According to recent forecasts, worldwide shipments of various types of home monitoring and security devices, including home alarm systems, are currently expected to experience a double-digit growth in the year 2025, as the shipments themselves will be believed to surpass approximately 1.4 billion with a five-year compound annual growth rate of approximately 12.2%. This is reported to be due to consumers searching for further conveniences offered by both home automation products and ambient computing.
Currently representing around 20.5% of the total overall market share, these devices are currently predicted to grow at a further compound annual growth rate of 13% through the year 2025. Additionally, these same devices are also expected to increase their total market share to approximately 21.2% throughout the entire forecast period.
According to the International Data Corporation, the overall growth in these kinds of devices will end up slowing over the next few years due to the installed base of the devices themselves nears maturation, as well as consumers seeking alternative factors as a way to help with accessing smart assistants in their own homes, such as appliances, thermostats, televisions, and so much more.
The United States of America is expected to represent the main share of unit shipments throughout the next several years, resulting in a compound annual growth rate of approximately 3.8% throughout the next forecast period, as more than 451.3 million will be predicted to ship in 2025.
One research analyst had the following to say in regards to this:
“Sales of smart home devices have remained fairly resilient during the global COVID-19 pandemic. The market faced some challenges in 2020, the result of high unemployment, an uneven economic recovery, and lockdown measures, among other factors. But nonetheless, 2020 saw positive year-over-year growth across all device categories. Consumers have shifted their spending priorities from other areas like vacations, going out to eat, or visiting cinemas to focus on adding more comfort, conveniences, and entertainment at home. As such, we have seen that smart home devices like streaming sticks, smart speakers, security devices, smart lights, and others have performed well over the past year.”