The smart home market is expected to double from 2018 to 2024 with a CAGR of 12 per cent. That means it is going from 76.6 billion US dollars to more than 151 billion dollars.
“There are a lot of new entrants in the smart home segment, not only the traditional security providers”, says Aurélie Boyer, Product Manager for ZeroWire & Security Devices at UTC Fire & Security.
According to Marketsandmarkets, there are many factors behind the growth of the smart home: a growing number of internet users and increasing adoption of smart devices, rising disposable incomes in developing economies, increasing importance of home monitoring in remote locations, a rising need for energy-saving and low carbon emission-oriented solutions. Another is the large number of manufacturers expanding their smart home product portfolios.
Video is still key
Aurélie Boyer, says: “It is a booming market. There are a lot of new entrants in the smart home segment, not only the traditional security providers, but also players such as Google home, and these companies usually come first with a solution for the smart home and bring the security afterwards. We penetrate the market with security first and then integrate with the smart home functionalities as well.”
She believes that video surveillance has been the most important technology when it comes to smart home integration. She says: “There is also a lot of focus on energy efficiency and integration with the smart thermostat, but I think video will remain number one for smart home integration.”
Smart home services
Marketsandmarkets points out that proactive software and services are two parts of the smart home market that will grow at a higher rate than the market as a whole. For many companies in the physical security industry, smart home services is a possible emerging market for the future. Home deliveries, like groceries, is an example of a service that could be done without the householder being home, but there must be a solution for door access.