building demand as a major factor supporting market development.

Smart infrastructure investment is further increasing the value of digital representations of physical assets. The UK Department for Transport reported in October 2025 that digital twin technology could help infrastructure owners understand asset condition, determine when maintenance or renewal is necessary and guide future design.

Increasing use of BIM and connected construction technologies is also helping establish the data foundation required for digital twins. BIM models, sensors, drones, LiDAR scanners, cameras and IoT devices can collectively generate the information needed to keep a construction twin closer to the physical state of an asset.

Emerging Market Trends

A major trend is the integration of AI and machine learning with digital twins. Next Move Strategy Consulting identifies AI-driven analytics as an important opportunity, particularly for real-time simulation, predictive analysis and construction optimization. AI can allow project teams to evaluate scenarios, identify potential problems and analyze large volumes of project information more efficiently.

The market is also moving from BIM-based design models toward continuously updated lifecycle information. Trimble explains that construction digital twins can combine BIM and 3D models with scanning, surveying and IoT data, transforming conventional models into more dynamic representations of physical assets.

Digital handover and lifecycle management are becoming increasingly important. Autodesk’s Tandem platform is designed to carry data from design and construction into building operations, while its BIM Collaborate Pro updates introduced Tandem for AEC capabilities to help project teams create, maintain and hand over data-enriched digital twins.

Another trend is the development of interoperable digital ecosystems. Autodesk and the Nemetschek Group announced an agreement to advance interoperability between their platforms, enabling data to move across cloud and desktop environments and supporting workflows involving BIM, automation and AI.

Digital twins are also expanding beyond construction delivery into facility operations and infrastructure resilience. The UK government’s 2025 digital-twin definition explicitly includes building applications in which a twin can inform building-control systems, while infrastructure research is examining how connected digital models can help address aging assets, climate risks and cybersecurity concerns.

Regional Analysis

North America holds the dominant position in the Digital Twin for Construction Market, according to Next Move Strategy Consulting, and is expected to maintain its position during the forecast period. The report associates regional demand with green-building initiatives, technology adoption and the presence of established construction technology companies such as Autodesk and OpenSpace.

The Asia-Pacific market is expected to experience steady growth. Next Move Strategy Consulting links this outlook to rapid urbanization, infrastructure investment and increasing demand for smarter resource management. India and China are identified as important markets within the region.

The regional opportunity is reinforced by wider urban-development pressures. The World Bank expects much of future urban growth to occur in Asia and Africa, increasing the need for digital approaches that can improve planning, infrastructure management and sustainability.

Industry and Competitive Landscape

The competitive environment includes Siemens, Dassault Systèmes, Autodesk, AVEVA, Hexagon, Trimble, PTC, Ansys, IBM, Microsoft, Oracle, GE Vernova, Bentley Systems, Schneider Electric and ABB, according to the Next Move Strategy Consulting report. Companies are pursuing digital-twin growth through product development, cloud platforms, partnerships and acquisitions.

Recent developments illustrate the direction of the sector. Siemens and the Bavarian State Opera announced in June 2025 the development of a digital twin for Bavaria’s National Theater, using a 3D acoustic model to simulate sound effects and venue configurations. While the application is outside construction project management itself, it demonstrates how digital twins are increasingly being used to simulate complex physical environments before or alongside real-world operations.

“The digital twin for construction market is evolving from a visualization-oriented technology into a broader information and decision-making framework. The combination of BIM, real-time sensing, cloud platforms and AI is creating opportunities to connect design, construction and operations, while data quality, interoperability and implementation costs remain important considerations,” said a spokesperson at Next Move Strategy Consulting.

Market Report Overview

The Digital Twin for Construction Market report by Next Move Strategy Consulting covers the global market for 2025–2030, examining market drivers, restraints, opportunities, technology trends, regional developments and competitive dynamics. The report segments the industry by product/offering, application, end-user industry and region.

Product categories include software, hardware and services. Software encompasses digital twin platforms, simulation and visualization software, and BIM software, while hardware includes IoT sensors and smart devices, drones and LiDAR scanners, edge-computing devices and on-site twin controllers or hubs. Applications include design and planning, construction and site monitoring, operations and maintenance, and performance optimization. End users include residential buildings, commercial buildings, industrial facilities and infrastructure and civil projects.

 

About Next Move Strategy Consulting

Next Move Strategy Consulting is a market research and consulting company providing market intelligence, industry analysis, competitive insights, and strategic research across a wide range of industries and geographic markets.

As construction becomes increasingly data-driven, digital twins are positioned to play a larger role in connecting project information with real-world performance. Continued advances in AI, BIM interoperability, IoT sensing, cloud computing and lifecycle asset management will be important for contractors, developers, infrastructure owners, technology providers, investors and policymakers evaluating the next phase of digital construction.