Smart Thermostats Are Expected To Reach Nearly $2.3 Billion in Annual Revenue by 2023

Interest is growing among utilities, businesses, and consumers, report finds

BOULDER, Colo.--(BUSINESS WIRE)--A recent report from Navigant Research analyzes the global market opportunities for smart and communicating thermostats, including global market forecasts for unit shipments, average selling prices, revenue, and penetration rates.


After only a handful of years in existence, the market for smart thermostats is now poised for growth. This market is being driven by the advent of a range of innovative devices and software that appeal to a variety of customer segments, particularly in North America and Europe. Click to tweet: According to a recent report from Navigant Research, annual global revenue for communicating and smart thermostats and associated software and services is expected to grow from $146.9 million in 2014 to $2.3 billion in 2023.

"It's not just end users that are interested in smart thermostat technologies," says Lauren Callaway, research analyst with Navigant Research. "Today, adoption is increasing in several different customer segments, as utilities, energy retailers, small businesses, and homeowners realize the value in using these devices to manage their energy use and save money."

Smart thermostats, along with the associated software and services, offer a range of capabilities, including temperature control, analytics and automation, connectivity to home area networks, and the ability to respond to utility pricing signals, including time-of-use and demand response, according to the report. In addition, these devices can access cloud-based services.

The report, Smart Thermostats, analyzes the worldwide market opportunities for communicating and smart thermostats, examining the current market drivers, inhibitors, and business segments, utility and vendor activity, and broad industry trends associated with these technologies. Forecasts for unit shipments, average selling prices, revenue, and penetration rates extend through 2023. Key technologies related to communicating and smart thermostats are also covered, and the report provides expected revenue for associated software and services. Additionally, profiles of major industry players are included. An Executive Summary of the report is available for free download on the Navigant Research website.

About Navigant Research

Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team's research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, and Smart Buildings sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.

About Navigant

Navigant is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals provide services that extend from expert and advisory work through implementation and outsourcing. The firm combines deep technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism to address clients' needs in highly regulated industries including Construction, Energy, Financial Services and Healthcare. More information about Navigant can be found at navigant.com.

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