The number of smart homes in the smart home market in the United States was forecast to continuously increase between 2023 and 2028 by in total 39.7 million users (+62.59 percent). After the ninth consecutive increasing year, the indicator is estimated to reach 103.15 million users and therefore a new peak in 2028. Notably, the number of smart homes of the smart home market was continuously increasing over the past years.Find other key market indicators concerning the average revenue per user (ARPU) and user penetration. The Statista Market Insights cover a broad range of additional markets.

The Report Covers Smart Home Market Companies in the US and it is Segmented by Product Type (Comfort and Lighting, Control and Connectivity, Energy Management, Home Entertainment, Security, and Smart Appliances). The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.

The household penetration rate in the smart home market in the United States was forecast to continuously increase between 2023 and 2028 by in total 27.2 percentage points. After the ninth consecutive increasing year, the indicator is estimated to reach 75.06 percent and therefore a new peak in 2028. Notably, the household penetration rate of the smart home market was continuously increasing over the past years.Find other key market indicators concerning the number of users and average revenue per user (ARPU). The Statista Market Insights cover a broad range of additional markets.

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US Smart Home Market Size 2025-2029

The smart home market size in US is forecast to increase by USD 6.47 billion at a CAGR of 5.6% between 2024 and 2029.

The Smart Home Market is experiencing significant growth, driven by increasing consumer interest in home automation and the development of technologically advanced products. Homeowners in the US are increasingly seeking convenience, energy savings, and enhanced security, leading to a rise in demand for smart home devices. However, challenges persist, including the need for greater interoperability between devices and systems to ensure seamless integration. The smart home market in the US continues to expand, integrating data connectivity technology, intelligent HVAC systems, and renewable energy solutions, all aimed at reducing the carbon footprint and enhancing living spaces.


As the market continues to evolve, companies must navigate these trends and challenges to stay competitive and meet the evolving needs of consumers. The growing importance of voice control, artificial intelligence, and the Internet of Things are also shaping the future of the Smart Home Market, offering new opportunities for innovation and growth. Home automation standards prioritize device reliability, scene creation capabilities, and user interface design, addressing system compatibility issues and data privacy concerns. Homeowners and developers alike are conducting user satisfaction surveys to understand preferences, improve usability, and tailor experiences to diverse lifestyles.

What will be the Size of the market During the Forecast Period?

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The smart home market is experiencing significant growth, with home automation platforms integrating various technologies to enhance the user experience. API integration and third-party collaborations enable cost savings calculations and remote access control, making homes more energy-efficient and cost-effective. Rule-based automation and network security measures ensure environmental impact assessments and energy consumption tracking, while system maintenance procedures and energy efficiency solutions address power consumption optimization. Smart homes enable residents to control various systems and appliances remotely, including HVAC systems, electrical cooling systems, natural gas, thermostats, lights, and home appliances.

System scalability solutions mitigate device connectivity issues and automation process efficiency, allowing businesses to offer affordable home automation pricing and automation scheduling tools. User satisfaction surveys indicate a growing preference for smart home ecosystems, with energy efficiency and ease of use being key factors. Smart home features continue to evolve, with home automation platforms offering advanced capabilities to cater to diverse consumer needs. Despite these advancements, addressing system compatibility issues and ensuring device reliability remains a priority for market players.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  Home entertainment
  Smart appliances
  Energy management
  Lighting control system and HVAC
  Safety and security system


Technology

  Wired
  Wireless


Application

  Retrofit
  New construction


Geography

  North America

    US

By Type Insights

The Home entertainment segment is estimated to witness significant growth during the forecast period. The smart home market in the US is experiencing significant growth, driven by the integration of advanced technologies such as automated window shades, remote home monitoring, home automation gateways, and data security protocols. AI-powered home assistants, like those found in smart speakers, have become increasingly popular for their convenience and user-friendly interface. These devices, such as Amazon Echo, use voice control integration, natural language processing, and machine learning algorithms to provide a seamless user experience. Smart home appliances, including refrigerators, ovens, and washing machines, can be controlled remotely through smartphone apps or home automation software. Entertainment control, lighting, and even smart furniture are also becoming integral parts of the smart home ecosystem.

