From smart locks to WiFi-enabled doorbells, a range of new technologies are ushering in the rise of the “The Connected Home.” Like the movement to “quantify” the physical body using Internet-enabled sensors, startups focused on the connected home are providing services for your home ranging from security, temperature management and lighting controls and are doing it in ways that leverages data, hardware and internet and mobile software.
In our earlier research, we noted that a diverse group of industrial, telecom, technology and private equity players were jockeying to invest and acquire in the home automation space. And just a year later, it appears venture capital and private equity investors are doubling down on the promise of the connected home. Matt Turck, an investor at FirstMark Capital, captured the growing sense of VC excitement, recently writing that
“Connected home entrepreneurs have an opportunity to create, quite literally, new household brands. The emergence of connected devices is one of those disruptive waves that define entire new product categories”
Since the start of 2012, home automation startups have raised $468M across 56 deals. While a number of companies including August, SmartThings and Zonoff just recently received Series A funding, the jump in funding dollars has been driven by a handful of startups that have raised large financing rounds. The chart below highlights the growth in cumulative funding to the home automation market since 2010.
All of the underlying financing data on the home automation market is on the CB Insights Venture Capital Database. Sign up for free below.