The smart speaker market was valued at USD 2.68 Billion in 2018 and is expected to reach USD 11.79 Billion by 2023, at a CAGR of 34.44% between 2018 and 2023.
The growth of this market can be attributed to rapid proliferation of multifunctional devices, growing trend of personalization, rising disposable income, and increasing number of smart homes. However, issues related to connectivity range, compatibility, and power restrain the growth of the smart speaker market.
This report covers the following intelligent virtual assistants (IVAs): Alexa, Google Assistant, Siri, Cortana, and others (Xiaowei, DuerOS, Bixby, and AliGenie). The market for Siri is expected to grow at the highest CAGR between 2018 and 2023. This growth can be attributed to Apple's established market for its smart devices. Siri's main advantage over other IVAs is its virtual surround sound technology and deep integration with Apple's product line. The company's strong brand and consumer base are expected to fuel the market for Siri-enabled smart speakers.
This report has been segmented on the basis of applications into smart home, smart office, consumer, and others (commercial and automotive). Smart home held the largest market share in 2017 owing to changing lifestyle, increasing per capita income, and the inclination of smart home owners toward luxurious entertainment systems.
This report has been segmented on the basis of components into hardware and software. IVA platform in a smart speaker compliments hardware by storing and recalling spatial data and allows live data streaming rather than static data. These functions require software with high computing and functionality, which would require advanced software.
The market in RoW is expected to grow at the highest CAGR between 2018 and 2023. The Middle East accounts for a substantial share of the smart speaker market in RoW. People in the Middle Eastern countries, especially the UAE and Saudi Arabia, are among the early adopters of smart devices that are convenient and easy to use, thus fueling the demand for smart speakers in RoW.
Increasing Number of Smart Homes
Rising Disposable Income
Rapid Proliferation of Multifunctional Devices
Growing Trend of Personalization
Issues Related to Connectivity Range, Compatibility, and Power
Increasing Consumer Preference for Technologically Advanced Products
Increasing Focus of Companies on Enhancing Customer Experience
High Security Risk
Availability of Substitute
Key Topics Covered: 1 Introduction
2 Research Methodology
3 Executive Summary
4 Premium Insights
5 Market Overview
6 Smart Speaker Market, by Intelligent Virtual Assistant