The global smart home market size was USD 79.90 billion in 2018 and is projected to reach USD 622.59 billion by 2026, exhibiting a CAGR of 29.3% during the forecast period.
security includes smart door locks, security cameras, motion sensors, smart doorbells, and others. They are used to provide enhanced security and remote monitoring features. These devices are also used to monitor and track the activities and further activate the security system A smart home is an automated home setup that consists of a wide range of products including home security, smart lighting, smart entertainment, smart appliances, and others. These products are connected and controlled distantly from a mobile or any other internet-enabled network devices. The products are also connected through the internet, which helps users to monitor, control, and automate home functions including secure access to the house, lighting, entertainment, temperature, and others. These products are equipped with advanced sensors, remote controllers, switches, and other equipment. Further, sensors, remote controllers, and other equipment are integrated with the internet of things (IoT) and artificial intelligence platforms, which offer enhanced security modes, energy efficiency, and improve smart living.
Key companies in the market, such as Honeywell International Ltd. and ABB Ltd., are focused on the introduction of automated home solutions. Other key companies are following the mergers and acquisitions strategy to develop advanced solutions for residences. For developing smart homes advanced technologies, such as artificial intelligence and the Internet of Things are implemented nowadays. Further, in April 2019, Honeywell International Ltd. merged with Intel Corporation to develop an advanced security platform for home solutions. This innovative platform is backed by the feature of artificial intelligence. Furthermore, it supports MAXPRO Video Management Systems (VMS) and Network Video Recorders (NVR) based on Intel’s advanced analytics.
The products under home monitoring and in case of an emergency. Additionally, security systems and remote monitoring are used to aid the homely remote patients. Key companies in the smart home market are aiming to develop modern security solutions and reduce the theft and burglary rate worldwide. For example, according to a report by the ‘United Nations Office on Drugs and Crime’ (UNODC), around 21 million cases of theft and burglary were registered in 2016. With the deployment of smart security solutions, these numbers showcased a rapid decline by almost 12-13% as compared to the 2015 statistics.
In addition, smart lighting solutions help to control the overall ambiance of smart homes. The products under smart lighting are equipped with light, temperature, and motion detection sensors. These products are integrated with sensor-based lighting techniques that help to provide many features, namely, switching on and off, regulating the light intensity, and adjusting the schema of light in a room depending on the mood and preference of the user.
The entertainment control system in smart homes assists the user to centralize and control all the connected devices, including smart TV, speakers, and virtual assistant device. These IoT devices are capable of communicating by gathering, sending, and receiving information from each other. In smart homes, a consumers’ preference is more towards smart TV because of the rising advancement in picture quality. Also, its smart features such as connectivity with other products/ devices (e.g. smart speakers and other controlling products) and internet connectivity make it more preferable. Hence, smart TV plays an important role in the smart home entertainment segment. This would support the smart home market growth in the coming years.
Smart appliances include smart refrigerators, smart air conditioners, smart washing machines, and others. These are based on IoT platform and are backed by energy control systems. Energy control system helps to manage and control the energy consumed and further optimizes the overall efficiency. Furthermore, the implementation of these advanced products will help the consumers in various applications, as IoT technology equipped products support in energy savings. They display the usage of electricity and save energy by alerting if the door of the refrigerator remains open or if the user forgets to switch off the appliances. Besides, they also automatically adjust power output depending on the usage of the appliances. Therefore, the adoption of advanced technology integrated products is rising among the consumers and it will drive the smart home market growth in the near future.
“Rising Implementation of Internet of Things (IoT) Solutions to Aid Expansion of the Market”
The Internet of Things (IoT) platform is one of the most prominent global economic drivers for the smart home market. IoT based appliances offer energy-efficient capabilities at residences. Key companies are focused on the development of IoT platform and related technology (Machine Learning, Artificial Intelligence, etc.), that can be deployed in smart home products. For instance, in 2018 Cisco Systems, Inc. partnered with SAS Institute, Inc. The partnership was initiated to develop an edge-to-enterprise IoT analytics platform. This platform will help several organizations to develop residential applications based on analytics software as per different requirements.
Moreover, with the rising adoption of IoT platforms in smart appliances, market growth for home is expected to rise exponentially. According to Intel Corporation, in 2015 around 15 billion active IoT devices were registered worldwide. This number is expected to reach a market unit of around 200 billion by the end of 2020. Apart from that, the growth in the IoT will certainly help to boost the global smart home market in the near future.
The report presents a comprehensive assessment of the global smart home market by offering valuable insights, facts, industry-related information, and historical data. Several methodologies and approaches are adopted to make meaningful assumptions and views. Furthermore, the report offers a detailed analysis and information as per the market segments, helping our readers to get a comprehensive overview of the global market.
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