Global Smart Home Market to Hit $155 Billion by 2023
The global smart home market ended on an upbeat note in 2017 reaching $84 billion, up 16% from $72 billion in 2016 according to a report just released by Strategy Analytics .
According to the report, “ 2018 Global Smart Home Market Forecast ”, worldwide consumer spending on smart home devices, systems and services will total nearly $96 billion in 2018 and grow at 10% CAGR over the forecast period (2018 to 2023) to $155 billion.
North America will account for 41% of total spending or $40 billion, followed by the Asia-Pacific region at $26 billion and Western Europe at $17 billion.
New offerings from big brand tech firms such as Amazon, Google (Nest), ADT and Samsung are driving adoption in North America.
In Europe, UK-based Centrica Connected Homes’ Hive along with Deutsche Telekom’s Magenta Home, Germany’s eQ-3 and the Netherlands Enco’s Toon are stimulating market demand.
In Asia-Pacific, China’s Xiaomi, Korean service provider LG U+, Japan’s iTSCOM and Panasonic, as well as, Origin and Telstra in Australia are powering the market.
“The market continues to mature,” stated Bill Ablondi, Director of Strategy Analytics’ Smart Home Strategies advisory service.
“Consumer awareness is rising, prices are coming down, and the technology is becoming more intuitive. Yet, there is still a high degree of fragmentation, with numerous firms competing for smart home consumers. Who will ultimately succeed in capturing growth in this market remains unclear.”