Multi-Application Systems Dominate Future Smart Home Market

A new study from IMS Research, now part of IHS, projects that “smart home” nodes that are focused on energy management applications will be the highest deployed during the period 2010 to 2017, with almost 150 million nodes projected to be shipped. This includes a range of devices from HVAC controls, such as smart thermostats and radiator controls, to energy measurement devices such as smart plugs and in-home displays. Indeed, in-home displays account for a significant proportion of energy management device shipments, with large deployments set for a number of countries, ranging from the U.K. to India.

Home monitoring and security applications will drive the second highest proportion of ‘smart home’ node shipments during the period 2010 to 2017, with devices such as magnetic contacts and ‘smart’ motion sensors projected to account for around a quarter of global ‘smart home’ node shipments. Longer-term, it will be systems that consolidate a range of applications, such as energy management, home monitoring, lighting control and other home automation, into one seamless solution that will drive the market beyond initial deployments.

“In North America, where managed home control services have been most widely deployed, the main value proposition is initially home monitoring, with applications ranging from providing intruder alerts via SMS, to alerting working parents when children return home,” Lisa Arrowsmith, associate director of connectivity at IMS Research, explains. “Such services are now being expanded to offer a range of energy management or home comfort features, such as measuring appliance energy usage and remotely controlling HVAC settings. In contrast, in Europe (where the market for home control systems is less mature), systems are marketed more around the HVAC control or energy management features, with the home monitoring features offered as an add-on.”

Arrowsmith continues, “However, the ultimate driver for the uptake of smart home solutions will be the consolidation of applications into a single system; while each region may experience different initial drivers, a key value proposition is derived from systems which can provide cross-application functionality: for example, using a home monitoring system to determine that windows are open and therefore HVAC should be adjusted accordingly.”

IMS Research’s recently published report, Connectivity Opportunities in the Smart Home – World – 2012 Edition (published 9th November 2012), provides market estimates (2010-2011) and projections (2012-2017) for the uptake of fourteen connected home devices in four key application areas; energy management, home monitoring, lighting and other home automation. Each application area is further segmented by four system types (high-end home automation, managed services, do-it-yourself or mass-market automation systems and demand response/HAN) and fourteen connectivity technologies. Further segmentation includes major region and integration method (IC or module).

About The “Connectivity Opportunities in the Smart Home” Report
IMS Research’s recently published report, Connectivity Opportunities in the Smart Home – World – 2012 Edition (published 9th November 2012), provides market estimates (2010-2011) and projections (2012-2017) for the uptake of fourteen connected home devices in four key application areas; energy management, home monitoring, lighting and other home automation. Each application area is further segmented by four system types (high-end home automation, managed services, DIY or mass-market automation systems and demand response/HAN) and fourteen connectivity technologies. Further segmentation includes major region and integration method (IC or module).

About IHS 
IHS is the leading source of information, insight and analytics in critical areas that shape today’s business landscape. Businesses and governments in more than 165 countries around the globe rely on the comprehensive content, expert independent analysis and flexible delivery methods of IHS to make high-impact decisions and develop strategies with speed and confidence. IHS has been in business since 1959 and became a publicly traded company on the New York Stock Exchange in 2005. Headquartered in Englewood, Colorado, USA, IHS is committed to sustainable, profitable growth and employs more than 6,000 people in 31 countries around the world. For more information, visit www.ihs.com

About IMS Research 
IMS Research, recently acquired by IHS, is a leading supplier of market research and consultancy to over 2500 clients worldwide, including most of the world’s largest technology companies. Established in the UK in 1989, IMS Research now has dedicated analyst teams focused on the factory automation, automotive, communications, computer, consumer, display, financial & ID, LED & lighting, medical, power & energy, solar PV, smart grid and security markets. Currently publishing over 350 different syndicated report titles each year, these in-depth publications are used by major electronics and industrial companies to assess market trends, solve marketing problems, and improve the efficiency of their businesses. For more information, visit www.imsresearch.com