Global Smart Homes Market By Technology (Wireless, and Wired), By Products (Security and Access Control, Entertainment Devices, and Other Products), By Application, By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2023-2032
- Published date: Oct. 2023
- Report ID: 29366
- Number of Pages: 211
In 2022, the Global Smart Homes Market was valued at USD 113.5 Billion and it is expected to reach USD 503.1 billion between 2023 and 2032, this market is estimated to register the highest CAGR of 16.8%.
The smart home is a suitable setup for home settings where appliances and devices are remotely or automatically controlled from any distance with the help of the internet. In smart homes, all the appliances like lights, fans, televisions, refrigerators, ACs, home PCs, and cameras can do all the control using smart home technology. All automation systems are installed on owners’ mobile phones or tablets that offer wireless networking. Additionally, the owner can set times for all the appliances that work for all days at a specific fixed time. All smart home automation can help save time and can be operated from anywhere using a wireless network.
The main driving factors for the smart home industry are the rising disposable income in developing countries, monitoring home appliances in away-from-home conditions, and increasing awareness about home security and safety. The rising trend of advanced technology integration in smart home appliances are anticipated to increase the demand for smart home appliances in the upcoming period. Also, the rising use of smartphones and the internet is boosting the trend of wireless smart homes across the world.
- Market Growth: Smart Homes Market expected to reach USD 503.1 billion by 2032, with a 16.8% CAGR from 2023 to 2032. Valued at USD 113.5 billion in 2022.
- Wireless Technology Lead: Wireless technology dominates, driven by its seamless communication and long battery life, utilizing Bluetooth, Zigbee, Wi-Fi, and Z wave.
- Security and Access Control Segment: Security and access control segment leads, with rising awareness of home safety, including security cameras, smart locks, and video door phones.
- Smart Security Options Trend: Increasing adoption of smart security options, like modern burglar alarms and facial recognition systems, enhancing the security features of smart homes.
- Asia Pacific’s Market Share: Asia Pacific holds a significant revenue share, driven by rapid adoption of smart home appliances, particularly in countries like China and India, along with increasing disposable incomes.
- Key Players’ Strategies: Industry leaders like Samsung Electronics Co.Ltd. and LG Electronics Inc. focus on strategic initiatives, such as mergers and partnerships, like Amreen Missouri’s collaboration with Emerson.
- Opportunities in the Light Control Industry: Lighting control sector presents ample opportunities, integrating IoT and AI for enhanced energy efficiency, with products like timers, dimmers, and occupancy sensors experiencing significant growth.
- Data Security Challenges: Industry faces data security challenges, emphasizing the need for robust security measures to address concerns regarding hacking and data leaks, ensuring consumer trust and safeguarding personal information.
Supporting government regulations and wide internet penetration are driving the growth of the smart homes market
The rising demand for energy-saving and eco-friendly solutions is boosting the smart homes industry. Energy-efficient solutions play an important role in the overall development of countries. Due to this, the demand to lower the usage of energy and zero carbon emission is rising as a result of growing environmental concerns, regulations, and global warming. Smart homes consume a large amount of energy from the total energy consumption across the world. These factors are anticipated to drive the growth of the smart homes market throughout the forecast period of 2023 to 2032.
Moreover, governments across the world are trying to save energy for the future. Due to regulatory regulations and growing global warming, there has been an increase in demand to reduce electricity utilization and carbon emissions. Smart homes account for an enormous proportion of global electricity consumption. This aspect is projected to be the most vital aspect using the boom of this market. Furthermore, with the increasing urbanization in developing economies, several large smart buildings are predicted to value the market’s growth.
The increasing disposable income of people, number of web users, growing client choice for video doorbells, and developing adoption of smart devices, surveillance structures, and voice-assisted appliances are additionally fueling this market’s growth.
Data breach activities and security concerns are obstructing the growth of the smart homes market
In a smart home, technology is possibly unprotected from common hacking tools. The data relating to personal details, banking details, confidential information, and healthcare details are feared to be misused by the hacker. When the monitors are hacked, they disclose all the personal information and important data to hackers, which can be used to blackmail or improperly used by hackers.
Smart home technologies are facing major challenges in improving the security of devices that customers trust because hackers and data leaks are the main disadvantages of smart home technology. Security services can’t be controlled remotely without maintaining the confidentiality of the records stored. The supervision of a network’s protection structures cannot be undermined. This is anticipated to hinder the growth of the global smart home market.
Wireless technology is mostly preferred by individuals for smart homes
Smart homes are classified into wireless and wired on the basis of technology. Among them, the wireless technology segment leads the global smart homes market by accounting for the largest market share in the market. Also, the wireless segment is anticipated to grow at the highest CAGR during the forecast period from 2023 to 2032.
The growth of this segment is due to the features and capabilities provided by wireless smart home options like Bluetooth, Zigbee, Wi-Fi, Z wave, and other networked devices. Users prefer technology that offers advantages like long battery life & range, and seamless communication. And these qualities are present in the wireless technology in smart home devices. This is driving the growth of the wireless technology segment through the forecast period.
