APAC Smart Home Market Size, Share & Industry Analysis, By Device Type (Safety and Security Devices, Energy and Water Control, Climate Control, Lighting Control, Consumer Electronics), By Housing Type (Multifamily Dwelling, Single Family Dwelling), Regional Forecast, 2023-2030

The Asia Pacific (APAC) smart home market size is projected to grow at a CAGR of 22.0% during the forecast period. The global smart home market is projected to grow from USD 80.21 billion in 2022 to USD 338.28 billion by 2030.

The APAC smart home market share is growing at a rapid pace due to increasing adoption of smart devices and development of innovative technologies. The market includes smart devices which are categorized into safety & security devices, energy & water control, climate control, lighting control, and consumer electronics. Usage of smartphones and implementation of AI by a majority of the regional population is driving the usage of voice-enabled smart devices.

The APAC market research report covers the following countries – China, India, Japan, South Korea, ASEAN, Oceania, and the Rest of Asia Pacific.

LATEST TRENDS 

Increasing Adoption of Voice-enabled and AI-powered Smart Devices to Drive Market Growth

Smart home vendors are increasingly focusing on developing smart devices that can be controlled using voice assistants and other Artificial Intelligence (AI)-powered technologies. The popularity of products, such as Amazon Alexa, Google Assistant, and Apple Siri, as well as increasing demand for smart homes and intuitive methods to control their home appliances remotely are further fueling the APAC smart home market growth. According to Perficient Digital report in 2020, the most popular voice assistant in India was Apple Siri with 40.1% of users, followed by Google Assistant with 30.9%, and Amazon Alexa with 17.1%.

Various players in the market are deploying voice-enabled smart home speakers using the latest technologies, such as AI to remain competitive.

DRIVING FACTORS

Emergence of Smart Cities to Further Boost IoT Implementation and Propel Market Progress

The emergence of smart cities and increasing investments in Internet of Things (IoT) infrastructure are interconnected factors driving the growth of the smart home market size in the region. Smart cities rely on deployment of IoT devices and sensors to collect data and monitor urban systems, such as energy, traffic, and public safety. For instance, in October 2021, the Chinese government announced a 3-year action plan (2021-2023) for the implementation of IoT network infrastructure across the nation. This plan will help connect and manage a wide range of IoT devices, further enhancing the quality of smart home technologies and machine to machine (M2M) connectivity.

RESTRAINING FACTORS

Higher Setup Costs of Smart Appliances to Impede Market Growth

As the concept of smart homes is gaining popularity in the region, the cost of purchasing and installing smart devices and systems can make consumers reluctant to purchase them. According to an IDC report on Asia Pacific smart homes, higher cost and lack of interoperability and standards are among the primary factors hampering the market growth.

Such factors can hinder the deployment of smart home appliances, resulting in slower market progress.

KEY INDUSTRY PLAYERS

Major Players are Innovating their Products to Strengthen Market Position

The APAC market is led by reputed players, such as Samsung Group, LG Electronics Inc., Haier Group Corporation, and Xiaomi Corporation. These key players are developing multiple energy efficient smart home devices, such as lighting control systems, smart locks, doorbells, and other security appliances to expand their business models, while adopting strategies, such as acquisitions, mergers, collaborations, product launches, and partnerships.

List of Key Companies Profiled:

• Samsung Group (South Korea)


• LG Electronics Inc. (South Korea)


• Haier Group Corporation (China)


• Sony Corporation (Japan)


• Johnson Controls (U.S.)


• Xiaomi Corporation (China)


• Amazon Inc. (U.S.)


• Robert Bosch GmbH (Germany)


• Tuya Inc. (China)


• Schneider Electric SE (France)

KEY INDUSTRY DEVELOPMENTS:

• November 2022: mui Lab, a Japanese manufacturer, implemented Matter to connect its smart devices and enhance interoperability. Additionally, the company raised USD 2.2 million (300 million yen) in a funding round led by Miyaki Kyodai Investments Ltd., Shinsu Startup, Succession Support Investment Ltd., and Giftee Inc. Through this funding, the company aimed to expand its business model by hiring new employees and building further partnerships.


• November 2022: Up, an Indian smart appliances provider, had raised USD 1.3 million in pre-set funding led by Zerodha Venture (Rainmatter), Ather Energy, Stanford Angels, and Unacademy, among others. The company intended to utilize the funds to deploy its first smart device called ‘delishUp’, an AI-driven smart cooking assistant.


• August 2022: Flipkart, an e-commerce platform, partnered with Panasonic to release new smart home devices which include air conditioners, refrigerators, and washing machines in India. The company brought together energy efficient and durable technologies which enhanced its footprint in the regional market.


• July 2022: Xiaomi released Smart Display 6, which enhanced its smart appliance offerings in China. The display included privacy features to turn-off XiaoAi assistant, and included a camera for remote monitoring and video calling.


• June 2021: Polycab India acquired Silvan Innovation Labs, which provides home automation products in India. This acquisition resulted in enhancements in research and development (R&D) efforts and innovation capabilities.

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The report offers a thorough analysis of the market, comprising qualitative and quantitative insights and a detailed assessment of potential market segments, market size, and growth rate. Additionally, it provides an in-depth analysis of market dynamics, emerging trends, and competitive landscape.

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