Smart Home Market Global Industry Trends, Forecast Outlook Until 2030

Smart Home Market to expand at a CAGR of 12.3% by 2030

The smart home market is expected to grow at a CAGR of more than 12.3% by the end of 2030, reaching USD 254.78 billion.

A smart home is the integration of technology and services via a network to improve the quality of life. The technology enables the user to reduce workload and do other things. Smart Homes provide users with comfortable living, power management features, safety, and benefits for the disabled. Smart homes have Internet-connected devices that control, automate, and optimise functions like temperature, lighting, security, and entertainment. A computer, phone, tablet, or a separate system can control, monitor, and access these devices remotely. Smart technologies for connecting gadgets and accessories have enabled automatic control of environmental conditions.

For example, Google and Samsung recently announced support for each other's smart home ecosystems. In order to resolve compatibility issues, Samsung and Google have agreed to build a bridge between SmartThings and Google Home devices. That bridge is built on Matter's multi-admin feature, which enables multiple apps to connect to and control one or more devices.

The global smart home market is expanding due to a growing demand for energy-saving and low-carbon-emission solutions. Energy efficiency is an important factor in a country's economic development. Because of global warming and government regulations, there is a growing need to reduce energy consumption and carbon pollution.

Smart homes consume a sizable portion of the world's total energy consumption. According to an International Energy Agency (IEA) survey, smart buildings consume 42% of total generated electricity globally. With increasing urbanisation in developing countries, the number and size of smart buildings are expected to grow, increasing demand for energy-efficient building solutions.

The global smart home market has been segmented by component and region.

The smart home market has been divided into four components: hardware, smart appliances, AI speakers, and services. The hardware segment held the largest market share in 2018 and is expected to grow at a 15.3% CAGR during the review period.

The global smart home market's hardware is divided into four categories: security, home automation, home entertainment, and home healthcare.

Asia-Pacific, North America, Europe, South America, and the Middle East and Africa have all studied the global smart home market. In 2018, North America had the largest market share (36.55% of the global market). One of the factors driving the market is the growing number of government initiatives to support energy-efficient building, which provide benefits such as lower lifetime costs, increased energy savings, and lower greenhouse gas emissions. In the last four years, the adoption of smart home devices in Mexico has been one of the fastest growing technological trends.

The country was among the first in Latin America to commercialise Google's smart voice assistant (Home). Furthermore, the Mexican government has taken several initiatives to reform energy consumption patterns and telecommunications systems, which has encouraged consumers to opt for a connected network at their homes.

Key players operating in the global smart home market include Honeywell International, Johnson Controls, Siemens AG, Schneider Electric, UTC, Google LLC, Amazon, Apple Inc., ADT Inc., Assa Abloy, and Dahua Technology.