After the wireless segment, the wired smart home applications are expected to grow at a high CAGR during the forecast period. The growth of this segment is attributed to the traditional appliances that possess built-in cable ports and Ethernet cable ports. Secured working in the house and no connectivity issues are driving the growth of the wired segment in the market.
The security and access control segment dominated the market by covering a major share of the market
The smart homes market is classified on the basis of products like security and access control, entertainment devices, lighting control, HVAC, smart kitchen appliances, home appliances, and other products. Among product sub-segments, the security access control segment leads the market with the largest market share. The growth of this segment is owing to the increasing awareness about the importance of safety and security in smart home devices.
The security and access control appliances help to prohibit access to an unauthorized individual in the smart home by using products like security cameras, smart locks, video door phones, remote monitoring software and services, and other smart appliances. This protects smart homes from burglars and thieves. These factors are driving the growth of security and access control appliances through the forecast period.
Note: Actual Numbers Might Vary In The Final Report
Entertainment devices are expected to grow at a significant CAGR during the forecast period from 2023 to 2032. The growth of this segment is due to the seamless and convenient user experience for controlling the entertainment devices in the house. Technological advancements and innovations in wireless technology like voice control and AI are driving the growth of entertainment controls. These factors are boosting the growth of entertainment devices in the global smart homes market.
New construction sites are heavily adopting smart home appliances
Based on application, the smart homes market is classified into new construction and retrofit. Among these applications, the new construction segment is anticipated to grow at the highest CAGR during the forecast period of 2023 to 2032. The growth of this segment is attributed to the easy installation and convenience of smart home appliances during new construction activities. The users don’t want to demolish the walls for the installation of smart home appliances.
This is propelling the growth of the new construction segment in the smart homes market. Also, the ongoing trend of urbanization, safety & security features across the world is raising the demand for smart homes in the market. Due to easy logistics in smart home appliance installation, owners of new construction sites are inclined towards the installation of many smart home appliances.
The retrofit segment is anticipated to grow at a high CAGR in the market. The growth of this segment is due to the increasing demand for smart homes in existing homes. The existing homeowners are renovating their homes by installing many smart home appliances. This is boosting the growth of the retrofit segment in the global smart homes market.
Key Market Segments
- Security and Access Control
- Smart Locks
- Security Cameras
- Video Door Phones
- Remote Monitoring Software & Services
- Lighting Control
- Relays & Switches
- Smart Lights
- Occupancy Sensors
- Entertainment Devices
- Streaming Devices
- Sound bars and Speakers
- Smart Displays/TV
- Smart Vents
- Smart Thermostats
- Home Appliances
- Smart Water Heaters
- Smart Vacuum Cleaners
- Smart Washing Machines
- Smart Kitchen Appliances
- Dish Washers
- Other Products
- New Construction
The light control industry is creating many opportunities in the smart homes market
The lighting control industry has significantly grown in the last few years. The lighting control industry has products like timers, daylight sensors, dimmers, relays, and occupancy sensors. This wide range of smart products is used in smart home appliances through any preferable technology like wireless or wired. This is expected to create market opportunities in the smart homes market for such smart products.
The introduction of the Internet of Things for linked light structures permits seamless communication, contextual services, and data sharing between devices. It is bringing radical adjustments to industries with the aid of increasing the profits of vertical markets. The introduction of LED structures allows for controlling the devices and lower energy usage. Integrating the Internet of Things and artificial intelligence in lighting systems has created many opportunities in this market. The advancing Internet of Things technology allows us to connect all appliances to the Internet.
The ongoing trend of smart security options is expected to drive the growth of the smart homes market through the forecast period
The key trends like the increasing demand for smart home technology create many opportunities in the market. The integration of advanced technology and connectivity in smart home appliances has given remote access to the users for monitoring and controlling the home appliances in smart homes.
The ongoing trend of integrating artificial intelligence and automation offers assistance in a unique and innovative way. These technological advancements and innovations offer safety and security to smart homes. Many users have installed smart security options in smart homes like modern burglar alarms, video door alarms, facial recognition, and remote-controlled locks to protect the house.
Asia Pacific dominates the market by accounting for a major share of the global smart homes market
Asia Pacific dominates the global smart homes market by accounting for the major revenue share of 32.8%. The growth of this region is due to the increasing adoption of smart home appliances to reduce energy consumption and increase energy efficiency. These factors are anticipated to drive the growth of the smart homes market in the Asia Pacific region over the forecast period.
The rising adoption of security and access control appliances in the region has helped to prohibit access to an unauthorized individual in the smart home by using products like security cameras, smart locks, video door phones, remote monitoring software and services, and other appliances. These smart home appliances are expected to boost the growth of the Asia Pacific region during the forecast period.
