How Is AI Used in Construction? | 2025 Guide for Contractors

Mar 14, 2025

David Brennan MBA

a tablet with a 3D model of a building displayed on the screen
a tablet with a 3D model of a building displayed on the screen
a tablet with a 3D model of a building displayed on the screen

A 2025 Executive Guide to Smarter Bidding, Safer Sites, and Greater Profitability

The question isn’t if AI is coming to construction — it’s here.
And firms that don’t act now risk being left behind. According to Deloitte’s 2025 AI in Construction Report, 37% of construction firms are now using AI, up from just 26% two years ago. That means your competitors are already deploying AI to:

✅ Win bids faster
✅ Eliminate jobsite delays
✅ Automate safety compliance
✅ And streamline operations at every level

At Arkeo AI, we help construction firms do exactly that — with custom AI strategies tailored to their workflows. This guide breaks down how AI is used in construction today across four key areas, and how to start exploring it for your company.

The Top 4 Ways AI Is Used in Construction Today

1. AI-Powered Bidding & Estimating

Speed and accuracy win contracts. AI helps construction teams:

  • Analyze historical bids and costs to improve accuracy

  • Prioritize high-margin projects with predictive bid scoring

  • Auto-generate proposals faster than the competition

➡️ Result: Higher bid win rates, without the risk of underbidding.

2. Project Scheduling & Workflow Optimization

AI scheduling tools go beyond Gantt charts. They:

  • Flag bottlenecks and suggest resource reallocations in real time

  • Predict potential delays or cost overruns before they happen

  • Reduce admin time with automated task and document workflows

➡️ Result: More projects delivered on time and under budget.

3. Site Safety & Equipment Monitoring

AI is transforming jobsite safety and asset uptime. With AI:

  • Cameras detect hazards and PPE violations in real time

  • Predictive models prevent costly equipment failures

  • Compliance reports are automated and always audit-ready

➡️ Result: Fewer incidents. Less downtime. Peace of mind.

4. Client Communication & Retention

AI helps firms deliver a top-tier client experience:

  • CRM automations keep clients informed without extra admin work

  • AI chatbots answer common questions 24/7

  • Project data analysis improves retention and repeat business

➡️ Result: Stronger client relationships and more referrals.

What Happens If You Don’t Embrace AI?

Delaying AI adoption isn’t just a missed opportunity — it’s a competitive risk. Firms still relying on manual processes are:

🚫 Losing bids to faster competitors
🚫 Burning hours on repetitive admin
🚫 Increasing exposure to jobsite risk and compliance penalties
🚫 Missing key moments to engage clients and win repeat work

The longer you wait, the more costly the catch-up becomes.

Get a Free AI Assessment — No Cost, No Catch

Curious where AI could drive value in your business?

At Arkeo AI, we offer a free 1-hour AI assessment for construction firms. In just one session, we’ll help you:

✅ Identify high-impact opportunities for automation and AI
✅ Evaluate your current workflows and data readiness
✅ Receive a tailored AI roadmap — no obligation required

Book Your Free Assessment

It’s a risk-free way to explore the next step in your firm’s evolution — and see where your competitors may already be pulling ahead.