Security Devices for Connected Home Markets is Forecast To reach $7.7 Billion, Globally by 2021

Security Devices for Connected Home MarketSecurity Devices For Connected Homes: Market Shares, Strategy, and Forecasts, Worldwide, 2015 to 2021 Next generation home security devices  achieve a complete replacement of existing security systems,  3D video cameras, automated connected thermostats, access sensors, and intrusion detection devices can al alert a person on the smart phone.    Devices are wireless, are more energy efficient, last longer and have a significantly lower cost of operation.  The study has 366 pages and 116 table and figures.

With successful strategies for increased market presence, product leadership and cost-efficiency, apps are well positioned for continued long-term profitable growth driven by the major economic trends: urbanization, rapid technological development and increased security requirements.

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There is significant innovation in the market for the connected home.  Lower hardware prices, increased bandwidth availability, abundance of cloud capacity, sensor miniaturization, advances in wireless standards and mobile device smart phone evolution are market forces. Improved interfaces and alerting systems are the foundation for the connected home.

Home integrated networks implement home energy management (HEM) and security for the connected home.   The connected home is evolving into a multibillion-dollar industry as people use the apps on their smart phone to substitute for a security monitoring service. The smart phone can send alerts and allow control of lighting.  As wireless communication standards evolve to support systems integration, home owners gain more control of the living environment through remote access controlled by apps on the smart phone.

Growth has huge implications for energy efficiency and demand response.  The plethora of wireless communication standards include Wi-Fi, ZigBee, Z-Wave, Thread, and Bluetooth LE. Numerable platforms are available. A lack of standards has presented a substantial barrier to overall smart home adoption by limiting interconnectivity between devices. The best security products to keep the home and family safe are interconnected modules.

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2014 saw a wide expansion of security based do-it-yourself (DIY) home devices.  Hub-based systems, point solutions, modules, and kits were available as self-install home security units.  Security systems are part of a larger smart home systems market.  Early adopters are adding to units already in place.  The new modules are interconnected to apps on the smart phone.

Point solutions category are primarily focused on security.  The broader set of connected home solutions have modules that range from thermostats, doorbells and ceiling fans to slow cookers and irrigation controllers.  Crowdfunding sites like Indiegogo played a major role in helping drive funding for connected home devices and startups.

Consumers, especially in younger generations, expect mobile apps, security cameras, and mobile notification features with their home security systems. Older generations and the non-do-it-yourselfers have a hard time with installation and maintenance of DIY connected home solutions. The combination of needs from both the young and old are creating a favorable environment for strong sustained growth in the Do-It-For-Me (DIFM) interactive security and connected home space.

According to Susan Eustis, leader of the team that prepared the study, “In 2014 the Security for Connected Homes saw a large number of big-name acquisitions and entries.   Samsung made an acquisition of SmartThings.  Google’s acquisitions were of Nest, Dropcam and Revolv.   Apple acquired HomeKit.   Quantities of fielded point devices and systems increased.  What defines the market is the ability of a device to connect to a smart phone app and send alerts directly from a connected device to a remote smart phone”

Open platforms and device interoperability help consumers preserve their investments by building on top of their existing connected home devices and services. This compatibility also expands the value of connected homes by linking previously isolated devices and services, further enhancing peace of mind and convenience in the home. The hope is to offer consumers a more unified experience by giving them access to all of their devices from a single app or interface and enabling interactions and automation between previously isolated devices and services.

Security devices for the connected home markets at $1.2 billion in 2014 are forecast to reach $7.7 billion dollars, worldwide by 2021.  The continuation of 2014 trends, combined with low market awareness of the value of home automation, will force many connected home vendors to pivot and offer more than simple apps for device monitoring and control. This leads us to a big trend for 2015: movement toward interoperability between vendors, devices and platforms.

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  • Market Leaders
  • Essence
  • UTC / Interlogix
  • Tyco
  • GE
  • Hager Group Daitem Atral E-Nova
  • Google Nest
  • Apple
  • Essence
  • RISCO Group
  • Paradox
  • Philips Hue
  • Tyco
  • Google / Nest
  • Samsung
  • Belkin Wemo
  • UTC / Interlogix
  • 2GIG
  • GE
  • Market Participants
  • Assa Abloy
  • August226
  • Canary
  • Comcast
  • Digilock
  • Hager Group
  • HTC
  • Icontrol Networks
  • Ivee
  • LG
  • Nortek Security & Control LLC
  • Sercomm
  • United Technologies Corp /UTC
  • Key Topics
  • Connected homes
  • Security Devices
  • Keypads
  • Proximity Keys
  • Security Cameras Connected
  • 3D Home Security Viewing
  • Intrusion detection
  • Window sensors
  • Door sensors
  • Main Panel
  • Security Management Solutions
  • Integrated Security
  • Building Management
  • Fire Suppression
  • Video Surveillance
  • Intrusion Detection
  • Monitoring
  • Integrated Security
  • Access Control
  • Network

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This is Nicole Austin is Assistant Manager and senior principal of the Market Research Store, a market research firm located in Florida, New York. I am Post Graduated of University of Miami, where I received MBA in Research and Development Management. I started Market Research and Analysis from a young age and most of my skills and knowledge are self taught. Find me on Google, Linkedin,Facebook


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