Strategy Analytics: 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 new report from Strategy Analytics.

According to the report, worldwide consumer spending on smart home devices, systems and services will total nearly $96 billion in 2018 and grow at a 10% CAGR between 2018 and 2023, to $155 billion. North America will account for 41% of total spending at $40 billion, followed by Asia/Pacific at $26 billion and Western Europe at $17 billion.

New offerings from big brand tech firms such as Amazon, Google, 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 Netherlands-based Eneco’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. Strategy Analytics’ Bill Ablondi commented:

bio bablondibb77860e0c386b6e941aff0000f88330“The market continues to mature. 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”.

Analyst Comment

We don’t normally report the smart home market, but we thought that some overall data might be useful, especially in the light of the view of BOE that it is not just a display company, but an IoT company. (BR)