Smart Home and Office Market Size was valued at USD 34.88 billion in 2023. The Smart Home and Office market industry is projected to grow from USD 39.775 Billion in 2024 to USD 99.58 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 12.16% during the forecast period (2024 - 2032). Increased awareness towards safety and rising technological updation are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The rising adoption of AI technology drives market CAGR for smart homes and offices. Many types of smart home goods exist, including cameras, smart lights, streaming devices, dishwashers, and more. It is anticipated that product demand will rise as a result of the growing trend of incorporating Artificial Intelligence (AI) into smart home devices for smart features. Additionally, the widespread use of smartphones and the internet drives the demand for connected smart home products. The hands-free and more user-friendly deployment of smart Connected devices made possible by AI-integrated digital help significantly impacts consumer choices.
The popularity of virtual assistants like Siri, Google Assistant, and Alexa has made it possible for users to automate tasks using voice commands. The demand for smart home gadgets is being driven by newly developed functions of these digital assistants, such Bluetooth speakers and hands-free channel surfing, among others. For instance, Google modified its assistant in October 2022 to include voice-input message typing and support for emoji to make chatting more convenient for consumers. Modern technologies like the Internet of Things (IoT), blockchain, smart voice recognition, and AI are being adopted quickly, which has a big impact on industry growth.
As an illustration, smart speech recognition technology enables smart home devices with microphones to recognise users' voices and provide them with tailored responses. Similar to that, a higher rate of IoT adoption in both developed and emerging countries has aided in the expansion of this industry. Demand for the smart home industry has been aided by technologies' capacity to provide connectivity between devices. The COVID-19 epidemic caused industry closures and had an impact on the production of smart home appliances. But people were compelled to remain at home because of strict lockdowns that were in place all over the world.
As a result, individuals started watching TV series and films for entertainment, which increased demand for smart TVs and entertainment centers. As smart homes offered automation in tasks adhering to social distancing regulations, they also became more popular. Although there were supply chain disruptions, the pandemic and its effects also exposed serious flaws in the internet infrastructure and digital device industries. There were not enough chips available to support smart gadgets as supply declined and production delayed. The businesses that produce smart home goods were impacted by this. Thus, driving the Smart Home and Office market revenue.
The Smart Home and Office Market segmentation, based on type includes lighting controls, access controls, surveillance controls, and HVAC controls. The access controls segment dominated the market. This growth is attributed to the rise in the need for intelligent security solutions and the requirement to grant authorized access to safes or rooms containing priceless items. Live stream playback, personalized PINs, fingerprint scanners, and other features are all included in smart locks and security cameras to help monitor and authorize access only for authorized users. For instance, Amazon.com, Inc. introduced the Ring Spotlight Cam Plus, Ring Spotlight Cam Pro, and 2nd Gen Ring Alarm Panic Button in September 2022 for security and access control uses using radar and 3D motion detection technologies.
Figure 1: Smart Home and Office Market, by Products, 2022 & 2032 (USD billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The Smart Home and Office Market segmentation, based on standard, includes KNX, Zigbee, Z-Wave, EnOcean, BacNet, DALI, Wi-Fi and Infrared. The KNX category generated the most income. KNX Product is an open standard protocol that can save up to 60% on energy for both commercial and residential building automation. It streamlines and improves energy efficiency by integrating all building activities, including lighting, heating, and cooling, into a single intelligent system. Increased awareness of the need for energy efficiency and growing electricity rates are the two key factors driving category expansion.
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American smart home and office market area will dominate this market, owing to rising number of smart homes in the region. In addition, the growing towards home and office safety will boost market growth in this region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: Smart Home and Office Market SHARE BY REGION 2022 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Smart Home and Office market accounts for the second-largest market share due to the increased standard of living and presence of prominent players. Further, the German Smart Home and Office market held the largest market share, and the UK Smart Home and Office market was the fastest growing market in the European region
The Asia-Pacific Smart Home and Office Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to expanding awareness of safety and rising per capita disposable income. Moreover, China’s Smart Home and Office market held the largest market share, and the Indian Smart Home and Office market was the fastest growing market in the Asia-Pacific region.
Leading market players are adopting heavily the research and development activities in order to expand their product lines, which will aid the Smart Home and Office market, grow even faster. Market players are also undergoing a number of strategic activities to grow their global name and presence, with vital market developments including new product launches, contractual agreements, mergers and acquisitions, aand collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Smart Home and Office industry must offer cost-effective items.
Manufacturing locally to minimize operational costs and save capital is one of the key business tactics used by manufacturers in the global Smart Home and Office industry to benefit clients and increase the market sector. In few years, the Smart Home and Office industry has offered some of the most significant advantages to medicine. Major players in the Smart Home and Office market, including Johnson Controls International, Siemens, United Technologies Corporation, Honeywell, Schneider Electric, and others, are attempting to increase market demand by investing in research and development operations.
Siemens Ltd (Siemens India), a division of Siemens AG, offers technology-enabled solutions. Building technology, energy, drive technology, financing, healthcare, industrial automation, mobility, software, and consumer goods are all included in the company's product line-up. Additionally, the business offers a range of services, including IoT, real estate, business, and building technology services. In March 2023, Connect Box, an open and user-friendly Internet of Things solution created to manage small to medium-sized buildings, has been released by Siemens Smart Infrastructure. The new addition to the Siemens Xcelerator portfolio, Connect Box serves as a user-friendly approach for monitoring building performance, with the potential to optimize energy efficiency by up to 30% and to largely enhance the indoor air quality in small & medium-sized buildings such as schools, commercials, retail shops, and small offices.
