Shipments of smart home devices are expected to dip 2.6 percent in 2022 to 874 million units, according to the latest forecast from IDC.
Shipments of smart home devices have been impacted by supply chain disruptions.
“We’re witnessing downward pressure on demand in 2022 as inflation continues to squeeze consumers’ wallets. Looking ahead, we expect volatility will continue to inhibit the market’s growth in 2023 and beyond,” Adam Wright, senior research manager, Smart Home and Office Devices, said.
Shipments of smart home devices will grow at 4.6 percent in 2023 with most of the growth coming from emerging markets as well as China.
Shipments of smart speakers in developed markets such as the United States and China are expected to decline in the long run.
“Smart speakers will rely on emerging markets and places like Europe where language and lack of services have been a barrier to adoption in the past,” Jitesh Ubrani, research manager for IDC’s Mobility and Consumer Device Trackers, said.