Skip to main content

Interactive Security Apps Drive Smart Home Growth

The evolution of the smart and connected home has created new revenue growth opportunities for consumer electronics vendors and telecom service providers. According to the latest worldwide market study by Berg Insight, the number of smart homes in North America and Europe reached 45 million in 2017.

The most advanced smart home market is still North America, having an installed base of 22.3 million smart homes at the end of 2017. This represents a market penetration of 15.9 percent.

Smart Home Market Development

Between 2016 and 2017, the smart home market grew by 40.7 percent year-on-year. Furthermore, the strong market growth in North America is expected to continue during the next five years.

By 2022, Berg Insight forecasts that more than 63 million homes in North America will be smart -- that's estimated to be 44 percent of all homes in the region.

That being said, the European market is still behind the North American market, in terms of penetration. There were a total of 22.5 million smart homes in Europe at the end of 2017.

The installed base in the European region is forecasted to grow to 84 million homes at the end of 2022 -- that represents a market penetration of 35 percent.

The most popular products for the overall smart home market include smart thermostats, smart light bulbs, smart security cameras, smart air conditioners, smart door locks, smart plugs and smart speakers.

According to the Berg assessment, several well-known vendors are offering these products -- including Nest, Signify, Belkin, D-Link, Assa Abloy, Haier, Sonos, Amazon and Google.

On the North American market, interactive security systems have emerged as the most common type of smart home systems, representing 42 percent of all whole-home systems in the region at the end of 2017. The largest home security providers include ADT, Vivint and Comcast.

In Europe, traditional home automation systems and Do-It-Yourself solutions are more common as whole-home systems. Moreover, eQ-3, Deutsche Telekom and Verisure are estimated to be the largest vendors of whole-home systems in the European region.

Smart speakers with built-in voice assistants have had a major impact on the overall smart home industry in 2017 and 2018. Amazon and Google are the major vendors of such devices, having a combined market share of over 90 percent.

Outlook for Smart Home Application Growth

Driven by the pervasive voice assistant trends, many of the smart home device and system vendors have made their products compatible with Amazon Alexa and Google Assistant in the past year.

"Consumers want convenience and a lot of people buy smart home products in order to facilitate their daily lives," said Martin Bäckman, research analyst at Berg Insight. "A major reason why voice-controlled speakers have become so popular is that they simplify the control of smart home devices and enable people to adjust lighting, temperature, multimedia and more from a unified interface."

Popular posts from this blog

Global Digital Business and IT Consulting Outlook

Across the globe, CEOs and their leadership teams continue to seek information and guidance about planned Digital Transformation initiatives and the most effective enterprise organization change management practices. Worldwide IT and Business Services revenue will grow from $1.13 trillion in 2022 to $1.2 trillion in 2023 -- that's a 5.7 percent year-over-year growth, according to the latest market study by International Data Corporation (IDC). The mid-term to long-term outlook for the market has also increased -- the five-year CAGR is forecast at 5.2 percent, compared to the previous 4.9 percent. Digital Sevices & Consulting Market Development IDC has raised the growth projection despite a weak economic outlook, because of vendor performances across 2022, growth indicators from adjacent markets, increased government funding, and inflation impacts. The actual 2022 market growth was 6.7 percent (in constant currency), which was 87 basis points higher than forecast last year, alth

Mobile Device Market Still Awaiting Recovery

The mobile devices market has experienced three years of unpredictable demand. The global pandemic, geopolitical pressures, supply chain issues, and macroeconomic headwinds have hindered the sector's consistent growth potential. This extremely challenging environment has dramatically affected both demand and supply chains. It has led to subsequent inflationary pressures, leading to a worsening global cost of living crisis suppressing growth and confidence in the sector. In tandem, mobile device industry stakeholders have become more cautious triggering market uncertainties. Mobile Device Market Development Operating under such a backdrop, the development of mobile device ecosystems and vendor landscapes have been impacted severely. Many of these market pressures persisted throughout 2022 and now into 2023, borne chiefly by the smartphone market. According to the latest worldwide market study by ABI Research, worldwide smartphone shipments in 2022 declined 9.6 percent Year-over-Year

Digital Talent Demand Exceeds Supply in Asia-Pac

Even the savviest CEO's desire for a digital transformation advantage has to face the global market reality -- there simply isn't enough skilled and experienced talent available to meet demand. According to the latest market study by IDC, around 60-80 percent of Asia-Pacific (AP) organizations find it "difficult" or "extremely difficult" to fill many IT roles -- including cybersecurity, software development, and data insight professionals. Major consequences of the skills shortage are increased workload on remaining digital business and IT employees, increased security risks, and loss of "hard-to-replace" critical transformation knowledge. Digital Business Talent Market Development Although big tech companies' layoffs are making headlines, they are not representative of the overall global marketplace. Ongoing difficulty to fill key practitioner vacancies is still among the top issues faced by leaders across industries. "Skills are difficul