Smart home automation market demand is primarily driven by the rapid adoption of lighting, entertainment, and security & access solutions in the residential sector. Advanced technologies such as artificial intelligence, machine learning, and speech recognition, among others are expected to drive market growth.
This is according to the latest information from the analysts at Grand View Research, who predict this market could reach US $444.98 billion by 2030, with an impressive CAGR of 27.3% during the forecast period, from 2023 to 2030,
The market is expected to benefit from the increasing applications of smart home automation in security & access, entertainment, lighting, HVAC, energy management, smart kitchen, and other appliances during the forecast period. Based on application, the smart kitchen segment is expected to dominate the market due to new product launches following the rising demand for ease of cooking processes.
For instance, in January 2023, Samsung Electronics Co., Ltd. launched the Bespoke smart refrigerator, which includes a 32-inch touchscreen and an artificial intelligence-optimised cooling process. The touchscreen display acts as an automation hub and enables connection to other smart home devices.
North America accounted for the largest market revenue share in 2022 and is expected to grow at a significant rate during the forecast period. The region is home to legacy manufacturers and solution providers, such as Honeywell International Inc. and Lutron Electronics Co., Inc., with a technological and supplier dominance owing to their long-standing presence in the market, which provides them with a competitive edge over new market entrants. Moreover, the region’s inclination to the adoption of modern technology such as artificial intelligence and the internet of things is expected to drive market growth.
Some of the key takeaways from the new research include the following:
• The hardware segment is expected to record the highest market share of over 65% in 2023 due to the growing trend of intelligent homes, through the installation of smart home automation products such as Google Home, Amazon Echo, and Samsung Smart Things.
• Based on technology, the wireless segment is expected to expand at the highest CAGR over the forecast period from 2023 to 2030 owing to its ease of set-up, and ability to connect without laying wires.
• Based on application, the smart kitchen segment is predicted to expand at the highest CAGR over the forecast period from 2023 to 2030 due to the rising demand for smart automated appliances for cooking purposes
• Based on fitment, the new construction segment is predicted to record the highest CAGR during the forecast period from 2023 to 2030 due to the rising demand from newly constructed houses, as installations are easier in new constructions as compared to established homes
Some of the main players in this sector as mentioned by the researchers in relation to the report, include, ABB, Control 4 Corporation, Crestron Electronics, Honeywell, Ingersoll Rand, Johnson Controls, Legrand, Leviton Manufacturing, Lutron Electronics, Schneider Electric and Siemens.
