Consumer spending on smart home related hardware will reach $61.8B in 2023, essentially the same as our December 2022 forecast of $61.7 billion. Our forecast was adjusted back in December to account for the current challenges to major global economies which negatively impact our forecast for the next two to three years. However, spending will still grow at an 7.7% CAGR from 2023 to 2028 reaching $89.7 billion by 2028.
In 2028 smart bulbs will generate the largest volume of unit sales followed by smart appliance controllers and smart electrical devices (the total of switches, sockets, and plugs). Surveillance cameras including video doorbells will be the top revenue generating category in 2023 and will continue to be so through 2028. Electrical devices are the second largest revenue generating category followed by connected smoke detectors.
This semi-annual forecast data table presents Strategy Analytics' forecast and key planning assumptions for all devices sold into smart home applications for the period from 2018 to 2028.The device forecasts for unit sales, annual spending and installed base are presented by country with regional and global totals.