AI is in use in construction as both CAI's latest story and this month's news roundup attest. In the news, construction companies are using AI to cut waste and fraud, improve safety, expedite projects and manage complexity. Investment continues even as Microsoft cancels a major data center project. Some even predict 2025 will be the year AI revolutionizes construction. 

AI in Construction

How the Construction Sector Is Using AI to Cut Waste and Fraud

Artificial Intelligence plays an increasing role in improving efficiency, transparency, and combating corruption in construction procurement. … AI can enhance planning, help detect corruption and bid rigging and improve contractor decision-making. However, these technologies also pose risks, such as enabling collusion and reducing competition, especially for smaller firms lacking access to such tools. Responsible adoption and robust oversight are crucial …. The key is balancing innovation with integrity in procurement systems. Harvard Business Review: https://hbr.org/2025/04/how-the-construction-sector-is-using-ai-to-cut-waste-and-fraud

Boston Construction Firm Leverages AI to Keep Workers Safe

Boston-based construction management firm Shawmut uses AI-powered software connected to workers’ phones in safety program. A spokesman says the strategy has been invaluable in creating safer operations while prioritizing growth and efficiency. Business Insider: https://www.businessinsider.com/ai-for-worker-site-safety-in-construction-2025-4

Ten ways AI is expediting construction projects in the processing industry

Like most construction megaprojects, processing projects have scaled up in complexity while offsetting that complexity using tools such as computer-aided design (CAD), building information modeling (BIM) and project management software. The bad news for the processing industries is that complexity has been outpacing the implementation of productivity tools—however, this may be about to change. … The exponential improvement offered by AI rests on its ability to use advanced algorithms and real-time monitoring to dramatically address and mitigate multiple risk categories. Hydrocarbon Processing: https://www.hydrocarbonprocessing.com/news/2025/04/digital-exclusive-ten-ways-ai-is-expediting-construction-projects-in-the-processing-industry/

Construction Giant Eiffage Makes e-Learning Mandatory for AI Access

European construction giant Eiffage has taken an unusual approach to its Google Cloud-powered AI implementation: making an 80-minute e-learning course mandatory for anyone who wants to use the company's secure generative AI tools. Diginomica: https://diginomica.com/construction-giant-eiffage-makes-e-learning-mandatory-ai-access-google-cloud-partnership

 

Projects

Energy selects 16 sites for AI data center construction, new energy development

The Department of Energy is moving forward with some of the Trump administration’s plans to support both artificial intelligence infrastructure development and energy production, identifying 16 public land sites for potential construction. Some of these sites include in-place energy infrastructure, which will expedite the requisite permitting needed to begin research on new forms of energy generation, such as fusion. NextGov/FCW: https://www.nextgov.com/artificial-intelligence/2025/04/energy-selects-16-sites-ai-data-center-construction-new-energy-development/404272/

Meta To Invest Up To $65 Billion This Year To Power AI Goals

Meta Platforms plans to spend between $60 billion and $65 billion this year to build out AI infrastructure, CEO Mark Zuckerberg said on Friday, joining a wave of Big Tech firms unveiling hefty investments to capitalize on the technology. USA Today/Reuters: https://www.usatoday.com/story/money/2025/01/24/meta-ai-investment-65-billion/77929240007/

Microsoft Cancels $1Bn Data Center Planned in Ohio

Microsoft had chosen a site in Licking County, Ohio, near Columbus to build $1 billion worth of data centers. However, the company now reports that those plans will not move forward. Unmentioned in the announcement were tariffs and cooling interest in generative AI. But Intel is still planning to build a chip plant there.  MSN: https://www.msn.com/en-us/money/news/microsoft-cancels-1bn-data-center-planned-in-ohio-suggests-they-use-land-for-farms/ar-AA1CBIrJ?cvid=e81a668e140443dc93a9964bbe3cab8b&ei=64

Analysts Warn of AI Cooling with Microsoft Cancellation of AI Datacenter Leases

Microsoft's cancellation of a handful of U.S.-based AI datacenter leases last week has some analysts concerned about the future of generative AI. Investment firm TD Cowen posted a message on X that said Microsoft had halted contracts with two private datacenters "totaling a couple of hundred MWs" that had been used to power the company's generative AI efforts. Microsoft backed out of the contracts citing issues with power delays in the datacenters as a breach of contract. Redmond: https://redmondmag.com/Articles/2025/02/24/Analysts-Warn-of-AI-Cooling.aspx

Can Artificial Intelligence Help LA Rebuild?

CEO of Coastal Construction Patrick E. Murphy joined ABC News Live to discuss how artificial intelligence might be able to help Los Angeles rebuild after the devastating wildfires. (video) ABC News: https://abcnews.go.com/Technology/video/artificial-intelligence-la-rebuild-118106603

 

Investment

AI construction management startup receives Series A funding

Lumber, the AI-powered construction workforce management platform, announced a $15.5 million Series A funding round led by Foundation Capital, with participation from Tishman Speyer, Carbide Ventures, 8VC, Sure Ventures, and FirsthandVC. Woodworking Network: https://www.woodworkingnetwork.com/news/woodworking-industry-news/ai-construction-management-startup-receives-series-funding

 

Vendor Perspectives

Why 2025 is the year AI will revolutionize construction

While construction’s cultural barriers may have slowed AI adoption, two major technological challenges have previously held back AI’s potential for the sector, and therefore likely reduced its use. 2025 will be the year construction overcomes these challenges and AI becomes a true asset. What changed? Multi-modality, reduced data demands, and agentic AI. Global Construction Review: https://www.globalconstructionreview.com/why-2025-is-the-year-ai-will-revolutionise-construction/

 How Smart Construction Can Improve Worker Efficiency

Smart construction is not about eliminating the operator; it’s about making them better at their job. One of the most pressing challenges in the construction industry is the worsening shortage of skilled labor. The lack of inflow will be markedly exacerbated by the fact that 41% of the current workforce is expected to retire by 2031. This shortage leaves contractors with a difficult problem: How to keep projects going. … Automation isn't there to replace workers but to augment their skills. ForConstructionPros.com: https://www.forconstructionpros.com/business/labor-workforce-development/article/22933631/xpanner-how-smart-construction-can-improve-worker-efficiency

How Technology is Building a Safer Construction Environment

A new era of artificial intelligence and machine learning is transforming how we perceive and manage workplace safety. Imagine a system that could predict when and where safety risks are likely to occur on the job site the same way a navigational GPS flags potential traffic hazards or delays on the road ahead. This is the promise of today’s predictive analytics and tools. ForConstructionPros.com: https://www.forconstructionpros.com/business/business-services/coaching-consulting/article/22937118/oracle-how-technology-is-building-a-safer-construction-environment