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Home Automation Market is Set to Double

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European Home Automation Market, finds that the market earned revenues of $232.6 million in 2006 and estimates this to reach $446.6 million in 2013.

The European market for home automation has strong links with the construction industry. However, retrofitting of existing houses offers significant growth prospects. Continued technological innovation is helping reduce the cost of installation, while steadily prising open the untapped potential of this sector.

New analysis from Frost & Sullivan, (buildingtechnologies.frost.com), European Home Automation Market, finds that the market earned revenues of $232.6 million in 2006 and estimates this to reach $446.6 million in 2013.

Apartments Install Home Automation Systems as Standard

“The construction of homes continues to drive the European market for home automation”, says Frost & Sullivan Research Analyst Niles Newberry. “In new apartment developments, home automation systems are beginning to be installed as standard.”

Currently, the majority of new home automation systems in Europe are installed during construction. Major renovations are also a key driver although the massive retrofit market is yet to be exploited.

Access to existing European housing stock - over 155 million houses - has been difficult. Key applications controlled by a system, such as lights and heating, are installed during the construction of the home presenting their own set of challenges. Furthermore, most systems are still based on a wire network.

New Construction BEST for Home Automation Systems

“The installation of a home automation system post-construction can be an intrusive and expensive affair with special cables laid around the house,” explains Newberry. “Retrofit systems are typically commissioned by wealthy home owners for their city centre apartments or second homes.”

To leverage the market’s potential, home automation manufacturers need to develop systems and components that utilise wireless communication protocols. These systems should be low-powered, reliable and have high compatibility.

The European Home Automation Market is part of the Building Management Technologies Growth Partnership Service, which also includes research in the following markets: Advances in Wireless Protocols for Building Automation, European Building Management and Control Systems and Intelligent Building Systems and Technologies. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.

About Frost & Sullivan

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics and demographics.

Edited by Carolyn Allen
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