The Asia Pacific region is anticipated to grow at a significant CAGR during the forecast period. The growth of the Asia Pacific region is owing to the adoption of smart home appliances in major countries like China and India. Asia Pacific countries have a major population share in the global market, adopting to smart home appliances. Also, the increasing disposable income of people in the Asia Pacific region is rising the demand for smart home appliances.
Note: Actual Numbers Might Vary In The Final Report
Key Regions and Countries
- North America
- The US
- Western Europe
- The UK
- Rest of Western Europe
- Eastern Europe
- The Czech Republic
- Rest of Eastern Europe
- South Korea
- Australia & New Zealand
- Rest of APAC
- Latin America
- Costa Rica
- Rest of Latin America
- Middle East & Africa
- Saudi Arabia
- South Africa
- United Arab Emirates
- Rest of MEA
Key Players Analysis
Major key companies in the market are adopting strategies like mergers, acquisitions, partnerships, and collaborations for business expansion in the global market.
Top Key Players in the Smart Homes Market
- Samsung Electronics Co.Ltd.
- LG Electronics Inc.
- Sony Corporation
- Amazon.com Inc.
- Philips Lighting B.V.
- Robert Bosch GmbH
- Siemens AG
- Schneider Electric SE
- Honeywell International Inc.
- ABB Ltd
- Google Nest
- Other Key Players
- In March 2021, Amreen Missouri partnered with Emerson to offer Emerson’s Sensi smart thermostats to the customers of Amreen Missouri. Ameren Missouri customers had given Emerson’s Sensi smart thermostats under instant discounts and participation in the program-like schemes.
- In January 2021, Samsung launched their new air conditioning system in India named Variable Refrigerant Flow (VRF). This air conditioning system can be installed in small areas as compared to the others and it can be controlled by smartphones.
Report Features Description Market Value (2022) USD 113.5 Bn Forecast Revenue (2032) USD 503.1 Bn CAGR (2023-2032) 16.8% Base Year for Estimation 2022 Historic Period 2016-2022 Forecast Period 2023-2032 Report Coverage Revenue Forecast, Market Dynamics, COVID-19 Impact, Competitive Landscape, Recent Developments Segments Covered By Technology – Wireless, and Wired; By Products – Security and Access Control (Smart Locks, Security Cameras, Video Door Phones, Remote Monitoring Software & Services, and Others) Lighting Control (Smart Lights, Relays & Switches, Dimmers, Occupancy Sensors, and Others) Entertainment Devices (Streaming Devices, Sound bars and Speakers, and Smart Displays/TV) HVAC (Smart Vents, Sensors, Smart Thermostats, and Others) Home Appliances (Smart Water Heaters, Smart Washing Machines, and Smart Vacuum Cleaners) Smart Kitchen Appliances (Cooktops, Microwave/ovens, Dish Washers, and Refrigerators) Other Products. By Application – New Construction, and Retrofit. Regional Analysis North America – The US, Canada, & Mexico; Western Europe – Germany, France, The UK, Spain, Italy, Portugal, Ireland, Austria, Switzerland, Benelux, Nordic, & Rest of Western Europe; Eastern Europe – Russia, Poland, The Czech Republic, Greece, & Rest of Eastern Europe; APAC – China, Japan, South Korea, India, Australia & New Zealand, Indonesia, Malaysia, Philippines, Singapore, Thailand, Vietnam, & Rest of APAC; Latin America – Brazil, Colombia, Chile, Argentina, Costa Rica, & Rest of Latin America; Middle East & Africa – Algeria, Egypt, Israel, Kuwait, Nigeria, Saudi Arabia, South Africa, Turkey, United Arab Emirates, & Rest of MEA Competitive Landscape Samsung Electronics Co.Ltd., LG Electronics. Inc, Amazon.com. Inc, Sony Group Corporation, Google Nest, Philips Lighting B.V., Robert Bosch GmbH, Siemens AG, Schneider Electric SE, ABB. Ltd, Honeywell International. Inc, and other key players. Customization Scope Customization for segments, region/country-level will be provided. Moreover, additional customization can be done based on the requirements. Purchase Options We have three license to opt for: Single User License, Multi-User License (Up to 5 Users), Corporate Use License (Unlimited User and Printable PDF)
Frequently Asked Questions (FAQ)What will be the market size for Smart Homes Market Market in 2032?
In 2032, the Smart Homes Market Market will reach USD 503.1 billion.What CAGR is projected for the Smart Homes Market Market?
The Smart Homes Market Market is expected to grow at 16.8% CAGR (2023-2032).Name the major industry players in the Smart Homes Market Market.
Samsung Electronics Co.Ltd., LG Electronics Inc., Sony Corporation, Amazon.com Inc., Philips Lighting B.V. Robert Bosch GmbH and Other Key Players are the main vendors in this market.List the segments encompassed in this report on the Smart Homes Market Market?
Market.US has segmented the Smart Homes Market Market by geographic (North America, Europe, APAC, South America, and MEA). By Technology, market has been segmented into Wireless, Wired. By Application, the market has been further divided into, New Construction and Retrofit.
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