Software and services, such as digital assistants and Bluetooth speaker control, further enhance the user experience. Zigbee technology and Z-Wave technology facilitate wireless communication between various smart home devices, while IoT home automation allows for device interoperability and environmental monitoring sensors keep users informed of their home's conditions. Security is a top priority, with smart locks, motion sensor technolog

When asked about "Smart home device ownership", ** percent of U.S. respondents answer "Building safety / security (e.g., connected smoke detectors / cameras)". This online survey was conducted in 2025, among ****** consumers.

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Smart Home Market Size 2025-2029

The smart home market size is forecast to increase by USD 255.2 billion, at a CAGR of 23.5% between 2024 and 2029.

The market is experiencing significant growth, driven by the increasing consumer interest in home automation. Smart home devices, including lighting, temperature control, audio/video systems, cameras, and even appliances like dishwashers, are becoming increasingly popular. This trend is reflected in the rising number of strategic partnerships and alliances between key players in the industry. However, the market faces challenges related to interoperability, which hampers the seamless integration of various smart home devices and systems. Companies must address this issue to ensure user-friendly experiences and maintain competitiveness.
To capitalize on market opportunities, strategic investments in research and development, as well as collaborations and acquisitions, are essential. Navigating interoperability challenges and delivering integrated, intuitive smart home solutions will be crucial for market success.

What will be the Size of the Smart Home Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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The market continues to evolve, with innovative technologies and applications unfolding across various sectors. Integration of apps, smart locks, customer support, wireless protocols, maintenance services, sensor technology, biometric authentication, IoT platforms, smart meters, smart washing machines, and other advanced features are becoming standard offerings. These solutions enable remote monitoring, energy management, home automation, and enhanced security systems. Smart home hubs and gateways facilitate seamless communication between devices, ensuring standards compliance and data analytics. Smart thermostats, refrigerators, and lighting systems optimize energy usage and provide user-friendly interfaces. Biometric authentication and facial recognition add an extra layer of security, while machine learning and natural language processing enhance user experience.

Wireless protocols, such as Zigbee, Z-Wave, and Bluetooth, enable seamless connectivity between devices. IoT platforms and cloud connectivity provide access to real-time data and remote control capabilities. Smart sensors and actuator technology enable automation and proactive maintenance. Data security remains a top priority, with advanced encryption and authentication methods ensuring privacy. Smart smoke detectors, home security cameras, and power management systems further extend the capabilities of smart home solutions. Smart ovens, smart displays, and smart speakers add convenience and entertainment to daily life. The ongoing evolution of smart home technology is driven by continuous innovation and growing consumer demand. Installation services and technical support ensure seamless adoption and integration of these advanced systems.

Smart irrigation, smart dryers, and smart plugs are just a few of the latest additions to the ever-expanding smart home ecosystem.

How is this Smart Home Industry segmented?

The smart home industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Application

  Home entertainment
  Smart appliances
  Energy management
  Lighting control system and HVAC
  Safety and security system


Technology

  Wireless
  Wired


Installation Type

  New Construction
  Retrofit


Product Type

  Smart Lighting
  Smart Appliances
  Security Systems


End-User

  Residential
  Commercial
  Property Developers


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    Spain
    UK


  APAC

    China
    India
    Japan


  South America

    Argentina
    Brazil


  Rest of World (ROW)

By Application Insights

The home entertainment segment is estimated to witness significant growth during the forecast period.

The market is witnessing significant growth, with home entertainment leading the segment. Voice user interfaces, particularly smart speakers, have revolutionized home entertainment by providing an easily accessible and user-friendly interface. Advanced functionality and technical capabilities of voice assistants, such as Google Home and Amazon Echo, have created opportunities for innovation in the market. Smart speakers enable multitasking, responding only after recognizing a wake word. Home security and automation systems, smart thermostats, refrigerators, and lighting are also key components of the market, integrating AI, data analytics, and wireless protocols for enhanced user experience. Compliance with industry standards, ener

The Report Covers North America Home Automation Systems and the Market is Segmented by Technology (Bluetooth, Wi-Fi, GSM/GPRS, ZigBee, RFID, EnOcean, Z-Wave), By Product Type (Security and Surveillance Systems, Lighting Systems, HVAC Controls, Energy Management, Entertainment Controls, Others), By Country (US, Canada). The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.

The Voice AI in Smart Homes Market is estimated to reach USD 514.62 Bn By 2034, Riding on a Strong 44.8% CAGR throughout the forecast period.

