Home Automation and Controls Market Expected to Reach $156.59 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Home Automation and Controls Market by Type (Home Automation System, Mainstream Home Automation System, and Managed Home Automation System), Technology (Wired Home Automation Systems, Wireless Home Automation Systems, Power Line Home Automation Systems, and Computing Network Home Automation Systems), and Application (Lighting, HVAC, Entertainment, Safety & Security, And Others): Opportunity Analysis and Industry Forecast, 2022–2031". The home automation and controls market size was valued at $52.98 billion in 2021, and is estimated to reach $156.59 billion by 2031, growing at a CAGR of 12.05% from 2022 to 2031.

Home automation and control system include high-end solutions, which also makes use of cutting-edge digital technology to simplify the usage of a number of household products. Better performance and efficiency are provided by automating household tasks. All electronic equipment in homes can be automatically controlled by home automation technology, or they can even be controlled remotely through wireless communication. With rapid advancements in technology, several devices are used in day-to-day activities, which are getting integrated, intuitive, and responsive. In addition, home automation systems require hubs and mobile applications, which are connected directly to router and IoT devices. The market for home automation and controls is being propelled by rising residential demand for comfort, energy efficiency, and increased security. Homeowners strive to automate their daily activities and save their energy use as smart technologies progress and become more widely available. Unmatched convenience and security are provided by the ability to remotely operate heating, cooling, lighting, and security systems using smartphones or voice-activated assistants. Additionally, the use of energy-efficient home automation systems is encouraged by rising environmental sustainability consciousness, further accelerating the market's expansion.

Prominent factors that drive the home automation and controls market growth market include growth in deployment of voice controlled home automation, smart home lighting system, home control systems, home automation devices, invasion of smartphones and tablets propelled a progressive transformation in the home automation, increase in the use of home automation systems among the elderly population, need for energy-efficient solution, and government initiatives toward construction of smart homes. However, lack of interoperability between smart devices hampers the growth of the home automation and controls market. Conversely, rapid urbanization in Asia is expected to create lucrative opportunities for the home automation and controls industry.

According to home automation and controls market analysis, the safety and security segment generated highest revenue in 2021, owing to increase in number of residential buildings equipped with specialized security systems that have controlling capabilities for electronic components. Additionally, the HVAC control segment is expected to grow at the highest CAGR during the forecast period, owing to the adoption of artificial intelligence and IoT for advancements of HVAC systems.The outbreak of COVID-19 has significantly impacted the growth of the home automation and controls sector in 2020, owing to significant impact on prime players operating in the supply chain. On the contrary, the market was principally hit by several obstacles amid the COVID-19 pandemic, such as lack of skilled workforce availability and delay or cancelation of projects due to partial or complete lockdown, globally.

Significant commercial and consumer prospects exist in the home automation and controls industry. Companies now have the opportunity to create cutting-edge solutions that address a range of client demands thanks to the growing integration of smart devices and the Internet of Things (IoT), giving them a competitive advantage. Consumers may construct intelligent, connected living environments that streamline everyday activities and enhance their overall quality of life with the help of home automation, which promises to increase comfort, security, and energy efficiency. Home automation is a key driver of the future smart home ecosystem because it has the potential for seamless integration with other developing technologies, such as artificial intelligence and renewable energy systems, as the industry continues to develop. Region-wise, EMEA holds a significant share in the home automation and controls market, owing to adoption of smart cities initiative by European government is further generating avenues for the growth of smart homes, thereby supporting the growth of the home automation & control market in the region.

KEY FINDINGS OF THE STUDY

• In 2021, the home automation system segment accounted for maximum revenue, and is projected to grow at a notable CAGR during the forecast period.
• The safety & security segment accounted for around 45.63% of the home automation and controls market trends in 2021.
• EMEA contributed for the major share in the home automation and controls market, accounting for highest revenue home automation and controls market share in 2021.

The key players profiled in the report include 2GIG Technologies, ABB Ltd, ADT Inc., AMX, Control4 Corporation, Honeywell International Inc., Johnson Controls International PLC, Legrand Group, Leviton Manufacturing Co., Inc., and Siemens AG.   Market players have adopted various strategies, such as product launch, collaboration& partnership, joint venture, and acquisition to expand their foothold in the home automation and controls market.