Global Smart Speaker Market By Overview
Smart Speaker Market Size was valued at US$ 13.4 billion in 2024 and is projected to grow at a CAGR of 8.6% to reach US$ 28.4 billion by 2034.
Smart speakers are voice-activated devices that use artificial intelligence (AI) to understand and respond to human voice commands. They are wireless speakers with built-in virtual assistants, allowing the individual to interact with them through voice.Popular smart speakers include the Amazon Echo line (powered by Alexa), Google Nest (powered by Google Assistant), Apple Home Pod (powered by Siri), and Sonos One (compatible with multiple assistants). Smart speakers can be used for a variety of tasks, including playing music, podcasts, and audiobooks and making hands-free calls. Most products on the smart speaker market today can set alarms and timers, provide weather updates, give sports highlights, etc.
The smart speaker market is on the rise with a growth in the usage of smart home devices as they are used for controlling smart home devices (lights, thermostats, locks, etc.). Smart speakers these days can automate tasks like creating shopping lists and to-do lists, sched
Smart speakers are becoming increasingly popular due to their convenience and versatility. They can be a great way to automate tasks, stay connected, and control any home environment.
People are increasingly looking for ways to interact with technology using their voices. Smart speakers provide a convenient and hands-free way to control smart home devices, play music, get information, and more. The convenience of virtual assistants and voice control-enabled devices is driving the smart speaker market. For example, in 2023, half of the surveyed British aged 45 to 54 had a smart speaker, while 64% of Americans owned an Amazon Echo.
In 2023, around 857 million smart home gadgets were shipped worldwide, of which 278 million were from the video entertainment sector alone. Once integrated into existing smart home systems, such devices. On average, US homes with smart home technology own eight gadgets. An average American household is more likely to have multiple smart home devices. The average number of smart home devices rose from six to eight between 2018 and 2021.
Global Smart Speaker Market By Dynamics
Key Drivers of Target Market:
Growing demand for intelligent virtual assistants (IVAs):
- Virtual assistants like Amazon Alexa, Google Assistant, and Apple Siri are becoming increasingly popular, and smart speakers provide a convenient way to interact with them. IVAs can be used for various tasks, such as setting alarms, playing music, controlling smart home devices, and getting information.
Increasing adoption of smart home products:
- In recent years, smart speakers have become the smart home's central hub, allowing users to control lights, thermostats, locks, and other devices with their voice. As the smart home market continues to grow, so too will the demand for the smart speaker market.
Advancements:
- Smart speakers are constantly becoming more sophisticated and feature-rich. For example, some speakers now have built-in displays that can show information or video. Additionally, speakers are becoming better at understanding natural language, which makes them easier and more convenient to use.
Expansion into emerging markets:
- Although the smart speaker market is still relatively new in many emerging markets, it is expected to grow rapidly in these regions in the coming years. This is due to increasing urbanization, rising disposable income, and growing adoption of smartphones and other internet-connected devices.
Restrains:
- Connectivity issues: Smart speakers use a strong Wi-Fi connection to function properly. However, many homes still need more Wi-Fi coverage or unreliable internet connections. This can make it difficult for users to take full advantage of all the features a smart speaker offers and significantly limit the adoption of the smart speaker market.
- Compatibility issues: Not all smart speakers are compatible with all smart home devices. This can frustrate consumers who want to create a truly integrated smart home system.
- Security concerns: Smart speakers collect many personal data from users, such as their voices and the commands they give to the device. This data can be hacked, which raises privacy concerns for some consumers
Opportunities:
- Growth of smart homes: Smart speakers are a natural fit for the smart home, and the increasing popularity of smart home devices drives demand for speakers that can control them.
- Expansion into new markets: The smart speaker market is still relatively young, and there is plenty of room for growth in new markets. This includes both emerging economies and untapped demographics within developed economies.
- Development of new features and functionalities: Smart speakers are becoming increasingly sophisticated, and there is a growing demand for new features and functionalities. This could include improved voice recognition, integration with a wider range of devices, and the ability to perform more complex tasks.
- Focus on privacy and security: As consumers become more aware of privacy concerns, there is a growing demand for secure smart speakers that protect user data. Companies that can address these concerns will be well-positioned for success.
Global Smart Speaker Market By Segmentation
The market is segmented based on based on by Intelligent Virtual Assistant, by Application and Region.
