There’s a huge investment opportunity in the smart home, Barclays says

11/09/2017

There’s a huge investment opportunity in the smart home, Barclays says

Premium Girl turning on switch

Jessica Peterson | Getty

You might want to think about investing in companies working to make our homes smarter, according to Barclays.

Manav Patnaik, an analyst at Barclays, said in a note to investors on Tuesday that the connected home “could represent one of the most significant investment opportunities over the next several years.”

GoogleAmazonApple and Microsoft are all major players in the space named by Barclays, and each is trying to create its own ecosystem. Other companies, such as light bulbs built by Philips, not specifically called out in the report, can be used across different platforms developed by Google, Apple and Amazon.

Patnaik argued that the connected home industry could be worth more than $300 billion by 2020. Barclays says hardware could contribute $130 billion to that estimate while software and advertising would amount to about $170 billion.

CNBC: Apple Home

Todd Haselton | CNBC

Smart homes aren’t necessarily new, but they have previously been limited to wealthy consumers who could afford to have highly specialized systems installed in their homes. Now, thanks to Apple HomeKit and other solutions, consumers only need an affordable hub and a smartphone to add voice controls to gadgets ranging from light bulbs to vacuums and garage door openers.

Barclays said voice control helped spur new interest in the smart home and which will be the driving force behind growth in the space.

“We believe a final major driver for overall adoption rates will be the ability of consumers to save money on their electric bills: We estimate that the full opportunity of converting to a smart home with a fully electric vehicle replacing a conventional vehicle would save consumers 46.6% on their annual energy bills while also increasing overall household usage by 14% in our base case,” Barclays said.

By Todd Haselton

Smart Homes Market Revenue Predicted to Rise Significantly by 2022

20/03/2017

Smart Homes Market Revenue Predicted to Rise Significantly by 2022

A smart home can be described as a natural extension of the trend which has seen automation gradually invade all walks of human life. In a smart house, various systems like lighting, security, ventilation,., can either be preprogrammed or altered from a remote location through connected devices.

Smarthomes use other concepts like Internet of Things (IoT) as well as WiFi to constantly keep track of changes and transmit relevant information to a user. The home automation hub provides various benefits remote monitoring and control, efficient use of home resources and the creation of a unified control base.

Thus, the Smart Homes Market is in a great position to register a strong amount of growth during the forecast period of 2017-2022.


Scope & Regional Forecast of the Smart Homes MarketThe Smart Homes Market is grateful that a couple of important factors played a role in the rapidly growing popularity of the smart home automation system which is currently being witnessed right now. The prevalence of 4G in developed countries as well as the rapid penetration of WiFi technology in emerging countries has opened up the opportunity to promote the benefits of utilizing smart home technology.

Home automation companies consider the prime growth drivers to be a few factors like: growing residential demand for advanced security and monitoring systems; more awareness among the public regarding energy conservation and its effects on climate change; the superior experience as well as convenience provided by intelligent home systems when it comes to controlling various tools at home; and a gradual transition towards automatic control of home functions rather than operating them manually in an effort to save time as well as effort.

Currently, the Smart Homes Market is being dominated by the demand emanating from North America. The various initiatives and subsidies provided by the government have encouraged the people in the region to adopt various practices which align with smart house technology.

Energy conservation, integration with a smart grid, control of water and gas are some of the areas which have received a lot of focus so far. Meanwhile, Asia-Pacific is expected to be a key future demand driver as the emerging countries located in the region look to adopt the most advanced technology in an effort to battle climate change as well as to promote sustainable living.

Source:

industryarc.com/Report/1250/smart-homes-market.html

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