Smart home M2M in Western Europe: Key market research findings
- Demand for energy conservation systems drives market growth
- Increase in the adoption of cloud-based technologies
- Key vendors – British Gas, Deutsche Telekom, Honeywell, Samsung, and Vodafone
Technavio’s market research analysts predict the smart home M2M market in Western Europe to reach almost $30 billion in terms of revenue by 2020. The market’s growth is fuelled primarily by the rising demand for energy conservation systems. Smart technology provides a channel to monitor and control energy resources based on the consumption requirement and eliminates phantom energy. For instance, the light controls market generated revenue of about $1.2 billion and the automated thermostats market generated around $1 billion in 2014 in the US and Western Europe owing to the increased demand for smart home convenience in the region.
The new market research report from Technavio presents a breakdown and analysis of the smart home M2M segments based on the application.
“There has been an upsurge in the adoption of cloud-based technologies for smart home applications in this market. IoT-related smart home applications comprise of home automation, access control, home monitoring, lighting control, fire or water leak detection, temperature monitoring and heating, ventilation, and air conditioning (HVAC) control, family care, and automated meter reading, with smart home security systems being the most sought after application. It provides a user-friendly interface to homeowners, helping them to arm, disarm, and check the security status of their house from a remote location,” says Rakesh Panda, Lead Analyst, ICT, Technavio Research.
At present, the market is dominated by the energy management and climate control systems, which is expected to reach a revenue of almost $6 million during the forecast period. The growing wireless Internet penetration, rising awareness about cloud services among consumers, and the emergence of technologies like ZigBee and Wi-Fi are some of the factors driving growth in this segment of the market. Commercial buildings are deploying many energy management and security control systems owing to the advent of Internet of things (IoT) to enable cost-effective operations, environmental sustainability, and efficient operations.
The key vendors in the market include British Gas, Deutsche Telekom, Honeywell, Samsung, and Vodafone. The smart home M2M market in Western Europe is highly fragmented and comprises telecommunication operators, platform providers, chip providers, device manufacturers, and OEMs. The level of competition is anticipated to intensify with well-established players like Google and Microsoft entering the market to capitalize on its high growth potential. Many leading players are also playing a vital role in the smart home market, which includes established telecom networks like BT and Vodafone.
A more detailed analysis is available in the Technavio report, Smart Home M2M Market in Western Europe 2016-2020.
We can customize reports by other regions and specific segments upon request.
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