GVR Report cover Smart Home Market Size, Share & Trends Report

Smart Home Market Size, Share & Trends Analysis Report By Products (Lighting Control, Security & Access Controls), By Application (New Construction, Retrofit), By Protocols (Wireless, Wired), By Region, And Segment Forecasts, 2023 - 2030

  • Report ID: 978-1-68038-041-5
  • Number of Pages: 148
  • Format: Electronic (PDF)
  • Historical Range: 2018 - 2021
  • Industry: Technology

Smart Home Market Size & Trends

The global smart home market size was valued at USD 79.16 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 27.07% from 2023 to 2030. Smart home products are available in the form of cameras, smart lights, streaming devices, dishwashers, and more. Growing trend of integrating Artificial Intelligence (AI) in smart home products for smart features is expected to increase product demand. Moreover, high penetration rate of smartphones and the internet globally is driving the demand for connected smart home products. Digital assistance integrated with AI is offering users a hands-free and more user-friendly deployment of smart devices, significantly impacting the buyers’ preferences.

U.S. smart home market size and growth rate, 2023 - 2030

Growing use of virtual assistants, such as Siri, Google Assistant, and Alexa, enables users to use voice commands for task automation. The emerging features of these digital assistants, such as Bluetooth speakers and hands-free channel surfing, among others are driving the demand for smart home devices. For instance, in October 2022, Google updated its assistant to support voice-input message typing along with emoji support for convenience in messaging for users. Rapid adoption of modern technologies, such as Internet of Things (IoT), blockchain, smart voice recognition, and AI, is significantly impacting the market growth.

For instance, smart voice recognition technology enables smart home products with a mic to recognize users’ voices and give them personalized responses. Similarly, an increased adoption rate of IoT in developing and developed regions has also contributed to the growth of this market. The capability of technologies to allow connectivity between devices has helped in generating demand for smart home market. The COVID-19 pandemic shut down industries and affected the manufacturing of smart home devices. However, due to stringent lockdowns around the world, people were forced to stay at home.

As a result, people turned towards entertainment in the form of TV shows and movies, which caused a surge in demand for smart TVs and entertainment centres. In addition, there was a rise in the trend for smart homes as they offered automation in tasks following social distancing regulations. Although supply chain disruptions were present, the pandemic and its impacts also revealed significant shortcomings in the digital device and internet infrastructure sectors. As supplies decreased and production lagged, there were not enough semiconductors available to support smart products. This impacted the companies that manufacture smart home products.

Market Dynamics


One of the major concerns in every household across the globe is the fear of theft and burglary. According to the Federal Bureau of Investigation (FBI) statistics, a burglary occurs every 30 seconds across the U.S, adding up to over 3,000 burglar strikes per day. This has brought up significant installation of Closed-Circuit Televisions (CCTVs) around the premises of the properties, including household, office areas, driveways, and others. However, the various challenges associated with CCTVs, such as the ability of these cameras to only record footage and not prevent intrusions, requirement of high bandwidth and connectivity for remote monitoring, and others, is resulting in the growing demand for smart surveillance systems to ensure safety by detecting, deterring, and reporting intrusions. Smart surveillance system deploys sensors and computer vision to detect the actions and report real-time. It also enables the user to keep a backup of valuable footage on the cloud safely and allows connecting and controlling the entire location remotely.


Increased human needs and wants to carry out day-to-day activities lead to a substantial amount of carbon emission into the atmosphere, resulting in global warming. The careless and over deployment of electricity is one of the major causes of global warming. With the introduction of smart technology and smart systems, several innovative devices have been developed to reduce energy usage and consumption in households, making them greener and more sustainable. Smart home devices, including smart thermostats, smart sprinkler systems, smart bulbs, smart meters, smart composters, and smart power strips, allow individuals to control and monitor power consumption, save energy, and help to reduce carbon emissions footprint. The ability of smart devices to be an energy-efficient solution offering sustainable solutions for environment is driving the growth of smart home automation market.

Products Insights

Security & access control segment dominated the industry in 2022 and accounted for the highest share of more than 30.40% of the overall revenue. This growth is attributed to the increasing demand for smart security solutions and the need to allow authorized access to safes or rooms with valuable items. Smart locks and security cameras help monitor and authorize access only for permitted individuals by incorporating live feed playback, custom PINs, fingerprint scanners, and more. For instance, in September 2022, Amazon.com, Inc. unveiled Ring Spotlight Cam Plus, Ring Spotlight Cam Pro, and 2nd Gen Ring Alarm Panic Button for security and access control purposes using radar and 3D motion detection features.

