This report assesses the US market for smart-home devices and the route to market. It includes market estimates for 2017 through 2020, market forecasts from 2021 through 2025 in terms of revenue, and unit shipments with splits by route to market. Omdia defines the smart-home market’s scope to include all devices that have digital connectivity and act as part of a smart home. This includes pointing devices limited to Bluetooth, and devices that are part of a complete ecosystem of devices with machine-to-machine (M2M) connectivity. This report also defines a device as smart if it can be digitally commanded/controlled.
- The global smart-home market was worth an estimated $58.5bn in 2020 and is forecast to exceed $167bn in 2025, with a CAGR of 23.3% from 2020 to 2025.
- Although the first half of 2020 was difficult for most smart-home manufacturers and service providers, the second half presented opportunities on a par with previous years. In fact, Omdia estimated that the global smart-home market grew by about 13% (revenue) in 2020 compared with 2019.
- In terms of unit shipments, an estimated 456 million smart-home devices were shipped globally in 2020, a number that is forecast to exceed 1.2 billion in 2025.
- In 2020, the consumer electronics device category was the largest in the Americas region. It was worth about $11bn and represented 59% of smart-home device revenue. The second-largest category in 2020 was climate control, worth about $4bn.
- In terms of route to market, Omdia included six categories: multiple system operators (MSO), security providers (ADT), retail (online and brick-and-mortar), builders (KB Home), utilities (Xcel Energy), and other. “Other” includes high-end technology specialists (Control4), insurance companies (State Farm), tradespeople/general contractors (plumbers/electricians/HVAC), and multi-dwelling units (MDU).
- Omdia found that retail was the most popular channel in 2020, representing 88% of smart-home device shipments in the US. Although retail will remain the primary channel for smart-home devices through 2025, builders and the “other” channel will combine to make up 15% of device shipments in 2025, up from 1.4% in 2017.