Apple is reportedly preparing to make a bigger push into the smart home market, with a new home hub, an updated HomePod mini and a new Apple TV expected on October 13. A Bloomberg report also suggests that the company is working with LG on a range of connected home devices, including a smart doorbell, thermostat, deadbolt lock and security cameras.
The move puts Apple more directly against Amazon, Google and Samsung, which already have connected home platforms spanning speakers, displays, televisions, appliances, cameras, thermostats and other devices. Apple’s reported plans also come as Samsung updates SmartThings with local device control and support for the latest Matter standard.
The developments point to a market that has expanded in terms of available hardware, but has struggled to turn connected devices into a mainstream household purchase.
Smart home market is growing, but at a slow pace
Data from International Data Corporation (IDC) shows that global smart home device shipments grew 0.6 per cent in 2024 before rising 4.4 per cent in 2025. The increase in 2025 suggests a recovery in shipments, but does not indicate a rapid expansion of the category.
Market estimates also present a different picture when household penetration is considered.
Market data platform Statista expects smart home household penetration to reach 82.1 per cent globally in 2026, with the market generating $159.5 billion in revenue.
However, the same data puts average revenue per installed smart home at only $20.18. Statista calculates this by dividing smart home hardware revenue by the number of households with at least one active smart home device.
The low average spending suggests that much of the market remains concentrated around individual devices rather than complete home automation systems.
Having a smart device is not the same as having a connected home.
A household with one smart bulb or plug can be counted as part of the smart home market. A more complete setup involving smart locks, thermostats, security cameras, sensors, lighting and a central controller costs far more.
Why consumers have not adopted connected homes at scale
One of the biggest problems has been that smart home devices have not always worked well across different platforms.
Amazon, Google, Apple and Samsung have each built their own ecosystems, while device makers have historically relied on proprietary apps and connectivity standards. A consumer buying products from multiple brands could therefore end up managing several apps, accounts and hubs.
The problem becomes more visible when automation is involved. A basic routine can depend on a device connecting to Wi-Fi, communicating with a cloud service and then sending an instruction to another device.
Internet connectivity is another weak point. Cloud-dependent devices can become unavailable when the home internet connection goes down, even when the devices themselves are still powered.
That is a bigger problem for products such as lights, locks and switches than it is for entertainment devices. Consumers expect a physical light switch or door lock to work without depending on an external server.
Cost is another barrier. A smart plug or basic connected bulb can be inexpensive, but a larger installation involving cameras, locks, sensors, thermostats and a central hub can quickly become expensive.
This leaves the market with a large number of individual smart devices but fewer households with fully connected homes.
Matter has not removed the ecosystem problem
Matter was introduced to address some of these compatibility issues by providing a common standard for smart home devices. Matter is essentially a universal, open-source smart home connectivity standard that allows devices from different manufacturers to work together securely and locally.
The Connectivity Standards Alliance has continued to add device categories and capabilities to the standard but interoperability is still not the same as a common user experience.
A Matter-compatible device can work with multiple platforms, but the features available can depend on the platform controlling it. Different versions of Matter also need to be supported by the hubs and controllers involved.
The result can be a situation where a device is technically compatible with several ecosystems but does not offer the same functionality across them.
Matter’s multi-admin feature was meant to solve some of these issues by allowing the same device to be controlled through more than one smart home platform. In theory, a light or sensor set up through Apple Home could also be shared with Google Home or Samsung SmartThings. But setting this up can still involve moving the device between ecosystems, scanning Matter pairing codes and dealing with connection or pairing failures.
A common standard has made devices more compatible, but it has not made the setup process equally simple across platforms.
Samsung is pushing more control into the home
Samsung’s latest SmartThings update addresses one of the more practical problems with connected homes: dependence on the cloud.
When a smartphone and compatible SmartThings hub are connected to the same Wi-Fi network, the phone can now communicate directly with the hub instead of routing the command through Samsung’s cloud. Samsung says this can improve response times by about 30 per cent under controlled testing and allows connected devices to remain controllable during temporary internet disruptions.
The update also adds support for Matter 1.6. This brings four new device categories to SmartThings, including energy meters, closures such as specialised doors and gates, irrigation systems and soil sensors.
The change is significant for Samsung because SmartThings spans smartphones, televisions, appliances and dedicated hubs. The company is trying to make those devices function as controllers for a wider set of products rather than relying on each connected device to communicate with its own cloud service.
Samsung’s approach also shows why local processing and control are becoming more important as smart homes expand. A connected home with dozens of devices generates a constant stream of commands and sensor data. Sending every action through the internet adds latency and creates another point of failure.
However, it should be noted that local control does not remove cloud services from the smart home. Samsung’s system still switches to cloud-based remote control when a user is away from the home network. Older devices that depend on their manufacturers’ cloud servers can also remain unusable during an internet outage.
Apple is entering a market that already has established platforms
Apple’s reported plans are broader than adding another smart speaker. The company is expected to introduce a smart home hub with a roughly six-inch display, alongside a refreshed HomePod mini and Apple TV. The hub is expected to act as a central interface for controlling connected devices and could use Apple’s updated Siri capabilities.
Apple is also reportedly working with LG on devices including a video doorbell, thermostat, smart deadbolt, temperature sensor and indoor, outdoor and floodlight cameras. The products are expected to work with Apple’s smart home ecosystem and support standards such as Matter and Thread.
That gives Apple a route to expand beyond the limited number of first-party smart home products it has offered so far.
The challenge is that Amazon and Google have been building their respective home platforms for years. Amazon has Echo speakers, Fire TV devices, a smart thermostat and Ring security products, while Google has Nest speakers, displays, cameras, doorbells and thermostats.
Samsung has a different advantage. SmartThings can be used across Samsung televisions, smartphones and home appliances, giving the company a large installed base of devices that can also act as parts of a smart home system.
Apple therefore enters the category with a large device ecosystem of its own, but not necessarily a corresponding lead in home automation hardware.
The smart home is moving towards a central controller
The smart home market is moving towards a model in which the central device does more than issue voice commands.
Apple’s reported hub, Samsung’s SmartThings platform and products such as newer local smart home hubs from companies including UGREEN and Anker point towards a greater role for a central device that connects different hardware, processes information locally and manages automation.
UGREEN’s HomeAgent hubs, for example, combine local storage, on-device AI and Matter-based device control. Anker’s MindBase takes a similar approach, combining local storage with processing for connected cameras and other smart home devices.
The shift towards local processing also addresses one of the basic problems that has held back connected homes. A smart home needs to be reliable before consumers are willing to depend on it for everyday functions.
Apple’s entry could bring more attention to the category, while Samsung’s latest SmartThings update shows that established players are still working on the basic infrastructure behind connected homes.
The next phase of the smart home market may therefore depend less on how many new devices are launched and more on whether those devices can work together without adding complexity for households.
 "Apple's smart home push could test a market still struggling with adoption")
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