The iPhone maker is tipped to launch a software platform, which will allow users to control lights, heating systems and security systems with iOS devices, sources told The Financial Times.
Based on a patent filed in November 2013, Apple is planning on using location-based technology to activate/deactivate lights or security systems automatically when the user arrives or leaves home.
A number of connected devices - including Philips lightbulbs, D-link connected cameras, and the Nest Thermostat - are already sold as accessories in the Apple Store.
Apple is expected to continue working in conjunction with third party manufacturers to make "iOS certified" products available.
Cupertino isn't the only firm looking to make a push into the connected home market. Google acquired Nest Labs, which makes smoke alarms and thermostats for $3.2bn in January.
Meanwhile, Samsung already has a fleet of smart refrigerators, washing machines and TVs available to buy.
The Internet of Things is expected to be a billion dollar market and all tech companies are looking to grab a piece of it. By connecting up dumb infrastructure, the IoT is expected to make everything from traffic flow to waste management more efficient. Home use is also going to be a big area, with firms pushing automated control.
WWDC 2014 is expected to have a raft of other big announcements. Apple is tipped to shed light on iOS 8 and OS X 10.10 at the annual developer conference. With the firm closing in on the acquisition of Beats headphones for $3.2 billion, WWDC could feature appearance from iconic rapper Dr. Dre and music executive Jimmy Iovine who were instrumental in creating the brand.
