The global smart speaker market accounted for US$ 7,245 Mn in 2020 and is expected to reach US$ 29,021 Mn by 2028 with a considerable CAGR of 19.4% during the projected period of 2021 to 2028.
A smart speaker is a wireless and intelligent audio playback device that can perform additional functions by utilizing various types of connectivity. Smart speakers have special features that make them easier to use, allow them to connect to a variety of audio sources, and provide additional functionality. The primary objective of smart speakers was to deliver audio content wirelessly from a user's media library, which could be on multiple platforms, as well as from online streaming services. A smart speaker, on the other hand, is a device that plays favorite music, provides answers to questions asked orally, and controls home appliances via a integrated virtual personal assistant feature. A smart speaker extends the concept of what user usually think of as a media playback system. A smart speaker can serve as the central information source, providing weather, traffic updates, directions, and dictionaries along with other things. It also functions as a home assistant, controlling common household tasks such as lighting, temperature control (thermostat), window shades, door locks, security monitoring, and much more.
|Market||Smart Speaker Market|
|Market Size 2020||US$ 7,245 Mn|
|Market Forecast 2028||US$ 29,021 Mn|
|CAGR||19.4% During 2021 - 2028|
|Analysis Period||2017 - 2028|
|Forecast Data||2021 - 2028|
|Segments Covered||By Intelligent Virtual Assistant, By Application, By Component, And By Geography
|Regional Scope||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa|
|Key Companies Profiled||Apple, Inc., Amazon.com, Inc., Samsung Electronics Co. Ltd., Alphabet Inc. (Google Inc.), Alibaba Group Holding Limited, Bose Corporation, Sonos, Inc., Baidu, Inc., Xiaomi Inc., Plantronics, Inc., and others.|
||Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis|
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Smart Speaker Market Growth Factors
The growing demand for a smart speaker with intelligent virtual assistants, the growing proportion of smart homes, increasing per capita income, and the rapid expansion of multifunctional devices are all factors driving the growth of the smart speaker market. Furthermore, the rise in demand for smart home devices is a major factor fueling the smart speaker market growth. Other factors encouraging the market growth include an increase in consumer motivation to spend on trending technologies and an increase in smart device usage among the new generations. Furthermore, the formation of alliances between smart building manufacturers and creators of smart speakers allows for the flawless integration of smart home devices with smart speakers. This is a significant factor in the adoption of smart speakers.
Market By Intelligent Virtual Assistant
Based on the intelligent virtual assistant, Amazon's Alexa which debuted in 2014 occupied the largest market share in 2021. Increasing customer preference for Alexa, due to the fact that it is less expensive and has more applications than other assistants, drives global demand for Alexa smart speakers. It can respond to voice commands, play music, create to-do lists, set alarms, play audiobooks, stream podcasts, and provide climate, sports, traffic, and other real-time information, for instance news bulletin. Moreover, Alexa can also control a variety of smart devices by acting as a home automation system.
Market By Application
During the forecast period, smart home is projected to account for a relatively large revenue share. Due to their advanced functionality and variety of features, smart speakers are most widely used in smart homes. Smart speakers can control smart devices using the user's voice or spoken commands, enabling simple ways to make day-to-day tasks easier. Users can manage smart IoT devices with a smart speaker after connecting them to the Internet or Bluetooth. The growing integration of smart speakers with smart home appliances such as heating systems, smart led bulbs, and smart gadgets is encouraging consumers to use device capabilities to control other devices in smart building technologies, which is anticipated to increase the adoption of smart speakers and boost growth in this segment in the future.
Market By Component
Based on component, the hardware-based component segment has a large market share because smart speakers are becoming more thoughtful and are quickly becoming necessary devices in homes. Processors are critical components of smart speakers because they enable the smart speaker device to control and perform various voice input and tasks prompted by the consumer. It also aids in the performance of various tasks to support multiple functions such as music streaming, phone calls, and device control, which is a factor driving the market growth of the smart speaker market.
Smart Speaker Market Regional Overview
Middle East & Africa
North America has the largest market share in the smart speaker market owing to the region's high technological advancements and increased per capita income. On account of the early adoption of advanced new technologies and a strong economic landscape, North America has seen rapid growth in smart speakers. The presence of major speaker providers contributes to the region's speaker penetration. Customers' desire to embrace and adopt current technology has led to the development of advanced and distinctive items by significant North American providers.
Some of the major players in global smart speaker industry are Apple, Inc., Amazon.com, Inc., Samsung Electronics Co. Ltd., Alphabet Inc. (Google Inc.), Alibaba Group Holding Limited, Bose Corporation, Sonos, Inc., Baidu, Inc., Xiaomi Inc., Plantronics, Inc., and others.
The estimated value of Global Smart Speaker Market in 2020 was accounted to be US$ 7,245 Mn and market projected to reach US$ 29,021 by 2028
The projected CAGR of Global Smart Speaker Market during the analysis period of 2021 to 2028 is 19.4%
The prominent players of the global smart speaker market involve Apple, Inc., Amazon.com, Inc., Samsung Electronics Co. Ltd., Alphabet Inc. (Google Inc.), Alibaba Group Holding Limited, Bose Corporation, Sonos, Inc., Baidu, Inc., Xiaomi Inc., Plantronics, Inc., and others.
North America held the dominating share for smart speaker during the analysis period of 2021 to 2028
Asia-Pacific region exhibited fastest growing CAGR for smart speaker during the analysis period of 2021 to 2028
Growing penetration of IoT technology across globe and rising implementation of smart building and technological advancement are the prominent factors that fuel the growth of global smart speaker market
Based on application, smart home segment held the maximum share for smart speaker market in 2020