The size of the North America Smart Homes Industry market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 9.40% during the forecast period. The North American smart homes market has seen rapid growth, driven by technological advancements, increased internet penetration, and rising consumer demand for convenience, security, and energy efficiency. Smart homes incorporate interconnected devices and systems such as smart lighting, thermostats, security cameras, voice assistants, and home entertainment, allowing for automation and remote control through mobile apps and digital assistants like Amazon Alexa, Google Assistant, and Apple Siri. The U.S. leads the market due to high adoption rates of smart home technology, bolstered by tech-savvy consumers and the presence of key players like Amazon, Google, and Apple. Canada follows with steady growth, largely attributed to increased awareness of energy-saving solutions and home security systems. The industry’s growth is supported by factors such as rising disposable incomes, increasing urbanization, and a growing interest in energy-efficient solutions. The shift toward sustainable living, especially with energy-saving smart thermostats and lighting, has gained traction. Furthermore, integration with artificial intelligence (AI) and the Internet of Things (IoT) enables enhanced user experience through predictive capabilities and personalized settings. Recent developments include: November 2020 - Schneider Electric announced an additional USD 40 million investment toward modernizing its United States manufacturing plants in Iowa, Kentucky, Nebraska, and Texas. The investment will go towards innovative technologies and new product lines that will help increase the company's capacity of operations in the country for its customers and further develop its local workforce., March 2020 - ABB launched the ABB-free@home flex to give users control over blinds and lights from a mobile device without the need for additional wiring. With its Bluetooth connection, it can easily control smart room devices to increase comfort and improve energy efficiency. In response to the increasing demand for smart home systems that allow homeowners to manage their devices in the most efficient and sustainable way, ABB has developed this solution that enables end-users to 'smarten' up any room in their home.. Key drivers for this market are: Increasing Demand for Energy Efficient Solutions, Growing Need for Automation of Security Systems. Potential restraints include: High Installation and Replacement Costs Along With Privacy Concerns. Notable trends are: Demand and Growth of Smart Appliances to drive the market.

The average revenue per Smart Home in the smart home market in the United States was forecast to decrease between 2023 and 2028 by in total **** U.S. dollars. This overall decrease does not happen continuously, notably not in 2025. According to this forecast, in 2028, the indicator will have decreased for the third consecutive year to ****** U.S. dollars. Find other key market indicators concerning the number of users and revenue. The Statista Market Insights cover a broad range of additional markets.

United States Smart Homes Market size was valued at USD 32.8 Billion in 2024 and is expected to reach USD 68.5 Billion by 2032, growing at a CAGR of 11.1% from 2026 to 2032.

United States Smart Homes Market: Definition/ Overview

Smart homes are defined by the integration of advanced technologies designed to enhance convenience, security, and energy efficiency within residential spaces. These homes are equipped with interconnected devices that are remotely controlled, monitored, and automated through smartphones, voice assistants, or centralized hubs. Traditional living spaces are being transformed into intelligent environments tailored to the evolving needs of modern households.

The Smart Homes Market Report is Segmented by Components (Consumer Electronics, Access Control, Safety, and Security, Lighting, Energy Management, Smart HVAC / Climate Control, Controllers / Hubs, Smart-Home Healthcare, and Smart Kitchen), Housing Type (Single-Family and Multi-Family), Installation Type (New Construction and Retrofit), Sales Channel (Online and Offline), and Geography.

The US smart home market is experiencing robust growth, projected to reach a substantial size driven by increasing adoption of smart devices and rising consumer demand for enhanced home security, energy efficiency, and convenience. The market's Compound Annual Growth Rate (CAGR) of 5.41% from 2019-2033 indicates a consistent upward trajectory. Key drivers include the affordability and accessibility of smart home technologies, coupled with the increasing integration of these systems into everyday life. Consumers are attracted to features such as remote control, automation capabilities, and personalized experiences offered by smart home devices, leading to higher adoption rates across various segments. The market is segmented by application (home entertainment, smart appliances, energy management, lighting control, HVAC, and security systems) and technology (wireless and wired), with wireless solutions dominating due to their flexibility and ease of installation. Leading companies, including established players like Honeywell and newer entrants such as Amazon and Google, are actively shaping market dynamics through strategic partnerships, product innovation, and competitive pricing strategies. The market's growth isn't without challenges. Concerns regarding data privacy and security, along with the complexity of integrating various smart home systems, pose potential restraints. However, ongoing technological advancements in areas such as artificial intelligence (AI) and the Internet of Things (IoT) are expected to overcome these challenges and further fuel market expansion. The US market is expected to be the largest regional market due to high disposable incomes and early adoption of technology. The strong presence of key players and their continuous investments in research and development further contribute to this regional dominance. Future growth will be fueled by the expansion of 5G network coverage, improving network reliability and speed for seamless smart home functionality. The increasing integration of smart home technology with other sectors, such as healthcare and elder care, is also a significant growth driver. Growth opportunities also exist in developing advanced analytical capabilities to leverage the large data generated by smart home devices, improving service provision and creating new revenue streams. Addressing consumer concerns around data security through robust encryption and transparent data handling practices will be crucial for continued market expansion. Market players will need to focus on creating user-friendly interfaces and simplifying the integration of different smart home devices to make this technology accessible to a broader consumer base.