Intelligent Virtual Assistant Insight
- Alexa- Currently this virtual assistant holds the largest revenue shares of the smart speaker market and will remain the dominant segment for the entire forecast period due to Amazon's early entry and strong integration with its ecosystem. Moreover, Alexa devices are known for their wide range of skills and compatibility with many smart home products which has contributed to their exceptional popularity.
- Google Assistant- This is a strong competitor with rapidly growing market share. Google Assistant although a late entry offers tight integration with Android phones and other Google products, making it a natural choice for many users.
- Siri- Moderate market shares, which are less than Alexa and Google Assistant’s. This virtual assistant is dominant but strictly within the Apple ecosystem. It is gaining more popularity amongst Apple users since Siri offers strong privacy features and deep integration with Apple devices.
- Cortana- This used to be a major market player launched by Microsoft but now holds much declined shares than before due to the arrival of strong contenders like Alexa and Google Assistant.
- Others (Xiaowei, DuerOS, Bixby, and AliGenie)- Companies like Xiaomi (Xiaowei), Baidu (DuerOS), Samsung (Bixby), and Alibaba (AliGenie) are seeing growth in their respective regions like China and South Korea. These assistants are often optimized for local languages and services.
Application Insights
- Smart Home- This is currently the largest and fastest-growing segment within the smart speaker market. Consumers are using smart speakers to control lights, thermostats, locks, appliances, and other smart home devices. The convenience and hands-free control offered by voice commands are driving significant growth in this area.
- Smart Office: Smart speakers are finding increasing use in offices for tasks like scheduling meetings, making calls, controlling conference room equipment, and accessing information. As businesses look to improve efficiency and productivity, the smart office segment is expected to grow steadily and diversify further.
- Consumer: This segment includes a wide range of personal uses for smart speakers, such as playing music, setting alarms, getting news and weather updates, listening to audiobooks, and placing online orders. It remains a strong and consistent application area with very strong growth potential resulting from new and innovative uses of speakers.
- Others (Commercial and Automotive): This segment of the smart speaker market encompasses a variety of emerging applications for smart speakers, including use in retail stores for in-store marketing and customer service, in transportation for hands-free infotainment and navigation, and in healthcare for patient monitoring and medication reminders. This segment has the potential for significant growth in the future driven by the latest wave of automation in vehicles.
Component Insights
- Hardware - This segment of the smart speaker market includes physical device including speakers, microphones, processors, and design. This segment gains popularity since its clear and powerful sound is a major selling point and entry-level devices make the market accessible.
- Speaker Driver- This is the speaker part that converts electrical signals into sound. The speaker driver market is mature, with a large number of established players. However, there is a growing demand for high-fidelity audio, which is driving innovation in speaker driver technology.
- Connectivity IC- This chip enables the smart speaker to connect to the internet, typically via Wi-Fi or Bluetooth. The connectivity IC market is highly competitive, with a few major players controlling a large share of the market. The demand for faster and more reliable connectivity is expected to drive growth in this market segment.
- Processor- The processor is the brain of the smart speaker, responsible for processing voice commands and running the virtual assistant software. A few major players who design their own custom processors for their respective smart speakers dominate the smart speaker processor market.
- Audio IC -The audio IC market is relatively fragmented, with a number of companies offering different solutions. The demand for improved audio quality is expected to drive growth in this market segment.
- Memory- Smart speakers require memory to store the operating system, virtual assistant software, and user data. A few major players dominate the memory market for smart speakers. The increasing demand for more complex virtual assistants and features is expected to drive the demand for higher-capacity memory in smart speakers.
- Power IC- The power IC is responsible for managing the power supply to the various components in the smart speaker. The power IC market is a mature market with a large number of established players. However, the demand for energy-efficient smart speakers is driving innovation in power IC technology.
- Microphone- The microphone is used to capture the user's voice commands. The microphone market is a mature market with a large number of established players. However, there is a growing demand for microphones with higher signal-to-noise ratios and beamforming capabilities, which can improve voice recognition accuracy.
- Software- Currently this segment holds a larger market share compared to hardware. This is because the VA platform and app ecosystem are the brains of the operation, offering ongoing value to users. Hardware manufacturers rely on innovative software to differentiate themselves.
Regional Insights:
On region, the Smart Speaker Market is segmented into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.
- North America: currently leads the pack with the highest market share and penetration rate of around 26% due to factors like early adoption of smart home technology and the strong presence of major players like Amazon and Google. Additionally, consumer preference for cost-effective and feature-rich devices is another market driver.
