Skip to main content

Smart Home Revenue will Reach $195 Billion in 2021

Ever since the mainstream adoption of the mobile smartphone, the word 'smart' is used broadly to define any device that has some form of on-board communication connectivity. Likewise, a Smart Home is designed to deliver a number of digital services inside and outside the home, through a range of networked devices.

Juniper Research believes the entertainment segment to be the most viable in terms of consumer uptake, for the simple reason that these services are almost universally desired.

Revenues from smart home hardware and services will reach $83 billion this year, rising to $195 billion by 2021, according to the latest market study by Juniper Research. This revenue upside will be generated through entertainment, automation, healthcare and connected devices.


Smart Home Market Development

The new research also found that home automation and smart appliances will be the two fastest growing segments over the next 5 years, driven by established manufacturers such as Samsung, Bosch and GE Appliances.

Moreover, market leaders such as Alphabet, Amazon, Apple and Samsung will further solidify their position by building on current assets in their cloud services and incumbent device bases.

Juniper believes Amazon's innovative approach, use of cloud services through 'Amazon Alexa', and its ability to capitalize on its eCommerce presence gives the company a leading position in this emerging marketplace.

"The company has managed to maximize its value proposition for Alexa by partnering with a large range of complementary players in the market, while utilizing its own cloud platform to set Echo and Alexa apart from its competitors in terms of functionality," said Sam Barker, research analyst at Juniper Research.

Outlook for Smart Home Applications

The research found that revenue share from the most mature segment, smart entertainment, will slow as emerging market segments such as smart appliances and home automation gain more traction.

The share from connected services, such as Netflix and Amazon, are set to fall from 70 percent of the total market in 2017 to about 50 percent in 2021.

Meanwhile, growing market segments such as Monitoring & Automation will be driven by disruptive entrants -- such as littleBits, Notion and iVee -- who will rival established players by taking novel approaches to product development.

Popular posts from this blog

How a Digital-First CEO Leads Transformation

Some leaders reject the notion that "wait and see" is the best response to disruptive change. Savvy senior executives are already driving digital business transformation throughout their organization in an effort to gain a bold strategic advantage. According to the latest market study by International Data Corp (IDC), Digital-First CEOs plan to drive at least half of their income from digital business products, services, and experiences by 2027 -- that's ahead of the market average of 39 percent. Driven by their response to the COVID-19 pandemic, these business leaders have changed how they think about the relationship between business and technology, and how they approach the next digital transformation era -- from scaling digital technology to guiding a viable digital business. Digital Business Market Development IDC defines digital business as value creation based on technology, which entails: 1) Automated customer-facing processes and internal operations; 2) Provision

Digital Solutions for Industrial & Manufacturing Firms

Executive leaders of fast-moving consumer goods (FMCG) are seeking guidance on how to apply new business technology in their manufacturing operations. CIOs and CTOs are tasked with gaining insight into the best solutions for digital transformation. ABI Research evaluated the impact politics, regulation, the economy, supply chain, ESG, and technology are having on FMCG, pharma, producers of steel, chemicals, pulp and paper -- as well as the mining and oil & gas sectors. Digital Transformation Market Development "Our assessment found that the FMCG sector is under pressure from all sides," says Michael Larner, industrial & manufacturing research director at ABI Research . Securing raw materials is challenging considering lockdowns in China and limited grain supplies from Ukraine. Supply shocks are raising input costs, and operating costs are rising with higher energy costs coupled with the pressure to pay higher wages and work sustainably. "We all hoped that with th

5G Fixed Wireless Access Revenue to Reach $24B

Available Internet access at an affordable cost is essential for everyone to participate in the Global Networked Economy. The deployment of fifth-generation (5G) wireless communications infrastructure is enabling the introduction of lower-cost broadband services in some markets. Fixed Wireless Access (FWA) allows mobile network operators (MNO) to deliver high-speed Internet connections in areas that have either insufficient or no prior wireline broadband access services. It's also used in urban, suburban, and rural areas where fiber optic communication is considered too expensive to install and maintain. With this new technology, MNOs have the potential to provide broadband capability at similar levels to fiber optic networks. Fixed Wireless Access Market Development Therefore, FWA can be used to supplement existing wired broadband Internet service offerings, provide additional broadband capacity, or act as a backup service for home or business applications. Although FWA is well es