One of the hottest technologies to have penetrated consumers’ daily lives is smart home devices. These include small gadgets like smart speakers, larger appliances like smart refrigerators, and entire security and entertainment systems. 

According to the latest statistics, the global smart home market has been growing in recent years. In 2022, total revenues are expected to reach $115.7 billion, which marks a 10.8% annual increase. 

The growth of the smart home industry in 2022, though substantial, is actually a deceleration from the previous year. In 2021, the industry’s revenues grew 32.5% year-over-year.

The sector is set to continue growing in the coming years—and at a faster pace compared to 2022. For instance, analysts have projected an increase of 17.7% in 2023, to hit revenues of $136.2 billion. The industry is forecasted to register annual revenue growths of more than 10% over the next few years. By 2026, total revenues are projected to surpass $195 billion.

From 2017 to 2026, revenues from the global smart home market are expected to rise at an average of 19.6% per annum. The biggest growth came in 2018, during which the industry grew by 34.2%, to register revenues of $53.4 billion. In comparison, the slowest increase is expected this year.

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Smart home market share by type

Taking a deeper look at the smart home market share, we see that across all the different types, smart appliances generate the most revenues. These include refrigerators, ovens, dishwashers, microwaves, and dryers. 

Revenues from smart appliances in 2022 are forecasted at $44.3 billion—38.3% of the total smart home market share worldwide. In other words, more than one-third of every dollar spent on smart home devices worldwide will be on a smart appliance. In fact, smart appliances are expected to be responsible for most of the market’s revenues from 2017 to 2026. 

The smart home technology generating the second-largest amount of revenues is smart control and connectivity systems. At $23.2 billion in expected revenues in 2022, they make up 20% of the global market share. 

Here are some other technologies and their respective smart home market shares:

  • Security: $17.4 billion (15.1%)
  • Home entertainment: $12.1 billion (10.5%)
  • Comfort and lighting: $9.7 billion (8.3%)
  • Energy management: $9.1 billion (7.8%)

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