Intelligent CXO Issue 25 | Page 62




According to a new research report from the IoT analyst firm , Berg Insight , the number of smart homes in Europe and North America reached 120.5 million in 2022 . North America is the leading market in terms of penetration and 39.2 % of all households in the region had at least one smart home product or system at the end of the year which equals to 57.5 million smart homes .

During 2022 , the number of smart homes in North America grew by 12.0 % yearon-year . The strong market growth is expected to continue in the next five years . By 2027 , Berg Insight estimates that about 88.1 million homes in North America will be smart , equal to 58 % of all homes in the region . The European market is still somewhat behind the North American , in terms of market penetration . There was a total of 63.1 million smart homes in Europe at the end of 2022 . The number of smart homes in the region is forecasted to reach about 112.8 million at the end of 2027 , representing a market penetration of close to 47 %. providers , telecom operators and DIY solution providers .
On the North American market , interactive home security systems have emerged as one of the most common types of smart home systems . The largest home security providers include ADT , Vivint , Comcast and Telus . In Europe , traditional home automation systems and DIY solutions are more common as wholehome systems . eQ-3 , Centrica , Verisure and Somfy are estimated to be the largest vendors of whole-home systems in the region . The installed base of whole-home systems in Europe and North America amounted to 26.5 million systems and 35.7 million systems respectively at the end of 2022 .
The smart home market continues to grow as more consumers realise the value of connected products and systems . Developments of new products and services as well as connectivity standards that facilitate setup and control of devices from different vendors are also fostering growth in the market .
“ The new Matter standard is likely to become a key driver for mass-market adoption of smart home devices in the coming next few years ”, said Martin Backman , Principal Analyst at Berg Insight .
There are also other new industry collaborations , such as the Home Connectivity Alliance ( HCA ) for connected home appliances , that aim to simplify control of various devices for end-users . Surging electricity prices are also creating demand for smart home solutions that can help households reduce their electricity consumption .
“ Smart ACs , heat pumps , thermostats and other products that enable households to reduce expenditures are anticipated to increase in popularity over the coming years ”, said Backman . x
The most popular smart home products include smart thermostats , smart light bulbs , smart security cameras , smart door locks , smart plugs and smart speakers . These products have sold in the hundreds of millions and are marketed by incumbent original equipment manufacturers ( OEMs ) such as Signify , Resideo , Danfoss , Belkin , Chamberlain and Assa Abloy and newer entrants such as Ecobee , Mysa , Nuki , Arlo , Netatmo and Wyze Labs . The market for whole-home systems is served by traditional home automation specialists , home security
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