- Asia Pacific: market is expected to witness the fastest growth in the Smart Speaker Market during the forecast period due to well-established smart household infrastructure and are focusing on advanced functionalities and data analytics.
- Europe: market has developed economies and well-established energy and technology sectors systems, which are in demand with the increasing trend of automation. Better awareness regarding technological reliance and demand for home energy management will lead to market growth in the forecast period.
- Latin America: the market has a rapidly developing Smart Speaker Market due to factors like improved access to electricity and a rapidly increasing internet penetration.
- Middle East & Africa: The target market in this region is expected to witness significant growth in the coming years, driven by several factors such as the rapidly growing awareness regarding benefits of smart speakers in managing day to day tasks in homes and commercial buildings alike.
Smart Speaker Market Report Scope:
|
Attribute |
Details |
|
Market Size 2024 |
US$ 13.4 billion |
|
Projected Market Size 2034 |
US$ 28.4 billion |
|
CAGR Growth Rate |
8.6 % |
|
Market Segmentation |
By Intelligent Virtual Assistant -Alexa, Google Assistant, Siri, Cortana, and Others (Xiaowei, DuerOS, Bixby, and AliGenie) By Application- Smart Home, Smart Office, Consumer, and Others (Commercial and Automotive) By Component- Hardware (Speaker Driver, Connectivity IC, Processor, Audio IC, Memory, Power IC, and Microphone) and Software |
|
Regional scope |
North America - U.S., Canada Europe - UK, Germany, Spain, France, Italy, Russia, Rest of Europe Asia Pacific - Japan, India, China, South Korea, Australia, Rest of Asia-Pacific Latin America - Brazil, Mexico, Argentina, Rest of Latin America Middle East & Africa - South Africa, Saudi Arabia, UAE, Rest of Middle East & Africa |
|
Report coverage |
Revenue forecast, company share, competitive landscape, growth factors, and trends |
Segments Covered in the Report:
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2024 to 2034. For the purpose of this study, has segmented the Smart Speaker Market report based on By Intelligent Virtual Assistant, By Application, By Component, and Region:
Segmentation:
By Intelligent Virtual Assistant
- Alexa,
- Google Assistant
- Siri
- Cortana
- Others
- Xiaowei
- DuerOS
- Bixby
- AliGenie
By Application:
- Smart Home
- Smart Office
- Consumer
- Others
- Commercial
- Automotive
By Component
- Hardware
- Speaker Driver
- Connectivity IC
- Processor
- Audio IC
- Memory
- Power IC
- Microphone
- Software
By Region:
- North America
- U.S.
- Canada
- Europe
- Germany
- UK
- France
- Russia
- Italy
- Rest of Europe
- Asia Pacific
- China
- India
- Japan
- South Korea
- Rest of Asia Pacific
- Latin America
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- GCC
- Israel
- South Africa
- Rest of Middle East & Africa
Global Smart Speaker Market By Key Players
The key players operating the Smart Speaker Market includes, Amazon.com, Inc., Apple, Inc., Alibaba Group, Alphabet Inc. (Google Inc.), Sonos, Inc., Bose Corporation, Xiaomi, Samsung Electronics Co. Ltd., Baidu Inc.,Plantronics, Inc
Global Smart Speaker Market By Key Issues Addressed
- In March 2024, LG released the global version of its portable LG StanbyME Speaker (model XT7S).
- In 2024, JBL updated its popular portable speaker lines with Auracast for better connectivity in January 2024. This includes the JBL Xtreme 4, JBL Clip 5, and JBL Go 4. This was done in accordance with the company’s vision to become a world leader in sound technology.
Global Smart Speaker Market By Company Profile
- Landis Gyr
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Amazon.com, Inc.
- Apple, Inc.
- Alibaba Group
- Alphabet Inc. (Google Inc.)
- Sonos, Inc.
- Bose Corporation
- Xiaomi
- Samsung Electronics Co. Ltd.
- Baidu Inc.
- Plantronics, Inc
“*” marked represents similar segmentation in other categories in the respective section.
