One of the key challenges faced by construction companies during digitalization is limited access to data. This makes it difficult to integrate systems, reduces the quality of information and complicates the organization of efficient processes. The use of proprietary formats and closed software solutions is often at the root of these difficulties.
Unfortunately, until now, many programs used in the construction industry allow the user to save data exclusively in proprietary formats or cloud storage, which can only be accessed through strictly limited interfaces. And it’s not uncommon for these solutions to be built in reliance on even more closed systems from larger vendors. As a result, even those developers who would like to offer more open architectures are forced to comply with the rules dictated by the large vendors.
While modern construction data management systems increasingly support open formats and standards (Fig. 3.1-5), CAD- (BIM)-based databases and related ERP and CAFM systems remain isolated proprietary “islands” in the industry’s digital landscape (Fig. 3.2-11).
Closed and monopolized formats and protocols are not only a problem for the construction industry. In many sectors of the economy, the fight against closed standards and limited access to data started with slowing innovation (Fig. 3.2-12), the existence of artificial barriers to entry for new players and deepening dependence on large suppliers. With the rapid growth in the importance of data, competition authorities simply do not have time to respond to the challenges posed by new digital markets, and as a result, closed formats and restricted access to data essentially become digital “borders” that constrain the flow of information and growth (А. Boiko, “Lobbykriege um Daten im Bauwesen | Techno-Feudalismus und die Geschichte von BIMs,” 2024).
If machines produce everything we need, then our situation will depend on how these goods are distributed. Everyone will only be able to enjoy a life of prosperity if the wealth produced by machines is shared. Or most people will end up living in abject poverty if car owners can successfully lobby against the redistribution of wealth. So far, things seem to be going the second way, with technology leading to ever greater inequality (S. Hawking, “Science AMA Series: Stephen Hawking AMA Answers!,” July 27, 2015).
– Stephen Hawking, astrophysicist, 2015
As a result, due to closed access to databases programs, data managers, analysts, IT specialists and developers creating applications for data access, processing and automation in the construction industry today face numerous dependencies on software vendors (Fig. 3.2-13). These dependencies in the form of additional access layers require the creation of solutions with specialized API -connections and special tools and software.
An API (Application Programming Interface) is a formalized interface through which one program can interact with another, exchanging data and functionality without having to access the source code. An API describes what requests an external system can make, what format they should be in, and what responses it will receive. It is a standardized “contract” between software modules.
The large number of dependencies on closed solutions causes the entire code architecture and business process logic in a company to become a “spaghetti architecture” of tools that depend on the software vendor’s policy to provide quality access to data.
Dependence on closed solutions and platforms leads not only to loss of flexibility, but also to real business risks. Changing licensing terms, closing access to data, changing formats or API structure – all this can block critical processes. Suddenly it turns out that updating a single table requires reworking an entire block of integrations and connectors (Fig. 3.2-13), and any large-scale update to software or its API vendor becomes a potential threat to the stability of the entire company’s system.
Developers and system architects in such conditions are forced to work not for anticipation, but for survival. Instead of implementing new solutions, they adapt. Instead of developing, they try to maintain compatibility. Instead of automating and speeding up processes, they spend time on studying the next closed interfaces, API documentation and endless code rebuilding.
Working with closed formats and systems is not just a technical challenge – it is a strategic constraint. Despite the obvious opportunities offered by modern automation, AI, LLM and predictive analytics, many companies fail to realize their full potential. And the barriers erected by proprietary formats (Fig. 3.2-13) deny businesses access to their own data. This is perhaps the irony of digital transformation in construction.
Data transparency and open systems are not a luxury, but a prerequisite for speed and efficiency. Without openness, business processes are filled with unnecessary bureaucracy, multi-layered approval chains and a growing dependence on the HiPPO principle – making decisions based on the opinion of the highest paid person.
Nevertheless, a paradigm shift is forming on the horizon. Despite the dominance of proprietary solutions, more and more companies are realizing the limitations of Fourth Industrial Revolution-inspired architectures. Today, the vector is shifting toward the principles of the Fifth Revolution, which centers on data as a strategic asset, open interfaces (APIs), and true interoperability between systems.
This transition marks a shift away from closed ecosystems towards flexible, modular digital architectures where open formats, standards and transparent data exchange are key.
