Global Smart Home Automation Market
Forecast and Trends
Global Smart Home Automation Market has
gained the momentum in recent years with a CAGR of 14.62%, in value terms, over
the forecast period 2020-2026, and expected to reach at USD 108.56 Billion by
2026. One of the major factors expected to drive the market for smart home
automation over the forecast period is a increasing demand for digital features
such as remote operating convenience where they have access to technologically
advanced devices, particularly in developed economies. With the introduction of
the Internet of Things (IoT), the development of connected next-gen systems and
the proliferation of smartphones and devices worldwide, the home automation
market is projected to increase with a double digit growth pace.
across the globe are going through many lifestyle changes. Through disposable
income, growing preference for high and technologically advanced living
standards are pushing people to increasingly adopt smarter devices. Among other
things, people are rapidly buying smart TVs, tablets, lighting solutions and
refrigerators to raise their living standards. These high adoption of smart
devices thus boosts the growth of the global smart home automation market
of intrusion, identification of threats to safety, and compensation for theft,
damage, or injury have served as the main factor in growing security system
demand. Global electronic security market leading vendors concentrate on
investments to sustain their security network's position in the global
electronic security industry.
Smart Home Automation Market: Overview
Smart Home" describes building
automation in a private home, where single components (sensors and actuators)
are networked to create a smart device.
Home automation "refers to automated
and electronic monitoring of devices application and appliances of the
household. In general, user can easily monitor home's utilities and
amenities over the Internet to make life more comfortable and safe, and even
spend less on household bills.
Smart home technology, also often
referred to as home automation or domotics (from the Latin "domus"
meaning home), offers homeowners security, comfort, convenience and energy
efficiency by allowing them to monitor smart appliances, often via a smart home
app on their smartphone or other networked device. Part of the Internet of
Things (IoT), smart home systems and devices also work together, sharing
customer data and automate behavior based on the preferences of homeowners.
Demand for Energy Efficient Solutions
ability to achieve energy efficiency is one of the most important factors for
increasing adoption of any electronic product or system. Contemporary home
automation systems have become highly energy efficient with technical
advancements combined with knowledge of the advantages of saving electricity.
Which helped to fuel market growth in the recent years.
for smart home automation such as smart meters and smart thermostats evaluate
the amount of electrical energy used by electrically driven devices in homes
can be operated on a timely basis and even from remote locations. Electricity
consumption is measured in billing units (kilowatt / hour), in which regular
electric meter readings produce billing cycles based on the electricity
consumed over a cycle. Residents can better understand the past, current, and
future usage of energy using a real-time method for electricity metering. This
helps them to maximize their energy consumption and therefore reduce the
Increasing Awareness and Rapid Adoption of Smart Home Devices
The smart home automation market is
rising rapidly due to its high benefits, the frenzy of automation and the
security it offers to the customers. Moreover, increasing awareness of smart
home technology as a result of market players 'initiatives to educate
consumers, such as ads and videos supported by Amazon, Google etc.
use of mobile phones also supports market growth in smart home automation, as
it is one of the key gadgets that helps to incorporate smart home technology.
Due to its high diverse applications and people's inclination towards
technology adoption, one or two smart devices are now very popular in urban
use of smartphones also complements market growth in smart home automation, as
it is one of the key gadgets that helps to incorporate smart home technology.
Installation and Replacement Costs
installation costs for smart home automation systems are on the higher side and
the payback period increases, thus restricting the adoption of these controls
in many regions. Pricing fundamentals still apply to smart devices, and the
cost has yet to match in with the budget of the customer. It increases the
payback time and thus limits the mass-wide adoption of the systems. This is
likely to impede business growth in the coming years.
smart home automation products display the power of price – video doorbells ,
home automation kits and smart lighting are quickly growing segments within the
home automation category, and they are generally accessibly priced. When the
price aligns more closely with the cost the consumer associates with the
product or behavior, the value act as an restrain to hamper market growth.
Global Smart Home Automation Market: Component
Based on component, the market has been segmented into
hardware, software and service. The hardware segment is anticipated to dominate
the component market by 2026. The Hardware segment is expected to see
substantial growth as the smart home automation technology is gradually being
adopted. Rapid developments in the smart home automation framework and the use
of these technologies to add value to the delivery of urban services require
the authorization to implement new approaches sustainably. This could include
combining hardware, software, and service that would increase the
competitiveness of the market in which the smart home automation system
Global Smart Home Automation Market: By Technology
Based on technology the global smart home automation market
is segmented into Cellular & Wireless. Amidst the category Wireless segment
projected to dominate the global market with the market size of USD 26.22
Billion in 2019, and anticipated to reach USD 68.10 Billion in 2026 at a CAGR
of 14.72% during 2020-2026Smart appliances, including smart air conditioners,
refrigerators, and washing machines, are fitted with advanced technology that
helps with low energy consumption features to operate smartly. Factors, such as
major technological development including cellular and networking technology,
the Internet of Things (loT) and others will drive market growth. The growing need
for value-based and on-demand home appliance solutions emerges as cloud-based
smart home applications are gradually being adopted.
