Saturated with smart devices, consumers are frequently turning to experiences that leverage multiple devices and bundle them into distinct service-based ecosystems, says CABA’s Landmark “Smart Home as a Service” (SHaaS) Research Report. The new business model, “Smart Home as a Service,” represents a shift from device-based functions to managed services, and will usher in a new user experience more in-line with customer needs. Ultimately, the speed at which SHaaS emerges will depend on achieving open ecosystems and responding effectively to consumer data privacy and security concerns, the research notes.
The Continental Automated Buildings Association (CABA) commissioned Harbor Research, Inc. to provide a comprehensive examination of all aspects of Smart Home as a Service. The resulting report, released for sale earlier this year, seeks to understand how use cases, customer environments, buying behaviors, and evolving ecosystem interactions all impact and influence the development of the connected home market.
The following CABA members sponsored the study: Acuity Brands, Inc., Alarm.com, Inc., American Lighting Association (ALA), Big Ass Fans, Canadian Gas Association (CGA), CEDIA, ComEd, An Exelon Company, Consumer Technology Association (CTA), CSA Group, Daikin Industries, Ltd., Hydro-Québec, KNX Association, Legrand, MOEN Inc., Resideo Technologies, Inc., Rheem Manufacturing Company, SnapAV / Control4, Southern California Edison Company, Southwire Company, LLC, The 3M Company, University of Illinois at Urbana-Champaign, and Telus.
Readers can now download a complimentary Executive Summary of this report, which recently went through an embargo period and can be purchased in the CABA Store. CABA also held a “Think Tank” session on October 21, reconvening the SHaaS (Smart Home as a Service) Steering Committee for a discussion on what industry can learn about the future direction of “connected homes” from this research. Top insights gleaned from the report that outline the key considerations for stakeholders in the future smart-home landscape include:
“Traditionally, OEMs have built devices that interact only with other devices manufactured by the same OEM,” the report notes. “This model coerces customers into only buying products manufactured by the same vendor, resulting in vendor lock-in. As SHaaS emerges, a similar trend must occur for users to be able to effectively plug-and-play devices that enable overlapping service ecosystems. To meet this challenge, a number of open network communication protocols have begun to emerge.”
“In the connected-home landscape, integration with the surrounding smart hubs, currently dominated by a small number of prominent players, will be a critical phase but also a potential stumbling block,” said Ronald Zimmer, CABA President & CEO.
“These are among the challenges that the new CABA report provides actionable insights on. Organizations can use this report to develop a clear understanding of the key trends and forces influencing the direction of ‘Smart Home as a Service,’ while suggesting potential pathways and tactics for taking advantage of the expanding market opportunities,” said Ronald Zimmer. “There are valuable recommendations put forward on how OEMs, technology suppliers, software providers, services/integration providers, home builders/developers and other stakeholders can capture new value from smart-home-as-a-service offerings.”
About CABA
CABA is a trade association that promotes advanced technologies for integrated systems and the automation of homes and buildings. The organization is supported by an international membership of more than 370 organizations involved in the design, manufacture, installation and retailing of products relating to integrated home and building technology. Public organizations, including utilities and government organizations are also members. CABA’s mandate includes providing its members with networking and market research opportunities. CABA also encourages the development of industry standards and protocols and leads cross-industry initiatives.