Global smart home market was valued at US$ 127.56 Billion in 2024 and is set to reach around US$ 1403.42 Billion by 2034 at a CAGR of about 27.1%.

The awareness of smart homes as a concept was higher among the Canadian respondents at 95 percent, compared to the value of 93 percent for North America. As the penetration of smart devices increases over time, the awareness among consumers of smart homes is increasing as well.

The North America Smart Homes Market size was valued at USD 49 Billion in 2024 and is projected to reach USD 102 Billion by 2032, growing at a CAGR of 10% from 2026 to 2032.

Key Market Drivers

Rising Energy Efficiency and Cost Management: The smart home market is significantly driven by consumers’ increasing desire to reduce energy consumption and manage household costs. According to the U.S. Energy Information Administration (EIA), smart home energy management systems help households reduce energy consumption by up to 15%. A report by the U.S. Department of Energy highlighted that smart thermostats alone save homeowners approximately 10-15% on heating and cooling expenses, which translates to an average annual savings of USD 180.

Growing Adoption of Internet of Things (IoT) and Connected Devices: The proliferation of IoT technologies has been a substantial driver for the smart homes market.

US Smart Home Hub Market size is expected to be worth around USD 94.6 Billion by 2034, from USD 42.6 Billion in 2024, at a CAGR of 8.3%.

The revenue is forecasted to experience significant growth in all segments by 2029. As part of the positive trend, the indicator is projected to achieve the maximum value across all six different segments by the end of the comparison period. Notably, the segment of smart appliances stands out with the highest value of ***** billion U.S. dollars in 2024.Find other insights concerning similar markets and segments, such as a comparison of number of users in China and a comparison of number of users in India.The Statista Market Insights cover a broad range of additional markets.

Major smart appliance manufacturers build smart household cooking appliances, refrigerators and laundry equipment. Rising millennial home ownership and increasing disposable income in developed economies are poised to drive automated home demand. A boom in the number of internet connections has skyrocketed demand for industry products. High input prices provided new revenue streams for manufacturers during the recovery from COVID-19, as companies passed on high costs to consumers. Interest rates have soared in recent years, as the Federal Reserve has been combatting inflation, till it finally cut rates in 2024 as inflation has cooled. This has raised the cost of borrowing, reducing downstream demand from the housing market and hindered revenue growth. Overall, industry revenue is poised to surge at a CAGR of 6.1% to $36.2 billion over the past five years, including a 1.1% increase in 2024 alone, while profit is set to total 16.2% of revenue. The industry will perform well during the outlook period, but revenue growth is poised to slow. The market will become saturated since many households already have access to home automation services. High saturation eliminates revenue streams simply by finding new customers, so revenue will only inch upward. Manufacturers will benefit from steadily rising incomes, as this provides demand for the industry's products. Stabilization in the housing market as interest rates regress will raise spending from the residential sector. Increased adoption of advanced technologies, like artificial intelligence and internet of things, rising trends towards smart cities and higher disposable income drive the demand for smart technologies over the outlook period. Accelerated adoption of newer technology by the masses and the rapid rise in data collection from users by various organizations are factors influencing market growth. Overall, revenue for major smart appliance manufacturers is expected to creep upward at a CAGR of 1.3% to $38.7 billion in 2029.

The global smart home devices demand is subjected to growth at a CAGR of 17.8%. The market revenue is likely to be valued at US$ 58.4 billion in 2023, and exhibit a revenue growth of US$ 300 billion by 2033.

Country-wise Insights