The global smart homes market is expected to grow at a compound annual growth rate (CAGR) of 17.86%, reaching $124.596 billion in 2024 from $46.493 billion in 2018, according to the new report, "Smart Homes Market - Forecasts from 2019 to 2024" from ResearchAndMarkets.com.
Designed to enhance security measures, provide energy efficiency and boost entertainment capabilities, smart homes offer the ultimate connected environment. According to the report, some of the drivers pushing this trend forward include: energy efficient equipment like smart meters; electronic devices like refrigerators, air-conditioners and washing machines that are interconnected and can run with a two-way information channel; smart security systems; and the demands of an aging population with a growing prevalence of chronic diseases. On the other hand, some of the deterrents are high up-front costs as well as lack of awareness among consumers.
“Developed countries will be the major market providers at the initial stage, but market size in growing economies is expected to increase in the long run due to rapidly increasing purchasing power in these economies and an overall push from governments towards automation and energy efficiency,” states the report. “A growing percentage of the aging population in the developed countries with a higher rate of chronic conditions generates a high demand for energy efficient smart home solutions.”