Global consumer spending on smart home related hardware, services and installation fees will reach $131 billion in 2023 up 10% from 2022. In June 2023 the World Bank raised its view of growth in the world’s economy to 2.1% from the 1.7% it forecasted in January. However, the bank expects slowing growth in the second half of 2023 and muted growth in 2024.
Despite the cautionary view of the World Bank, TechInsights sees consumer spending on smart home systems and services to grow at 7.9% CAGR over the next five years reaching $191 billion in 2028. The smart home market is diverse in terms of use cases making it more resilient to downward economic pressures than many consumer markets. This forecast takes into account some softness in global economies.
By 2028, 550 million homes worldwide, or 24% of all households, will have at least one type of smart system installed. This forecast data table is updated semi-annually and presents TechInsights' forecast and key planning assumptions for the global Smart Home Systems and Services market for the period 2018 to 2028.
It includes detailed projections for smart home segments such as interactive security, remote and whole home control, digital health care, whole home and remote entertainment systems, and smart appliances. This forecast provides 18 separate country and 5 regional breakouts.