Global Smart Home Automation Market: By Application
Across the globe, owing to the increasing government
regulations across developed and developing countries, most of the new
buildings need smarter heating and cooling systems, thus augmenting the growth
of HVAC systems. Among these, followed by Entertainment & Safety, Lighting &
Energy segment expected to sustain significant growth during the forecast
period. Rising the expansion of major companies in emerging economies such as
Phillips, GE Lightning, Advanced Lighting technology etc. is anticipated to
drive the lighting segment in the provided interpretation era. Increasing the
adoption of wireless technology is also another factor that contributes to this
segment's rise in overall market research.
Global Smart Home Automation Market:
On the basis of geographic segmentation, the global Smart
Home Automation market segmented into North America, Europe, Asia-Pacific,
Latin America and Middle East & Africa. Amidst the regional segment North
America is projected to dominate global market with the market share of 36.15%
in 2019. Due to the promotional activities, high rate of adoption and awareness
of technological improvement in this region. Moreover, the presence of leading
players in this area, including Honeywell International Inc., Acuity Brands,
Inc., Johnson Controls Inc., United Technologies Corporation and Crestron
Electronics, Inc. etc., is also complementing market growth with their
innovative products and promotions. The fact that more than one-third of US
consumers have two or more smart home devices indicates North America's growing
demand for smart home automation.
The companies that hold the majority share of Smart Home
Automation Market are Samsung Electronic Co Ltd . , Schneider Electric SE , ABB Ltd. , Johnson Controls International
Plc . , Siemens AG , ASSA ABLOY AB , Legrand SA
, Philips Lighting N.V. (Signify)
, Resideo Technologies, Inc. (Honeywell)
, Crestron Electronics Inc. , and Other Prominent Players.
Ø March 2020: Globally, Bird
Home Automation has launched its latest DoorBird IP Video Intercom D1101V.
DoorBird IP Video Intercom D1101V is an internet linked smart intercom network,
as shown by its branding. More succinctly, the trendy gui is available in two
versions, offering in-house or business entry points with two-way intercom
functions. This requires integration of the smartphone, laptop and smart home
systems and a dedicated indoor interface.
Ø February 2020: Huawei announced
its Sound X smart speaker will soon be available in Europe. The speaker was
produced in collaboration with French audio expert Devialet, and in November
2019 it went on sale in China. Now the tech giant is poised to push the limits
and launch their first ever intelligent speaker outside China. Huawei also
markets a range of smart speakers in his home country. The Huawei Sound X
sports a rounded-off cylindrical shape and a luxurious feel with a base of
fabric and a top of bright plastic.
Scope of the Report
Historical data – 2016-2019
Base Year – 2019
2020 – 2026
Revenue in USD Million/Billion
U.S, Canada, Germany, UK,
France, Italy, Spain, Brazil, Mexico, Argentina, Japan, South Korea, China,
India, UAE, South Africa, Saudi Arabia
Component, Technology and Application with Region
Samsung Electronic Co Ltd . , Schneider
Electric SE , ABB Ltd. , Johnson
Controls International Plc . , Siemens AG
, ASSA ABLOY AB , Legrand
SA , Philips Lighting N.V.
(Signify) , Resideo Technologies, Inc.
(Honeywell) , Crestron Electronics
Ø North America
Ø Asia Pacific
Ø Latin America
Ø Middle East &
The objective of the Study:
Ø To analyze and forecast the global Smart Home
Automation Market size of the market in terms of value.
Ø To examine the careful market segmentation and
forecast the market size, in terms of value, based on the region by segmenting.
Ø The Global Smart Home Automation Market segmented
into five regions, namely, North America, Europe, Asia Pacific, Latin America,
Middle East & Africa and their leading countries.
Ø To outline, categorized, and forecast the global Smart
Home Automation Market based on Component, Technology and Application.
Ø To examine competitive developments like
technological advancement, services, and regulative framework within the global
Smart Home Automation Market.
Ø To highlight the impact analysis of the factors
affecting the market dynamics such as drivers, restraints, opportunities, and
Ø To strategically profile the key players and
comprehensively analyze their market shares along with detailing the competitive
landscape for market leaders.