Indonesia: number of smart home users by segment 2023

As of 2023, the leading smart home segment in Indonesia was home entertainment, with nearly seven million users. This indicates a rising interest in smart audio systems, streaming devices, and other entertainment equipment among Indonesian households. Within the same period, the number of security smart home users was approximately 6.4 million.

Overview of the Indonesian smart home market

In recent years, a growing trend in smart homes has started to gain traction among Indonesian consumers. Among various segments, home entertainment gained the highest number of users, while smart appliances generated the most revenue. It was estimated that the revenue in the smart home entertainment market will increase by nearly 23 million U.S. dollars over the next five years, and the smart appliances market will see its revenue almost doubled between 2023 and 2028. This indicates a growing interest in building connected and convenient homes for Indonesian households.

Connectivity and security in Indonesia’s smart home adoption

  While the majority of Indonesian households have internet access, a significant portion of the access relies on mobile connections, which may not be optimal for robust smart home networks. The development of 5G technology facilitates faster and more reliable connections among smart devices. However, the availability of 5G in Indonesia is still minimal, posing a challenge to building comprehensive smart home setups. Furthermore, cybersecurity remains a concern as more data is gathered, shared between devices, and stored in the cloud. This indicates how crucial security measures and data protection are. Yet, the digital safety index score among Indonesians remains relatively low, highlighting the need for greater awareness and investment in cybersecurity to foster safe smart home adoption across the country.

Total number of smart home users in Indonesia in 2023, by segment (in millions)

Characteristic	Number of users in millions
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Supplementary notes

Data provided by Statista Market Insights are estimates.

Market Definition:
The Smart Home market constitutes the sale of networked devices and related services that enable home automation for private end users (B2C). Considered are devices that are connected directly or indirectly via a so-called gateway to the Internet. Their main purposes are the control, monitoring and regulation of functions in a private household. The remote control and monitoring of individual devices and, if applicable, their direct communication with one another (Internet of Things), is an essential component of intelligent home automation.

Therefore, services which are necessary for the maintenance or control of the household network are also considered, e.g. subscription fees for control apps or external monitoring services. Devices whose primary function is not the automation or remote control of household equipment, e.g. smartphones and tablets, are not included here. Similarly, devices that relate to household connection and remote control only to a limited extent, such as smart TVs, are not included either.

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