Global Smart Speaker Market By Table of Contents
- Research Objective and Assumption
- Preface
- Research Objectives
- Study Scope
- Years Considered for the study
- Assumptions
- Abbreviations
- Research Methodology
- Research data
- Primary Data
- Primary Interviews
- Primary Breakdown
- Key data from Primary Sources
- Key Thickness Insights
- Secondary Data
- Major Secondary Sources
- Secondary Sources
- Market Estimation
- Top-Down Approach
- Approach for estimating Market Share by Top-Down Analysis (Supply Side)
- Bottom-Up Approach
- Approach for estimating market share by Bottom-up Analysis (Demand Side)
- Market Breakdown and Data Triangulation
- Research Assumptions
- Market Preview
- Executive Summary
- Key Findings—Global Outlook for medical carts Strategies
- Key Questions this Study will Answer
- Market Snippet, By Intelligent Virtual Assistant
- Market Snippet, By Application
- Market Snippet, By Component
- Market Snippet, By Region
- Opportunity Map Analysis
- Executive Summary—3 Big Predictions
- Market Dynamics, Regulations, and Trends Analysis
- Market Dynamics
- Drivers
- Restrains
- Market Opportunities
- Market Trends
- DR Impact Analysis
- PEST Analysis
- Porter’s Five Forces Analysis
- Opportunity Orbit
- Market Investment Feasibility Index
- Macroeconomic Factor Analysis
- Market Dynamics
- Market Segmentation, By Intelligent Virtual Assistant
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), 2024 – 2034
- Y-o-Y Growth Analysis (%), 2024 – 2034
- Segment Trends
- Alexa
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Google Assistant
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Siri
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Cortana
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Others (Xiaowei, DuerOS, Bixby, and AliGenie)
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Overview
- Market Segmentation, By Application, 2024 – 2034, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), 2024 – 2034
- Y-o-Y Growth Analysis (%), 2024 – 2034
- Segment Trends
- Smart Home
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Smart Office
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Consumer
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Others (Commercial and Automotive)
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Overview
- Market Segmentation, By Component, 2024 – 2034, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), 2024 – 2034
- Y-o-Y Growth Analysis (%), 2024 – 2034
- Segment Trends
- Hardware (Speaker Driver, Connectivity IC, Processor, Audio IC, Memory, Power IC, and Microphone)
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Software
- Overview
- Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), 2024 – 2034
- Overview
- Global Market, By Region, 2024 – 2034, (US$ Bn)
- Overview
- Market Value and Forecast (US$ Bn), and Share Analysis (%), 2024 – 2034
- Y-o-Y Growth Analysis (%), 2024 – 2034
- Regional Trends
- North America
- Market Size and Forecast (US$ Bn), Intelligent Virtual Assistant, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Application, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Component, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Country, 2024 – 2034
- U.S.
- Canada
- Europe
- Market Size and Forecast (US$ Bn), Intelligent Virtual Assistant, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Application, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Component, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Country, 2024 – 2034
- UK
- France
- Germany
- Russia
- Italy
- Rest of Europe
- Asia Pacific
- Market Size and Forecast (US$ Bn), Intelligent Virtual Assistant, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Application, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Component, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Country, 2024 – 2034
- India
- Japan
- South Korea
- China
- Rest of Asia Pacific
- Latin America
- Market Size and Forecast (US$ Bn), Intelligent Virtual Assistant, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Application, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Component, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Country, 2024 – 2034
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- Market Size and Forecast (US$ Bn), Intelligent Virtual Assistant, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Application, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Component, 2024 – 2034
- Market Size and Forecast (US$ Bn), By Country, 2024 – 2034
- GCC
- Israel
- South Africa
- Rest of Middle East
- Overview
- Competitive Landscape
- Heat Map Analysis
- Market Presence and Specificity Analysis
- Company Profiles
- Amazon.com, Inc.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Apple, Inc.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Alibaba Group
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Alphabet Inc. (Google Inc.)
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Sonos, Inc.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Bose Corporation
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Xiaomi
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Samsung Electronics Co. Ltd.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Baidu Inc.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
- Plantronics, Inc.
- Company Overview
- Product Portfolio
- Key Highlights
- Financial Performance
- Business Strategies
The Last Word
- Future Impact
- About Us
- Contact
Global Smart Speaker Market By Highlights
FAQs
The Smart Speaker Market report segments the market basis of intelligent virtual assistant, application, component and region.
The rise in demand for smart home devices is a major driver propelling the smart speaker industry forward.
North America is the dominating market region for smart speaker market in terms of market revenue share.
The leading players operating in the Smart Speaker Market include Amazon.com, Inc., Apple, Inc., Alibaba Group, Alphabet Inc. (Google Inc.), Sonos, Inc., Bose Corporation, Xiaomi, Samsung Electronics Co. Ltd., Baidu Inc., and Plantronics, Inc.