Across the building sector, facility managers, building owners, and system integrators are under pressure. From unpredictable energy costs and increasing sustainability targets to occupant expectations for healthier, safer, and more comfortable spaces, now more than ever, there is a need for future-forward methods to keep pace with these demands.

Yet too many building management systems (BMSs) are tied to the past, including how their software solutions are procured and managed. Traditional perpetual software licenses have been the industry norm, but in today’s environment, they can introduce costly limitations. For example, they may prevent you from getting fast access to the most up-to-date capabilities, critical upgrades, and the latest cybersecurity features. Meanwhile, the pressure to keep pace with smart building technology accelerates.

These demands are why the industry is shifting its focus. Recent analysis from Mordor Intelligence discovered that facility managers are increasingly adopting Software as a Service (SaaS) to simplify management of building system software. For example:

• SaaS is estimated to grow from $2.66B in 2025 to $4.97B by 2030
• 13.3% growth in subscription-based models is expected by 2030
• Nearly 60% of industrial businesses are now considering a subscription approach

The direction is clear: Software subscriptions are quickly becoming the path to creating and maintaining more efficient, secure, and future-ready building operations.

Why software subscription models make sense for modern buildings

Here’s why software license plans make sense:

1. Save time with simplified management
   From procurement to updates, subscription plans streamline software ownership. Automatic updates free up hours of manual work and reduce administrative burden.
2. Their flexibility and scalability help reduce complexity
   As building needs evolve, subscription plans make it easier to scale features at your own pace and upgrade without overhauling systems.
3. Manage expenses better
   Subscription plans shift costs to predictable OpEx rather than large upfront CapEx investments.
4. Rest easier with always-current software and security features
   Subscriptions ensure software, hardware, operating systems, and cybersecurity features are up-to-date, thereby reducing vulnerabilities and maintaining system reliability.
5. Future-proof your investments
   Subscription models help prepare your building for future advanced integrations (e.g., IoT devices and AI), ensuring today’s systems are ready for tomorrow’s innovations.
6. Increase occupant satisfaction
   With seamless updates and modern features, your BMS can ensure buildings are healthy and comfortable without downtime, helping drive productivity and tenant retention.

Unlock greater simplification with next-gen building operation software

Schneider Electric recognizes that modern building operations require more than incremental updates. They demand platforms that are secure, flexible, and designed for continuous evolution—and that’s the inspiration behind our EcoStruxure Building Operation 7.

Our subscription license plans simplify BMS modernization and system integration by offering:

• Flexible options: Choose from three tiers of functionality tailored to the system’s size and building requirements.
• Seamless upgrades: Easily migrate from our Building Operation (v1.9 and later) or some older BMSs in just a few clicks, saving hours of work and downtime risks.
• Scalability: Expand, upgrade, and renew licenses at any time; renewals can be easily incorporated into existing engineering service agreements.
• More convenience: Save time when you quote, activate, view, and manage software license configurations in a single pane of glass with our new EcoStruxure Power & Buildings Software Companion Portal.

Learn why EcoStruxure Building Operation 7 subscription plans can become the foundation for efficient, secure, and future-ready building operations.

About the author

Jesper Hansen, Global Product Manager

With a passion for innovation and technology in the built environment, Jesper has more than 30 years of international experience in creating and delivering state-of-the-art products and solutions. He is a hands-on, entrepreneurial, and engaging leader with a commitment to drive change and business growth. Prior to joining Schneider Electric in 2020, Jesper was head of customer products and portfolio management at Sony Mobile Communications in APAC, where he led product launches as well as new business model development and technical innovation in diverse areas including firmware updates over the air for mobile phones, wearable solutions for payment and access control, Bollywood music streaming service, enterprise assets tracking, and mHealth solutions. Since joining Schneider Electric as part of the offer management team, one of his missions is to drive the simplification of license models and the transition to subscription models.