Smart homes are backed by computing devices and information technology that integrate various devices in the house to facilitate enhanced convenience, comfort, security, and entertainment in a sustainable way. Previously smart homes were confined to elite class consumers; however, in recent years, smart homes have gained widespread consumer adoption.
The smart homes market is booming with it receiving backings from technological advancements. A smart home by definition requires control of lighting, climate, entertainment system, and appliances. It can also include access control and alarm systems. With internet connection, these devices turn towards the user for a command. It can be then controlled by a single device or just by voice control or gesture. With voice commands such as Alexa or Siri, the operation of several associate products become much easier. Smart homes can be both wireless and with wire. Wireless systems are less complex and installation friendly.
Growing disposable income or rising affluence of the middle-class consumers along with growing number of working couples have also reflected positively on the market growth. Since more and more homes stay empty throughout the day, there is an increased need for home automation. The governments in multiple countries are taking concrete steps to promote the construction of smart homes by making policies favorable for builders who are keener on building smart homes.
The smart home market is experiencing increased demand from all quarters; however, energy conservation has been the key factor in influencing the growth of the market. Moreover, the maintenance of smart homes is cheaper than traditional homes. Other factors substantiating the growth of the smart home market include increasing affordability of smart home features, the threat of climate change, and the growing adoption of cloud-based technologies.
On the contrary, the growth of the market might be hindered by the risk of privacy and bugs surrounding smart homes. However, multifarious benefits are likely to aid in overcoming of these hurdles.
Also Read: http://www.marketwatch.com/story/smart-home-market-growth-is-driven-by-rising-deployment-of-wireless-technologies-smart-home-market-analysis-growth-forecast-industry-size-share-and-trends-2020-04-29
By Components, the market is segmented into software and services. The software segment is further segmented into behavioral and proactive. By services, the market is segmented into managed & professional service.
By Application, the market is segmented into lighting control, security & access control, HVAC control, entertainment & other control, home healthcare, smart kitchen and home appliances. The lighting control segment is further segmented into relays, occupancy sensors, daylight sensors, timers, dimmers, switches, accessories and other products. Security & access control is categorized as video surveillance and access control. Video surveillance is further segmented into hardware, software, and services. HVAC control is segmented into smart thermostats, sensors, control valves, heating and cooling coils, dampers, actuators, pumps & fans and smart vents.
Entertainment & other control is further bifurcated into entertainment controls and other controls. Entertainment controls is further divided into audio, volume, & multimedia room controls, home theater system controls and touchscreens and keypads. Home healthcare is further bifurcated into health status monitors and physical activity monitors. Smart kitchen is bifurcated into smart refrigerators, smart coffee makers, smart dishwashers, smart cooktops and others. The home appliances segment is segmented into smart washers, smart dryers, smart water heaters, and smart vacuum cleaners.
By technology, the market is segmented into networks, protocols, wireless. By network is bifurcated into CDMA networks, GSM/HSPA networks, LTE networks. Protocols is further bifurcated into Digital Addressable Lighting Interface (DALI), KNX, Digital Multiplexer (DMX), Ethernet and others. Wireless segment is further bifurcated into zigbee, z-wave, Wi-Fi, bluetooth and others.
The smart home market has been segmented into four key regions, namely North America, Rest-of-the-World (RoW), Europe, and Asia Pacific (APAC).
North America accounts for a major share of the market and is likely to dominate the market over the forecast period. The existence of leading market players in the region along with heightened demand for home healthcare has led to the proliferation of the smart home market in North America. Moreover, high spending capacity leads to increased spending on the modernization of homes, which boosts the growth of the market.
The APAC smart home industry is slated to showcase remarkable growth over the forecast period. fast track urbanization in the region combined with rising disposable income has created abundant demand for smart homes in the region. Adoption of cloud technologies, the growing sophistication of lifestyle, and heightened focus on safety and security are auguring the growth of the market in APAC. Additionally, governments in the region are investing substantially in the development of smart cities which is propelling the growth of the market.
Ingersoll-Rand PLC (Ireland), United Technologies Corporation (U.S.), Samsung Electronics Co., Ltd. (South Korea), ABB Ltd. (Switzerland), Siemens AG (Germany), Honeywell International, Inc. (U.S.), Legrand S.A. (France), General Electric Company (U.S.), Schneider Electric (France), and Johnson Controls, Inc. (U.S.) are the eminent players in the smart home market.
May 2019 - Amazon released the latest version of its Echo Show device with enhanced privacy and smart home controls. The new device is now equipped with a camera shutter which is the first of any Amazon's display speakers. In addition, the new allows voice recording to be deleted in a much more simplified way along with a new privacy hub webpage which explains how Echo devices use and store voice recordings. Amazon is also rolling out a new smart home dashboard which would provide users more control over compatible smart home devices and groups.