Yahoo Finance The Top Smart Home Company Revolutionizing the US
We recently compiled a report of the Top 20 Smart Home Companies Revolutionizing the US, and in this article we will look at the top company.
An Analysis of the Smart Home Industry
A smart home refers to a flexible and convenient home structure where appliances and devices can be controlled distantly from anywhere through the internet or networked devices. According to a report by Fortune Business Insights, the global smart home market was valued at $101.07 billion in 2023, the market is expected to grow from $121.49 billion in 2024 at a compound annual growth rate (CAGR) of 22.9% and is forecasted to reach $633.20 billion by 2032.
The market's growth is driven by the rise of digital technology including the Internet of Things (IoT) platforms, the popularity of smart features, the widespread use of smartphones, and the Internet. The integration with Artificial Intelligence has also allowed for a more convenient and user-friendly experience, greatly influencing buyers' preferences. During the COVID-19 pandemic, when people were spending more time in their homes due to lockdown restrictions, more vendors entered the industry and the market now covers a variety of mid-range, entry-level, and low-cost home automation products. Smart home applications, such as sprinkler systems, thermostats, meters, bulbs, power strips, and composters have enabled people to manage and track their power usage, conserve energy, and reduce carbon emissions. The demand for a smart ecosystem, where all the devices work seamlessly together using communication protocols, including Wi-Fi is increasing. Companies are deploying smart devices that consume less energy without compromising functionality. These devices are integrated with energy-efficient components such as low-power processors, LEDs, and power-saving techniques.
The North American region is expected to hold the largest market share during the forecast period due to the strong presence of major players and the increasing adoption of core communication technologies such as Wi-Fi, Bluetooth, Zigbee, Matter, NFC, and the upcoming 5G network. Key companies in this region are actively pursuing strategic mergers and acquisitions to expand their global business operations. Back in January 2022, Samsung Electronics Co., Ltd. (KSE:005930) partnered with Oracle Corporation (NYSE:ORCL) to develop intelligent energy solutions for their clients. This collaboration combines Oracle's contextual and behavioral energy insights with Samsung's SmartThings products and automation services. Additionally, the smart ecosystem is rapidly growing, with existing solution providers advancing their technologies. Major market players are broadening their product portfolios through mergers and acquisitions, as well as investing in cutting-edge technologies. The Asia Pacific region is forecasted to exhibit the highest CAGR during the projection period as the demand for automation solutions for residential applications is increasing rapidly and driving growth in the region.
Largest Player in the Smart Home Industry
Whirlpool Corporation (NYSE:WHR) is a leading home appliance manufacturing company that produces smart appliances such as washers, dryers, and refrigerators which can be controlled via mobile app and offers features such as remote start and notifications to improve home efficiency. The company has 59,000 employees and 55 manufacturing and technology research centers around the world.
According to the annual report, Whirlpool Corporation (NYSE:WHR) generated a revenue of $19.45 billion in 2023, down from $19.72 billion in 2022. The company spent $1 billion in capital expenditures and R&D in 2023. In Q1 2024, Whirlpool Corporation (NYSE:WHR) experienced a decline in net sales by approximately 3% due to negative promotional strategies introduced in the back half of 2023. The company projects full-year earnings of $13 to $15 per share in 2024.
Back in 2022, Whirlpool Corporation (NYSE:WHR) collaborated with the Connectivity Standards Alliance (CSA) on several initiatives including developing and promoting open standards for the Internet of Things (IoT), including Matter, which is an open-source, royalty-free connectivity standard developed by the Connectivity Standards Alliance (CSA-IoT). On May 9, Matter released its 1.3 update, in which Whirlpool Corporation (NYSE:WHR) played a crucial role. The update broadens Matter’s applicability to include home appliances such as microwaves, ovens, clothes dryers, vent hoods, and cooktops, to ensure that all Matter-enabled devices are available across all kitchen and laundry appliances. Matter aims to simplify connected experiences, ensure reliable connections, and provide consumers with more choices for smart home control while maintaining privacy and security. Commenting on the event Ryan Craig, Whirlpool Corporation’s (NYSE:WHR) director of global IoT strategy said:
“Our work with Matter in the kitchen and laundry room has been focused on giving consumers the flexibility to create a smart home that seamlessly fits into their daily lives. We are excited to show the world how Matter-enabled home appliances will bring the future to your fingertips.”
The global smart home market is poised for remarkable growth, driven by advances in digital technology, the integration of IoT and AI, and the increasing demand for energy-efficient solutions. As more consumers embrace the convenience and efficiency offered by smart home systems, the market is expected to expand significantly, with that, let’s take a look at the top 20 smart home companies revolutionizing the US.
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Our Methodology
In this article, we have listed the top 20 smart home companies revolutionizing the US, we opted for a consensus approach and consulted multiple rankings on the internet to find the top smart home companies. We formed an initial pool of companies by selecting those that appeared in at least 50% of our sources. To rank the companies, we considered their revenue and number of customers as primary and secondary metrics, respectively. In cases where both metrics were missing, we used the number of employees. All data is sourced from official statements and disclosures by the listed companies, or media reports for companies that did not have data. We have ranked the top 20 smart home companies revolutionizing the US in ascending order.
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The Top Smart Home Company Revolutionizing the US
1. LG Electronics (KSE:066570)
Number of Employees: 10,000+
Total Customers: N/A
Revenue of Home Appliance Business in 2023: $21.6 Billion (KRW 30.14 Trillion)
LG Electronics (KSE:066570) offers LG Smart ThinQ which enables users to control LG smart appliances through a single app. LG Smart ThinQ includes refrigerators, ovens, and washing machines which enhance convenience and integrate seamlessly with other smart home devices. LG Smart ThinQ’s combination of innovative technology, extensive compatibility, advanced features, and brand reliability has solidified its popularity among consumers seeking smart home solutions.
To view other smart home companies, you can take a look at the Top 20 Smart Home Companies Revolutionizing the US.
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