The market for connected home devices is set to grow substantially over the next five years, according to new research from Cornwall Insight.
The research Connected Homes Insight Service has identified increasing levels of entry and investment, with rates of entry more than doubling over the last decade.
Both start-ups and established companies, including energy retailers, are trying to tap into this growing sector. Cornwall Insight’s new research shows they are concentrating their energy activity on three growth areas, defined in the new report as where technology improves:
• Comfort – covering heat, lights and convenience appliances
• Security – covering locks, cameras, sensors, alarms and diagnostics
• Wellness – covering health and care.
Oliver Archer, Analyst at Cornwall Insight, said: “Many investors and developers see great areas of opportunity from the energy connected home but regulatory, competitive and strategic forces are at play that must be addressed. The future success of the market will depend on overcoming these challenges. Our report explains these challenges and how different competitors are seeking to address them.
“The significant opportunities will be in the combination of multiple technologies and the associated data will allow companies to create personalised, automated lifestyle services alongside a better experience. The ability for these connected technologies to create efficiencies in combination with smart meters and time-of-use tariffs could not only reduce costs for the customer but also reduce emissions and provide aggregated grid services.
“A tipping point will be reached when businesses can go one step further and remove the need for active customer engagement in the technology, while still providing a personalised experience that adapts to the customer’s preferences. When this balance is struck, it is likely we will see a widescale uptake in connected home products and services, along with an acceleration of more innovative applications.”
Click here for more information about the research.