ZigBee Smart Thermostat Market to Grow at 67% CAGR to 2020
Many residential users are seeking ways to reduce energy consumption and cut costs
LONDON — The global market for ZigBee-enabled smart thermostats is forecast to increase substantially at a compound annual growth rate (CAGR) of over 67 percent by 2020, according to a market analysis by Technavio. The growing demand for high-efficiency HVAC equipment will be a key driver for this market. Heating and cooling accounts for nearly half of total household energy consumption in cold climates. As a result, many residential users are seeking ways to reduce energy consumption and cut costs.
The smart thermostat market is competitive due to the emergence of various wireless networking technologies like Bluetooth, Wi-Fi, ZigBee, and Z-Wave.
ZigBee-enabled smart thermostats are expected to be positively affected by factors like the rising need for low-energy wireless technologies. ZigBee, which operates on the IEEE 802.15.4 standard, is a wireless communication technology that has the advantages of efficient power management and ease of installation.
By 2020, the Americas are expected to be the largest market for ZigBee-enabled smart thermostats, accounting for a market share of nearly 55 percent. The presence of prominent vendors like ecobee, Honeywell, and Nest in this region will aid in the growth of the market as they are active members of the ZigBee Alliance.
Also, factors such as the rise in the number of smart homes in the region will also spur the prospects for market growth as it will necessitate the adoption of energy-efficient Internet-connected smart thermostats and other smart devices.
More information is available here.
Publication date: 3/29/2016