Modern Contractor Solutions January 2025 - 26

technology solution
INDUSTRY FORECAST
Construction Tech
Predictions for 2025
trends to watch in the
new year and beyond
By Troy Dahlin
F
or too long, contractors have been
focused on the headwinds their industry
faces - and to be sure, there have
been many. However, 2025 will be marked
by an improving mood - great news for the
construction industry.
But there's even more to celebrate here. A
better mood comes with the added benefit of
increased investments. While contractors are
bullish on the opportunities before them, they
are more open to investing after tightening
their wallets and holding off on purchases
over the past six to 12 months.
Those investments will center on
technology and solutions that bolster the
productivity and safety of their people and
assets. Contractors will prioritize investments
aimed at enhancing productivity and
decreasing costs.
Although the increase in inflation has
slowed, construction costs remain higher than
ever, and contractors will remain cautious
despite their bullish outlook. Given that the
industry is still struggling to attract talent,
technology that helps contractors do more
with less while ensuring jobs are safely
completed on time and according to budget
will be as critical as ever.
Despite the headwinds, there is reason
for optimism, if not outright euphoria. The
industry is on the precipice of incredible
innovation, and 2025 could be the most
26
JANUARY 2025
exciting year for contractors and the
construction industry.
A YEAR OF EXPERIMENTATION
While the construction industry has
traditionally been slow to adopt new
technologies, companies are more open than
ever to experimenting. In the year ahead,
contractors will continue this trend, scouting
and deploying solutions that help them tackle
the challenges stemming from a prolonged
labor shortage and rising costs.
We can't ignore the industry's shrinking
labor pool. Fewer people in the trade
follow traditional methods each year, and
many operate machines without a deeper
understanding of their intricacies.
Data sharing will continue to emerge as
a powerful tool for ensuring that jobs are
completed according to specification and that
minimal rework is required.
Perhaps most exciting, companies will
continuously emphasize their research
and development apparatuses to find
new approaches to long-standing issues.
Newcomers are spurring the industry
forward, bringing new approaches and
thought processes.
Instead of looking at research that didn't
work as failures or missed opportunities, they
will see it as educational and helping them
understand what doesn't work, so they can
focus on solutions that likely will. They will use
these experiences to explore new approaches
to the modern job site.
ELECTRIFICATION AND
ALTERNATIVE FUELS
The drive toward electric and alternative-fuel
vehicles has been a hot topic, though the
construction industry has yet to fully embrace
them. While electric vehicles are improving,
it will be some time before the entire industry
transitions to all-electric fleets.
The challenge for all-electrification remains
the battery's seven-and-a-half or eight-hour
lifespan. The focus has been on machine
aspects, such as lifting power, durability, and
the undercarriage.
The industry will likely maintain diesel or
hybrid fleets until batteries reliably work for
12 hours straight or can be charged quickly to
enable another six hours of work.
Multiple industries are exploring alternative
fuels, including railroads testing hydrogen
locomotives. While there is interest, these new
vehicles need to meet the needs of end users.
Companies will continue investing in R&D
to explore electrification and alternative fuels,
such as natural gas, propane, or another
source. Concurrently, companies will continue
to electrify components where it makes
sense and power larger equipment using
diesel motors.
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Modern Contractor Solutions January 2025

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