While investment in infrastructure, data centers, and public projects are booming, the global construction industry is being increasingly threatened by mounting inefficiencies, spiraling budgets, and costly rework-challenges driven by outdated practices and disconnected technologies that hinder collaboration.
These are the findings of the research of Revizto, the leading integrated collaboration platform for architecture, engineering, construction and operations (AECO). It valued the global construction industry at $13 trillion.
“The construction sector is at a pivotal moment. With governments investing billions in infrastructure and the global market projected to reach $22 trillion by 2040, the opportunity is immense – but so is the risk. Our research shows that outdated practices and fragmented project delivery are costing the industry and public billions, underscoring the urgent need for smarter, more collaborative ways of working to help reduce waste and reworks on essential and complex projects,” said Arman Gukasyan, founder and CEO of Revizto.
The inaugural global study titled “Bridging the Gap: 2025 Digital Design and Construction Report” reveals a staggering 92 percent of global AECO professionals see significant budget changes during construction, despite contingency funds being built in. The most common increase is 11 to 20 percent above the original estimate, a reality faced by 42 percent in the US and 51 percent in the UK.
The report found that 41 percent of global industry leaders identify infrastructure as the top growth area in design and construction, yet 56 percent say change orders, client changes and scope creep are the primary causes of costly project rework. Closely followed by unexpected site challenges (53 percent) and design errors (45 percent).
Despite notable innovation and success among early adopters, technology uptake in construction remains limited, falling short of the industry’s broader ambitions. While 63 percent of AECO professionals are closely following technological developments in artificial intelligence (AI) and automation, technology integration and adoption was the most frequently-cited business challenge, with 27 percent of teams still relying on outdated tools like email, Excel, and PDFs for project delivery.
With global construction spend projected to hit $22 trillion by 2040, the opportunity is vast, but despite growing awareness of the problem, the sector is struggling to close the gap between technological ambition and operational reality. The report highlights a clear appetite for innovation, with the majority of industry leaders seeking solutions to bridge the gap.
