International. According to the Market Research Store report, the global home automation market was valued at around $5 billion in 2014 and is expected to reach $21 billion in 2020, growing at a CAGR of around 25% between 2015 and 2020.
Residential automation is growing in popularity among homeowners due to the decreased costs and simplicity in the operation of home automation systems. The connectivity of tablets and smartphones with home automation systems has made it very convenient for end users to manage their home activities.
The wireless systems management segment dominated the home automation market in 2014. In 2014 it represented more than 40% of the global market. With the increased use of wi-fi enabled products, the demand for wireless system management is expected to increase.
Security was the largest application market for home automation in 2014, accounting for around 20% of the total market in 2014. The increased demand for security home automation systems can be attributed to the growing need for remote monitoring solutions. Entertainment is the second largest application market for the home automation systems industry.
The home automation market was dominated by North America with around 40% of the total market shares in 2014. North America is followed by Europe and Asia-Pacific. Europe is expected to experience strong growth in the market due to strong demand from Germany, UK and France.
