In North America, close to 40% of homes have invested in smart home technology
Smart home technology pushed into 34 million new homes worldwide last year, according to a new report from ABI Research. In North America, the most valuable smart home market, close to 40% of homes have invested in smart home technology. However, new home growth is poised to decline slightly this year as the market transitions from entering new homes to extending the scope of existing deployments.
Voice control is key to ongoing smart home integration. Voice control front-ends, such as Amazon Echo and Google Home devices, are the vanguard device in new many new smart homes and interoperability with the platforms that support them is vital for device OEMs and service providers.
This year, smart home voice control devices will represent one of every three smart home devices sold. Driven by strong voice control shipments, total smart home device shipments revenue will grow at 16% CAGR between 2019 and 2024 to reach $24.3 billion worldwide.
However, the smart home market is both driven and challenged by the rise of smart home voice control. Amazon and Google in North America and Europe along with players including Tencent and Alibaba in the Asia Pacific are building large installed bases, increasingly putting them in a powerful position to determine the direction and value of smart home interoperability.
The millions of homes where voice control has gained a foothold for smart home adoption will be fertile ground for the wider adoption of a growing range of additional smart home devices, control systems, integrated applications, and vendors.
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