Skip to main content

Consumers are Unaware of Home Automation Needs

Revenue from shipments of home automation systems will exceed $11.8 billion in 2015, according to the latest market study by ABI Research. That number includes all four categories of home automation -- Luxury, Mainstream, DIY and Managed.

However, the luxury segment is forecast to deliver the greatest revenue.

In addition to quantitative market measurement, ABI Research also sampled U.S. consumer attitudes with a September 2009 survey. Nearly half of the 1001 respondents did not know what the term "home automation" actually means. A further 43 percent understood the concept but had no system installed.

According to ABI practice director Sam Lucero, "Our survey results show that a major challenge is simply lack of awareness on the part of mainstream consumers. Other issues for consumers were the expense, and a perceived lack of need for home automation."

Regardless, Lucero believes that the home automation market is approaching an inflection point beyond which its growth rate will increase significantly, for the following reasons.

- Vendors are taking advantage of standards-based wireless and powerline technologies to drive down costs and expand the addressable market.

- Companies in related home systems markets are increasingly targeting home control and monitoring functionality in their devices.

- Home security service providers view home monitoring and managed home automation services as a means of accelerating growth.

- Telco and cable broadband service providers see managed home automation services as a way to increase revenue.

- Utilities can use home automation technologies to help homeowners reduce power usage.

How do these drivers map with buyer intentions? An average of three quarters of the 39 percent of survey respondents who intend buy a home automation system within three years rated three functions as the ones they would expect to use most -- energy management, home control, and security.

Popular posts from this blog

Digital Identity Verification Market to Reach $16.7B

As more enterprise organizations embrace the ongoing transition to digital business transformation, CIOs and CTOs are adopting new technologies that enable the secure identification of individuals within their key stakeholder communities. A "digital identity" is a unique representation of a person. It enables individuals to prove their physical identity during transactions. Moreover, a digital identity is a set of validated digital attributes and credentials for online interactions -- similar to a person's identity within the physical world. Individuals can use a 'digital ID' to be verified through an authorized digital channel. Usually issued or regulated by a national ID scheme, a digital identity serves to identify a unique person online or offline. Digital Identity Systems Market Development Complementary to more traditional forms of identification, digital identity verification systems can enhance the authenticity, security, confidentiality, and efficiency of

Software-Defined Infrastructure: The Platform of Choice

As more organizations adapt to a hybrid working model for their distributed workforce, enterprise CIOs and CTOs are tasked with delivering new productivity-enabling applications, while also seeking ways to effectively reduce IT cost, complexity, and risk. Traditional IT hardware infrastructure is evolving to more software-based solutions. The worldwide software-defined infrastructure (SDI) combined software market reached $12.17 billion during 2020 -- that's an increase of 5 percent over 2019, according to the latest market study by International Data Corporation (IDC). The market grew faster than other core IT technologies. The three technology pillars within the SDI market are: software-defined compute (53 percent of market value), software-defined storage controller (36 percent), and software-defined networking (11 percent). "Software-defined infrastructure solutions have long been popular for companies looking to eliminate cost, complexity, and risk within their data cente

Global Pandemic Accelerates the Evolution of Transportation

Given the current trends across the globe, organizations that depend upon the continued growth of personal vehicle ownership will need to consider a plan-B scenario. While some companies will be able to adapt, others may find that their traditional business model has been totally disrupted. According to the latest worldwide market study by Juniper Research, Mobility-as-a-Service (MaaS) will displace over 2.2 billion private car journeys by 2025 -- that's rising from 471 million in 2021. Juniper believes that for MaaS to enjoy widespread adoption, subscription or on-the-go packages need to offer a strong combination of transport modes along with feasible infrastructure changes, high potential for data collection and low barriers to MaaS deployments. Mobility-as-a-Service Market Development The concept of MaaS involves the provision of multi-modal end-to-end travel services through a single platform by which users can determine the best route and price according to real-time traffic