ALBANY, New York, Feb. 27, 2020 /PRNewswire/ -- According to the new research report published by Transparency Market Research, the global smart speakers market will grow at a staggering CAGR of 18.01% for the given forecast period ranging from 2018 to 2026. With this massive growth rate, the market is estimated to achieve a valuation worth US$18.4 bn by the end of 2026.
"The vendor landscape of the global smart speakers market is expected to become increasingly competitive in the next few years of the forecast period. The competition will become intense as several players will launch their own smart speakers. The leading companies in the market are expected to rely on their brand loyalty and innovative marketing strategies. The trend now is to create an ecosystem favorable smart speakers by integrating technologies such as intuitive voice assistance and voice commands. In addition to this, integration of advanced artificial intelligence technologies in these speakers are also expected to provide a solid competitive edge to the companies in the global market", observes TMR analyst.
Key Findings in the Research Report
The global smart speakers market can be broadly classified in terms of component, mode of sale, application, voice assistant type, and region.
Based on component, the market is primarily segmented into software and hardware. By the end of the forecast period in 2026, the segment of hardware is projected to attain a valuation worth US$10.343 Bn. Within the mentioned segment, the smart speaker processor is projected to grow at a considerable CAGR of more than 18% between 2018 and 2026. These smart speakers are becoming increasingly intelligent and are rapidly becoming a common household product. Processors thus become an important hardware component that allows the speaker to function and multitask smoothly.
Online and offline are the two main modes of sale of global smart speakers market. In coming years, the segment of online sales is projected to witness a rapid growth because of the growing demand for these products across the globe and the ease of convenience of the online mode. Growing trend of online shopping and digital marketing campaigns are expected to help the growth of the segment.
In terms of application, the segment of consumer is projected to witness a considerable growth in the near future.
Explore a report with detailed research, incisive insights, and in-depth country levels estimations. Gain business intelligence on global Smart Speaker Market by Components – Hardware (Processor, Microphone, Connectivity IC, and Audio System), Software; Mode of Sale – Online, Offline; Application – Commercial and Personal; Voice Assistant Type – Amazon Alexa, Google Assistant, Apple Siri, and Microsoft Cortana.
Global Smart Speakers Market – Prominent Growth Drivers
The TMR research report sheds light on numerous factors that are responsible for driving the growth of the global smart speakers market. Some of the key factors are mentioned below:
One of the biggest driving factor for the recent growth of the global smart speaker market is the increasing popularity and demand of AI-enabled speakers. With the recent technological developments, AI-enabled products have become increasingly accessible to common masses. AI-enabled smart speakers are among the most sought products, especially for the home users.
In addition to this, these products can also seamlessly fit into the smart home set up that is becoming increasingly common across the globe. This too has helped in fuelling the demand for smart speakers market.
Another important driving factor for the market has been constant developments in voice command technology and voice controlled personal assistant technologies. AI voice technologies such as Apple's Siri, Google's Assistant, Amazon's Alexa, and Microsoft's Cortana are becoming increasingly common and thus helping to improve the sales of smart speakers across the globe.
Global Smart Speakers Market – Key Restraining Factors
One key challenge that might hamper the growth of the global market is the lack of clarity of data privacy. There have been cases of unwarranted recordings and leaking of personal information, which might prevent people from completely trusting these devices.
Another important challenge for the growth of the market has been the lack of standardization.
Global Smart Speakers Market – Geographical Outlook
Asia Pacific segment is expected to offer massive growth opportunities for the overall development of the global smart speaker market. The region is projected to expand at a massive CAGR of 19% over the given period of forecast ranging from 2018 to 2026.
Increasing penetration of AI-based technology in countries such as Japan, India and China is expected to create huge growth opportunities for growth of Asia Pacific market.
On the other hand, the regional segment of North America will continue leading the global smart speakers market in terms of value as well as sales. Presence of notable brands and early adoption of latest technologies are some of the key factors that are influencing the growth of the region.
Analyze Smart Speaker market growth in 30+ countries including US, Canada, Germany, United Kingdom, France, Italy, Russia, Poland, Benelux, Nordic, China, Japan, India, and South Korea. Request a sample of the study.
Global Smart Speakers Market – Key Players
Some of the most notable brands operating in the global smart speakers market are Amazon.com, Inc., Apple, Inc., Harman International, Alphabet, Inc., Sonos, Inc., and Xiaomi Inc.
The global smart speaker market is segmented based on:
Smart Home Installation Service Market - Global smart home installation services market was valued at US$ 2,515.5 Mn in 2017, and is expected to expand at a CAGR of nearly 25% from 2019 to 2027
Smart and Mobile Supply Chain Solutions Market - The global smart & mobile supply chain solutions market was valued at US$ 13,614.8 Mn in 2018. It is expected to expand at a CAGR of 9.9% during the forecast period. The scope of smart supply chain solutions is high among third-party logistic (3PL) service providers.
Smart Home as a Service Market - Smart home as a service market is forecast to reach US$10.9 bn by the end of 2025. In 2016, the market's valuation stood at US$2.46 bn. If these figures hold true, the global smart home as a service market will exhibit an impressive CAGR of 18.1% between 2017 and 2025.
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