The home healthcare segment is projected to grow at the highest CAGR during the forecast period. This growth can be attributed to the trend of consumers preferring smart home healthcare products to self-diagnose, owing to rising healthcare and insurance costs. The trend of fitness and health consciousness among people is also driving the segment’s growth. For instance, consumers are using home healthcare products to monitor their key vitals, such as oxygen and blood pressure levels. Earlier, this was possible only after visiting a hospital or a clinic; however, smart home healthcare products have enabled consumers to conduct basic testing at home.

Protocols Insights

Wireless protocols segment is expected to grow at the highest CAGR of 27.75% over the forecast period. The segment also recorded the largest market share in 2022. This strong growth is attributed to the capabilities and features offered, such as mobile connectivity, connectivity regardless of location, and more by protocols namely, ZigBee, Wi-Fi, Bluetooth, Z Wave, and others. Manufacturers prefer protocols, which offer smooth communication, with less to no impact on battery life and range.

For instance, ZigBee protocol provides longer battery life as it operates on lower latency and a low-duty cycle for instant device-to-device communication. The wired protocols segment is expected to grow at a significant CAGR from 2023 to 2030 as a result of the traditional products with built-in Ethernet or cable ports. Wired protocols often connect and help operate a hub of smart home devices at a central location. The secureness of wires laid behind walls and fewer connectivity issues is a driving trends for wired protocols. The rising demand for low-latency smart home products is expected to push the segment growth over the forecast period.

Application Insights

On the basis of applications, the global industry has been bifurcated into new construction and retrofit. The new construction segment is expected to register the fastest growth rate of more than 28.55% over the forecast period. This is mainly due to the convenience and ease of installing smart home devices at ongoing construction projects. Moreover, an increasing number of new residential construction projects around the world is expected to augment the demand for smart homes following the trend of smart security and access features.

Global smart home  market share and size, 2022

Owners of new construction projects are also likely to install multiple smart home products as a result of ease of logistics involved in fixing the devices. The retrofit segment dominated the global industry in 2022 and accounted for the highest share of the overall revenue in the same year. Many homeowners retrofit their existing homes by installing one or multiple smart products based on logistics and budget. Due to easy product availability, there is a rise in trend of smart homes, which drives the growth of this segment.

Regional Insights

Asia Pacific region will account for the fastest CAGR of 32.21% over the forecast period. This growth is attributed to the improved standard of living and rise in disposable income among individuals in the region. Penetration of smartphones, the internet, and other digitally advanced equipment is expected to drive market growth in the region. Furthermore, the trend of using AI-based digital assistance for daily tasks, such as Siri and Alexa, significantly impacts market growth.

Smart Home Market Trends, by Region, 2023 - 2030

Europe region is expected to grow at a steady CAGR from 2023 to 2030. The region recorded a significant market share in 2022. This growth can be attributed to the presence of key players in the region, including ABB, Legrand, Schneider Electric SE, Siemens, Robert Bosch GmbH, and others. Also, increased standard of living, high Gross Domestic Product (GDP), technologically friendly population, and favourable government initiatives support the growth of smart home devices and technologies, which is expected to drive the regional market.

Key Companies & Market Share Insights

Key players use strategies, such as partnerships, acquisitions, ventures, innovations, R&D, and geographical expansions, to solidify their industry position. Companies are also focusing on improving their product offerings to better suit the changing needs of users to stay competitive. For instance, in August 2022, Amazon.com, Inc. launched its wall echo, sound bot, wall echo, and home robot as part of the company’s yearly model upgrade. Launch is expected to be in line with the company’s aim to counter upcoming competitive companies. Key companies are investing substantial capital in ventures, development, and research in modern technologies.

For instance, in January 2022, Samsung Electronics Co., Ltd. partnered with Oracle Corp. to develop smart energy solutions for its customers and combine Oracle’s contextual and behavioural energy insights with Samsung’s SmartThings products and automation services. This partnership is aimed at providing new and valuable features in their product offerings. Key players are also developing additional capabilities for smart home products to support their use in new construction homes as well as retrofit home fitments. Some prominent players in the global smart home market include:

  • LG Electronics, Inc.

