Global smart home devices market shrinks 2.6 percent in 2022

As this year is about to end, a new report from International Data Corporation revealed that in 2022, shipments of smart home products drop 2.6% globally to 874 million units, with smart speakers and other video entertainment products like TVs and streaming devices bearing the brunt of the loss.

According to the International Data Corporation´s (IDC) ¨Worldwide Quarterly Smart Home Device Tracker,¨ worsening macroeconomic conditions have caused a decrease in the prognosis for global sales of smart home devices.

In a product-specific analysis, the shrinking purchases particularly affected smart speakers and video entertainment devices, set-top boxes, streaming devices and televisions.

In contrast, home surveillance and security products – cameras, doorbells and door locks – as well as smart lighting products posted a stronger growth, IDC noted.

However, video captured largest growth on the market in 2022, with 296.1 million, which accounted for 33.9% of the market shares. IDC forecast this section will also dominate purchases through 2026, although rate drops to 27.4%.

It is followed by home security devices, with 21.6%, or 188.6 million units sold in 2022, a percentage that will increase to 22.4% in the long-term analysis.

This is followed by smart lighting, which currently accounts for 10.8% on the market (94.7 million units) and by 2026, will hit 18%.

Meanwhile, smart speakers (116.4 million units shipped in 2022) and thermostats (24.8 million units sold in 2022) will lose prominence from 13.3% and 2.8% market share, respectively, to 11.26% and 2.6%.

Based on IDC´s forecasts, consumption of these devices is expected to grow in 2023, with an expected 4.6% surge.