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The Impact of IoT Smart Home Services on Psychological Well-Being
Helder Sequeiros
1
&Tiago Oliveira
1
&Manoj A. Thomas
2
Accepted: 14 February 2021 / Published online: 10 March 2021
#The Author(s), under exclusive licence to Springer Science+Business Media, LLC part of Springer Nature 2021
Abstract
Smart home services are a new generation of consumer services. Supported by the Internet of Things (IoT) technology, they
deliver security, comfort, entertainment, assisted living, and efficient management of the home to improve the quality of life of
consumers. As the availability of smart home services expands, there is still a lack of understanding of what motivates their
continuing use and how the penetration of smart devices and services in the home environment affects individual well-being. We
develop a research model combining hedonic and eudaimonic motivations with the unified theory of acceptance and use of
technology 2 (UTAUT 2) to evaluate the impacts on well-being. The model is estimated using partial least squares based on a
sample of 260 survey responses. The results show that hedonic motivation associated with the adoption of some smart home
services moderates continuing use. Additionally, the results suggest a positive relationship between the use of IoT smart home
services and well-being. Furthermore, hedonic and eudaimonic motives have a substantial effect on the use behavior of smart
home services and ultimately on well-being.
Keywords IoT .Smart home services .Well-being .Hedonic motivation .Eudaimonic motivation
1 Introduction
Advances in electronic hardware miniaturization and mass
production have paved way for the proliferation of informa-
tion and communication technologies (ICT). Particularly over
the last decade, the Internet of Things (IoT) technology has
rapidly evolved resulting in an abundance of related products
and services. IoT technology encompasses all ‘smart’devices
that have basic computational capabilities and communication
functionalities along with features that enable interactivity
with the environment, people, and other devices (Hsu and
Lin 2016). A subset of IoT technology targets the household
environment, giving rise to the term ‘smart home’-in
reference to homes where several domestic appliances are
connected through the use of IoT technologies (Kim et al.
2017).
Several commercial interests have pushed the development
of the smart home market. For instance, the European market
for smart homes amounts to 15.171 M€with a household
penetration of 12.2% in 2019 and anticipated to reach
31.717 M€with a penetration rate of 24.6% in 2023 (Statista
2018). Today, mobile carriers and cable TV businesses, facing
stagnation from traditional market models, seek new business
models to expand revenue streams, and IoT smart home prod-
ucts and services presents a substantive appeal with great po-
tentials (Park et al. 2018). Technology giants such as Google,
Microsoft, Apple, Amazon, AT&T, and others have devel-
oped strategies to monetize on the smart home market. They
also recognize that smart home services present the opportu-
nity to gather rich data on the consumer base (ABI 2018).
Governmental agencies also have vested interest in smart
homes. Many countries have implemented strategies to bal-
ance impacts of climate change and fluctuations of energy
prices by investing in the development of smart grid and smart
cities. Related infrastructure taps into the smart home market
to provide better services to citizens, including energy moni-
toring and waste management (Balta-Ozkan et al. 2014). In
Europe, the European Commission included smart homes as
one of the ten priority action areas in their Strategic Energy
Technology Plan (European-Commission 2015).
*Manoj A. Thomas
manoj.thomas@sydney.edu.au
Helder Sequeiros
heldersequeiros@yahoo.com; m2016867@novaims.unl.pt
Tiago Oliveira
toliveira@novaims.unl.pt
1
NOVA Information Management School (NOVA IMS),
Universidade Nova de Lisboa, Campus de Campolide,
1070-312 Lisbon, Portugal
2
The University of Sydney Business School, Rm 4047, Abercrombie
Bldg H70, Darlington, NSW 2006, Australia
Information Systems Frontiers (2022) 24:1009–1026
https://doi.org/10.1007/s10796-021-10118-8
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