New technologies are emerging and replacing old and "out-of-date" gadgets. One such technology is the integration of devices to fully automate the home. Changing lifestyle patterns and consumer willingness to invest increasingly significant amounts in home improvement will fuel the desire for intelligent, fully automated living spaces. The automated fantasy home with ovens that automatically cook and laundry equipment that turns on in the middle of the night to save homeowners energy costs is no longer a vision of the future, but reality.

In-Stat/MDR calculates that home automation revenue will hit $5.3 billion by 2007. Some of the traditional automation companies such as Samsung, Honeywell, Invensys, Motorola and Texas Instruments are looking to capitalize on new market opportunities in home automation. Honeywell, Siemens and the Schneider Group are the most prominent forces in the European home automation market, jointly accounting for a 38percent share of the total 2002 European home automation market.

Another important aspect in home automation is the networking capability that allows equipment to share information and signal each other. Network technologies such as Zigbee, Bluetooth, Wi-Fi and Ultra Wideband will affect the home automation landscape by altering the way nodes connect and share information, and thus altering consumer lifestyles and increasing the availability of choice. These technologies present numerous opportunities to network home control systems, such as lighting, security, HVAC, entertainment and appliances.