The global smart home market size is estimated to reach $537,27-billion by 2030, expanding at a CAGR of 27% from 2025 to 2030, according to a new report by Grand View Research.
The smart home is driven by computing devices and information technology that link smart home instruments and gadgets to provide convenience, entertainment, and enhanced comfort to residents in a sustainable way.
The market growth is attributed to the rising penetration of the Internet of Things (IoT) and Internet connectivity in homes.
Moreover, the trend of modern technologies, such as artificial intelligence (AI), being integrated with smart homes has enabled more advanced and digitally smart devices for better living.
In addition, the growing penetration of smartphones is driving the market as smart home devices can be controlled through a smartphone, thereby enabling ease of access and usage.
Plus, the trend of automation in daily mundane tasks is expected to support market growth significantly.
The rising need for home security has prompted the use of AI-powered smart home devices. Facial recognition and threat analysis are among the features included in these gadgets that are expected to drive the demand for smart home solutions.
Asia Pacific is expected to emerge as the fastest-growing region over the forecast period.
Additional highlights from the smart home market report include:
- The security & access control segment dominated the market with the largest share of over 29% in 2024 due to the increased demand for advanced security solutions and the necessity to restrict access to rooms or safes with valuable items and goods
- The wireless protocols segment is expected to witness the highest CAGR from 2025 to 2030 as wireless technology is continuously undergoing extreme developments in terms of connectivity and latency
- The new construction segment is expected to witness the highest CAGR from 2025 to 2030 period as product installations are easier in new constructions with prior knowledge of wall placements and wire/power outlets
- The smart home market in Asia Pacific is expected to grow at the highest CAGR of over 28% from 2025 to 2030 due to the increasing internet and IoT devices penetration