The global home networking device market is expected to reach a value of $23.24 billion by 2023, according to a new report by Transparency Market Research.

Specifically, the demand for wireless home networking devices can be attributed to the popularity of WiFi-based devices, the research firm states. Further, there is an increasing demand to replace wired with wireless home networking devices in North America and Europe.

Transparency also reports that home networking device manufacturers are focusing on partnerships with service providers and dealers in order to expand their market share across different geographic regions. And, manufacturers are focusing on product innovations based on the requirement to increase bandwidth and enhance user ergonomics.

The router was the largest segment of the home networking device market, Transparency says, accounting for approximately 34 percent of the total market in 2014. Increasing adoption of WiFi-based home networking devices is expected to support the growth of routers, extenders and adapters in the coming years.

The application of powerline-based home networking devices is reportedly expected to decline because of limited market exposure in North American and Europe. The ZigBee and Z-Wave segment could register a high growth rate due to the increasing adoption of ZigBee- and Z-Wave-enabled smart lighting and security systems, according to Transparency.