  • Siemens AG

  • Amazon.com, Inc.

  • Google Nest (Google LLC)

  • Samsung Electronics Co., Ltd.

  • Schneider Electric SE

  • Legrand S.A.

  • Robert Bosch GmbH

  • Assa Abloy AB

  • Sony Group Corp.

  • ABB, Ltd.

  • Philips Lighting B.V.

  • Honeywell International, Inc.

Recent Development

  • In January 2023, Schneider Electric acquired AVEVA plc to use AVEVA plc’s advanced software capabilities to introduce modern automation solutions for residential, commercial, and building complexes. The acquisition is expected to grow Schneider Electric’s home automation offering.

  • In April 2022, ABB Ltd. launched a collaboration with Samsung Electronics Co., Ltd. to expand its home automation portfolio. The collaboration will make it easier for new customers to reduce costs and create a positive impact on the environment.

  • In September 2022, Lutron Electronics Co., Inc. launched its Diva Smart Dimmer and Claro Smart Switch for smart lighting automation in homes which also has a wireless option.

Smart Home Market Report Scope

Report Attribute


Market size value in 2023

USD 100.42 billion

Revenue forecast in 2030

USD 537.01 billion

Growth rate

CAGR of 27.07% from 2023 to 2030

Base year for estimation


Historical data

2018 - 2021

Forecast period

2023 - 2030

Report updated

April 2023

Quantitative units

Revenue in USD million/billion and CAGR from 2023 to 2030

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Products, protocols, application, region

Regional scope

North America; Europe; Asia Pacific; Latin America; Middle East & Africa

Country scope

U.S.; Canada; U.K.; Germany; France; Italy; Spain; Benelux; Nordic Countries; Russia; China; India; Japan; South Korea; Australia; Indonesia; Thailand; Brazil; Mexico; Argentina; Saudi Arabia; UAE; Egypt; South Africa; Nigeria

Key companies profiled

LG Electronics, Inc.; Siemens AG; Amazon.com, Inc.; Google Nest (Google LLC); Samsung Electronics Co., Ltd.; Schneider Electric SE; Legrand SA; Robert Bosch GmbH; Assa Abloy AB; Sony Group Corp.; ABB, Ltd.; Philips Lighting B.V.; Honeywell International, Inc.

Customization scope

Free report customization (equivalent to up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options


Global Smart Home Market Segmentation

This report forecasts revenue growth and provides an analysis of the latest trends in each of the sub-segments from 2018 to 2030. For this report, Grand View Research has segmented the smart home market based on products, protocols, application, and region:

Global Smart Home  Market Report Segmentation

  • Products Outlook (Revenue, USD Million, 2018 - 2030)

    • Security & Access Controls

      • Security Cameras

      • Video Door Phones

      • Smart Locks

      • Remote Monitoring Software & Services

      • Others

    • Lighting Control

      • Smart Lights

      • Relays & Switches

      • Occupancy Sensors

      • Dimmers

      • Other Products

    • Entertainment Devices

      • Smart Displays/TV

      • Streaming Devices

      • Sound Bars & Speakers

    • HVAC

      • Smart Thermostats

      • Sensors

      • Smart Vents

      • Others

    • Smart Kitchen Appliances

      • Refrigerators

      • Dish Washers

      • Cooktops

      • Microwave/Ovens

    • Home Appliances

      • Smart Washing Machines

      • Smart Water Heaters

      • Smart Vacuum Cleaners

    • Smart Furniture

    • Home Healthcare

    • Other Devices

  • Protocols Outlook (Revenue, USD Million, 2018 - 2030)

    • Wireless Protocols

      • ZigBee

      • Wi-Fi

      • Bluetooth

      • Z Wave

      • Others

    • Wired Protocols

    • Hybrid

  • Application Outlook (Revenue, USD Million, 2018 - 2030)

    • New Construction

    • Retrofit

  • Regional Outlook (Revenue, USD Million, 2018 - 2030)

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

      • France

      • Italy

      • Spain

      • Benelux

      • Nordic Countries

      • Russia

    • Asia Pacific

      • China

      • India

      • Japan

      • South Korea

      • Australia

      • Indonesia

      • Thailand

    • Latin America

      • Brazil

      • Mexico

      • Argentina

    • Middle East & Africa

      • Saudi Arabia

      • South Africa

      • UAE

      • Egypt

      • Nigeria

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