Smart home market to hit $200.8b by 2028

Leading players include Amazon, Google, and Xiaomi.

Global spending on smart home devices is expected to grow at a compound annual growth rate (CAGR) of 11%, reaching $200.8b in 2028 from $119.5b in 2023, according to GlobalData.

Smart appliances, smart speakers, and smart security systems were the top three revenue drivers in 2023, accounting for 34%, 28%, and 25% of the market, respectively. Smart appliances are set to remain the largest segment over the next five years.

Leading players in the industry include Amazon, Google, and Xiaomi. Amazon’s Echo speakers and its $1b acquisition of Ring strengthen its position, whilst Google’s Nest ecosystem remains a major player. In China, Alibaba and Xiaomi dominate.

“The smart home market is dynamic and constantly evolving. As technology advances and consumer adoption accelerates, devices will continue becoming more intelligent, integrated, and accessible," said Shabnam Pervez, strategic intelligence analyst at GlobalData. "The future of living is smart, and it is happening now."