Security Services Market for Smart Homes Market Size

Smart Homes Security Services Market Analysis

Security Services Market for Smart Homes is expected to grow at a CAGR of 24.1% over the forecast period (2021 - 2026). The home security system market has been growing at a tremendous rate, with emerging new trends and innovative technologies making the home security sector more effective. The demand for home security systems is likely to be driven by the growing adoption of smart homes, where smart security systems are an integral part. The adoption of smart homes is made possible by the advancement in future technologies like IoT.

Smart home security devices can be connected to Wi-Fi and accessed from anywhere using smart devices, such as smartphones, smartwatches, or voices. The security services market for smart homes is driven by the increasing crime rates across the world, which is forcing people to focus on security and safety systems, especially in residential areas.

Artificial Intelligence (AI) has the potential to play a major role in boosting innovation in the home security and monitoring market. In addition, AI combined with machine learning could reduce the chances of false alarms, enhance detection of anomalous activities and performance of video analytics, and offer better video verification and surveillance capabilities. The introduction of this combination in security and monitoring systems can attract more consumers.

Nowadays, customers prefer multiple solutions in one package to access the most budget-friendly solution. Thus, vendors have been rolling products keeping in mind this kind of demand. For instance, in August 2020, Hero Electronix introduced 'Qubo Shield, a home security solution, which provides end-to-end security across all aspects of the home. It guards against external threats, such as theft or any safety threat, such as fire and gas leakages.

Among all the applications, video surveillance has been gaining the maximum market share. Surveillance systems implemented at homes have varied applications, such as monitoring and access control. These systems are also equipped with features, such as motion detection and night vision. With the increasing rate of crimes, video surveillance is expected to play a significant role in preventing crime, primarily due to the threat of being detected.

COVID-19 has seriously impacted the growth of the security services for the smart home market. The impact of COVID-19 has been significantly adverse, as supply chain disruption in regions such as China has ended in a decline in the need for home security systems. The reduction in the number of latest construction projects and manufacturing plants' closing are determinants influencing the demand globally.

For instance, various home security systems vendors are headquartered in Hubei province, which is one of the pandemic epicenters, thereby affecting domestic vendors such as ZKTeco, Hikvision, and Dahua with labor deficits and production obstructions throughout the country. The coronavirus's impact on the global supply of security equipment has adversely affected the growth of the market.