LITERATURE REVIEWHome automation was first introduced into the world market in the 1970s, but it failed tomeet the expectations of people and was unsuccessful. There were various reasons associatedwith the failure of the home automation system. The system was neither user friendly nor costefficient. Currently, the foremost point to be kept in mind when designing a home automationsystem is that it should be cost-efficient and easy to install.K. Y. Lee and J. W. Choi 1, in their research on the Housing Learning andImprovement Network in 2003, defined a Smart Home as a “unit where all the appliances of thehouse are connected together and controlled and monitored remotely.” The following paragraphswill give a summary of the previous research works in the field of Smart Homes.T. Tamura et. al. 2, in their research, constructed the welfare techno houses in Japan in2003. The motive behind the project was to monitor the health of the disabled and older peopleliving in the home, thereby improving their quality of life. D. J. Cook et. al. 3 successfullyconducted the MavHome project at the University of Texas, Arlington. The project used sensorsto detect the state of the environment, and with the help of controllers, took the necessary actionto maintain equilibrium. These sensors form an ad-hoc network to make the decisions.H. Kanma et. al. 4 conducted a medical research to monitor people who require medicalhelp and present a wireless solution at the University of McGill in Canada. The project made useof cell phones and inexpensive sensors. It worked by making use of wireless protocols such asBluetooth, ZIGBEE, as well as GSM and analyzing data through an adaptive architecture.The research had an architecture that consisted of three main parts. First, sensorscollected the medical data and transmitted it via sensors to mobile devices. Second, an4application called J2ME on mobile devices processed the collected data. Finally, all the data thatwas collected was combined to address the needs of the elderly. The major benefit of this projectis that it could be implemented at an inexpensive price in a short span of time.In the past few years, significant research has been conducted in the field of Smart Homesto make the technology better for handicapped and elderly people. N. Liang et. al. 5 havedescribed challenges related to Smart Homes and conducted research at the University ofErlangen, Germany, for the betterment of these populations and identified the benefits in-order tohelp them lead more independent lives.For the implementation of these projects, there are various sub-networks used such as theBluetooth module, Wireless LAN, RFIDs, and TCP/IP. A Bluetooth network transports thesensor data and interconnects the network. As per the location of the occupancy recorded, theRFID system transmits data from the RFID tags. The messages are transmitted via Bluetoothusing Bluetooth modules. This reduces the cost, as no further hardware is required for theimplementation.The idea presented in this project is the one similar to the project presented by thestudents at the University of Nigeria regarding the design of a home automation system usingArduino. The project focuses on the design of a home automation system using the Atmega 328microcontroller.The project does, however, emphasize the advantages of using a wireless standard. Toconnect to a wide range of devices, Bluetooth is a global standard and is easily available in almostall devices, for it is easy to set up and use. It also encrypts data using a 128 bit long shared key,making it a secured connection as well.5With the advancements in RF Technology, such as Zigbee and Bluetooth, thesesystems have also become popular in the market. The previous infrared systems hadnumerous security issues and there were interferences between signals, making it unsecuredand less popular in the market. Research is still occurring in this field; various systemshave been proposed, but very few of them have been implemented in the market.