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Smart Home Trends Survey: 93% Own Devices, but 57% Worry About Data Privacy
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Smart Home Trends Survey: 93% Own Devices, but 57% Worry About Data Privacy

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Home technology has evolved dramatically over the past decade, with smart devices becoming increasingly commonplace in American households. From voice assistants to security systems, these technologies promise convenience, security, and efficiency – but do they deliver? And at what cost?

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Methodology

To understand how Americans are embracing smart home technology, we surveyed 1,006 homeowners and renters across the U.S. in December 2024. We asked about current device ownership, concerns, reliability issues, and financial investments in smart home technology. 50% were women, 50% were men, and ages ranged from 18-75 with an average age of 46. All conclusions in this article are drawn from answers to this survey.

The Smart Home Revolution

The numbers tell a clear story: smart home technology has firmly established itself in American households. A remarkable 93% of Americans now own at least one smart home device, and 42% report that the majority of their home devices are now "smart," – indicating we've reached a tipping point in home technology adoption.

The smart home revolution

Despite this widespread adoption, concerns persist. Data privacy tops the list of worries, with 57% of Americans expressing concern about how their information is collected and used. Security vulnerabilities aren't far behind – 46% fear potential hacking of their smart home systems, while over 1 in 3 worry about devices recording without permission.

Interestingly, these concerns don't appear to significantly impact trust. A substantial 82% of Americans trust their smart home devices. This trust extends further for some, with nearly 1 in 3 respondents saying they would trust their home to be entirely run by AI.

However, the smart home market may be approaching saturation, as only 30% of Americans plan to purchase additional smart devices in 2025. This could indicate either satisfaction with current technology or hesitation about further investment.

America's Smart Home Landscape

When it comes to specific technologies, certain devices have achieved mainstream status while others remain in the early adoption phase. The top 5 smart home devices Americans own are:

  • Speaker/assistant (73%)
  • Doorbell (50%)
  • Security cameras (50%)
  • Thermostat (43%)
  • Lighting (34%)

While security and environmental control lead adoption, convenience-focused devices are steadily gaining ground. Robot vacuums are in 29% of smart homes, while smart locks and smart washers are each found in 19% of households. Smart refrigerators aren't far behind at 18%, and smart dishwashers have made their way into 11% of American homes equipped with smart technology.

Smart home landscape

The smart home experience isn't without frustrations. Reliability issues remain a significant pain point, with nearly half of users experiencing device failures. Wi-Fi and internet connectivity problems are the most common culprits, affecting 46% of smart home device owners. Power outages have disrupted smart home systems for 33% of users, while 20% have dealt with dead batteries causing device failures, and another 20% faced malfunctions like frozen screens or startup failures. Setup and pairing difficulties plague 19% of smart home users, and 15% have experienced software problems such as app crashes or failed updates. 

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The Smart Home Return on Investment

Beyond convenience, many homeowners wonder if smart technology adds tangible value to their property. Our survey reveals a mixed but generally positive outlook:

  • 29% would offer more for a home already equipped with smart technology
    • These buyers would pay an average of $2,633 more for a smart-equipped home
  • 62% would offer the same for a smart home as a non-smart home
  • Only 7% would offer less for a smart-equipped home

The financial investment in smart home technology is substantial. Americans have spent an average total of $3,026 on smart devices, though 1 in 10 regret this investment. The ongoing costs are also significant, with annual spending on subscriptions and maintenance averaging $498.

Looking ahead, those planning to expand their smart home ecosystem anticipate spending an average of $896 on smart technology in 2025. Despite the costs, 88% believe smart home devices are worth the money, and 60% believe the technology has saved them money overall, likely through energy efficiency and other cost-saving benefits.

There is one surprising drawback: 29% say they actually spend more time managing their home with smart devices than they did before. This suggests that while these technologies can simplify certain tasks, they may add complexity in other areas.

Making Smart Choices for Your Smart Home

As smart home technology continues to evolve, consumers must weigh convenience against privacy and reliability concerns. Start with devices that address your specific needs – whether that's security, energy management, or convenience – and expand your ecosystem thoughtfully.

For those concerned about privacy, research each device's data collection policies and look for options that keep information processing local rather than cloud-based when possible. And remember that a truly "smart" home should make life simpler, not more complicated.

Want more guidance on smart home technology? Check out our comprehensive resources on the following:

Fair Use

When using this data and research, please attribute by linking to this study and citing AHS.com.

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