Johnson Controls International Plc (Johnson Controls) operates as a technology and multi-industry corporation. It designs, develops, produces, and installs building systems and products. The company provides, among other things, retail solutions, building automation and controls, digital solutions, residential and smart home security, industrial refrigeration, fire suppression, distributed energy storage, and fire detection. Johnson Controls also provides data-driven solutions, energy management guidance, and technical support. In March 2023, A new security and smart home system called the IQ4 NS (No Screen) has been released by Johnson Controls. Customers can still get the same level of quality and dependability from the new screen-free system as they do with the IQ Panel 4 platform but for less money. For increased convenience and financial savings, the IQ4 NS enables customers to utilize the strong and comprehensive feature set straight from their smart devices.
Johnson Controls International,
Siemens,
United Technologies Corporation,
Honeywell,
Schneider Electric
May 2024: Huawei’s “Fashion Squared” concept is manifested in the Huawei Watch Fit3, which fuses traditional square design with new materials, production methods, and interface designs. This watch has a massive 1.82-inch HD AMOLED floating screen, a slim (9.9 mm) and light (26 g) aluminum alloy case, and comes in many colors. The user gets the services of a personal trainer right on their wrist with an improved Stay Fit app that has an expanded food database, nutrition analysis functionality, and Smart Sports recommendations based on the workout habits of users as well as weather conditions. As for health monitoring capabilities, the company has enhanced its sleep patterns analysis system -Huawei TruSleep 4.0; it also offers insights on how to have better sleep, and Huawei TruSeen 5.5 provides heart rate tracking improvement by approximately 30%.
February saw soft buzzings start within windows that lined up across Marvin skylights, slowly releasing air and marking another day at Eagan’s Marvin “smart home,” where products are tested before being released into the market for customers’ use from their headquarters located at Warroad. Marvin unveiled its latest product line called Marvin Connected Home, which consists of programmable voice-activated skylights, windows, and doors that can be controlled through apps. Marvin’s transformation management office senior director Lindsey Schroeder, on a guided tour of the company’s Eagan-based Connected Home innovation lab, told TCB that the products were started to be developed two years ago. The team that developed the product spent more than 90% of their life indoors, which, according to some studies, is considered unhealthy.
January 2024: home technology help will be made easier through Daisy, a new national home and small business tech services company. Daisy will be the first nationwide answer to an emerging market—people who want to spend less time struggling with technology at home and more time using it there instead. In Q2, this coming year alone, Daisy will open offices in California, Texas, Florida, Connecticut & North Carolina as part of its nationwide franchise model for the smart homes industry. By 2025, they plan to cover all the states of America, but at least they expect to be operating in no fewer than sixteen markets by the end of next year.
January 2021: In India, Samsung introduced large-capacity Variable Refrigerant Flow (VRF) air conditioning systems that can be placed in upscale flats, villas, bungalows, and homes as well as commercial and retail facilities in just 0.5 sq. m of area. With the help of the SmartThings app on any smartphone, the Wi-Fi-enabled DVM S Eco series provides smart features like voice control and a connected home experience. For more convenience, each indoor unit can be controlled independently. Current, daily, weekly, or even monthly energy consumption can be tracked based on the use of outside equipment to provide energy efficiency. Up to 16 indoor units can be installed quickly and easily with the DVM S Eco series.
March 2021: Customers of Ameren Missouri will receive free Sensi smart thermostats thanks to a cooperation between Emerson and that company. Customers of Ameren Missouri will be able to purchase Emerson's Sensi smart thermostat for nothing other than the mandatory sales tax thanks to quick reductions and participation in the Peak Time Savings programme. Participants can use cutting-edge technology to remotely regulate their thermostats from anywhere with a smartphone, dramatically reducing their energy costs.
Lighting controls
Access controls
Surveillance products
HVAC controls
KNX
Zigbee
Z-Wave
EnOcean
BacNet
DALI
Wi-Fi
Infrared
North America
US
Canada
Europe
Germany
France
UK
Italy
Spain
Rest of Europe
Asia-Pacific
China
Japan
India
Australia
South Korea
Australia
Rest of Asia-Pacific
Rest of the World
Middle East
Africa
Latin America
| Report Attribute/Metric | Details |
| Market Size 2023 | USD 34.88 billion |
| Market Size 2024 | USD 39.775 billion |
| Market Size 2032 | USD 99.58 billion |
| Compound Annual Growth Rate (CAGR) | 12.16% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Product, Standard, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The U.S., Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Johnson Controls International, Siemens, United Technologies Corporation, Honeywell, and Schneider Electric |
| Key Market Opportunities | Rising adoption of smart technologies like 5G |
| Key Market Dynamics | Increase in demand for safety products and rising per capita income |
Frequently Asked Questions (FAQ) :
The Smart Home and Office Market size was valued at USD 34.88 Billion in 2023.
The global market is projected to grow at a CAGR of 12.16% during the forecast period, 2024-2032.
North America had the largest share in the global market
The key players in the market are Johnson Controls International, Siemens, United Technologies Corporation, Honeywell, and Schneider Electric.
The access controls category dominated the market in 2022.
The KNX category had the largest share in the global market.
In September 2019, ABB came up with a set of new solutions for smart homes, which included ABB-secure@home. It is an intrusion and alarm system that are most used in residential properties.
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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