The smart home is driven by computing devices and information technology that link smart home instruments and gadgets to provide residents convenience, entertainment, and enhanced comfort in a sustainable way.
The market growth is attributed to the rising penetration of the Internet of Things (IoT) and home connectivity. Moreover, the trend of modern technologies, such as Artificial Intelligence (AI), being integrated with smart homes has enabled more advanced and digitally smart devices for better living.
Based on products, the security & access controls segment recorded the highest revenue share in 2022 due to the increased demand for advanced security solutions and the necessity to restrict access to rooms or safes with valuable items and goods.
The wireless protocols segment is expected to grow at the highest CAGR over the forecast period as wireless technology is continuously undergoing extreme developments in terms of connectivity and latency.
The new construction application segment is expected to register the fastest CAGR over the forecast period. Product installations are easier in new constructions with prior knowledge of wall placements and wire/power outlets.
The Asia Pacific region is anticipated to grow at the highest CAGR during the forecast period due to the increasing internet and IoT devices penetration.
Increasing smartphone use drives the market as smart home devices can be controlled through a smartphone, enabling ease of access and usage. Automation in daily mundane tasks is expected to support market growth significantly.
The rising need for home security has prompted using AI-powered smart home devices. Facial recognition and threat analysis are among the features of these gadgets that are expected to drive the demand for smart home solutions.