Business Services Industry
ABI Research Finds Home Networking Market in Transition as Internet-Delivered Entertainment Grows
Business Wire, Feb 1, 2007
NEW YORK -- As new modes of content delivery grow in popularity, the home networking market is set to evolve from one that largely consists of home networking hardware such as routers, to one dominated by networked entertainment devices. Online video will spark growth in connected entertainment devices, such as the recently announced Sony Internet Video Link networked TVs. ABI Research believes that the growth in networked entertainment will result in the number of media networking connections eclipsing the total core networking connections by 2011.
"New services from both traditional media companies and online content aggregators are resulting in the need for pervasive connectivity," says research director Michael Wolf. "The core home networking market for devices such as routers and gateways has proven strong over the last decade, but it has matured. Connectivity is moving from separate hardware to embedded solutions, as IP connectivity becomes a requirement for nearly every consumer electronics category in the next five years."
The move from external and bridging solutions to ones where networking connectivity is native to the system is creating an adjustment for traditional networking hardware vendors as well. Companies such as Linksys, Netgear and D-Link increasingly see themselves as consumer electronics vendors as much as they are networking hardware vendors.
"The lines between consumer system vendors are no longer as clear," said Wolf. "The networking hardware and PC OEMs are looking to establish their own brands in the living room. Clearly challenges lie ahead for this type of transition, given consumers' high expectations of consumer electronics products. The one major advantage these companies have is their expertise in delivering packets, something that is inherently valued in this broad transition to a networked world of entertainment."
ABI Research's "Home Networking and Connected Home Market Overview" (http://www.abiresearch.com/products/market_research/Home_Networking_ and_Connected_Home_Market_Overview) report examines all segments of the home networking and networked entertainment market. It includes sections on the home networking hardware and CPE markets (routers, residential gateways, adapters/NIC and embedded connectivity, bridges). The study investigates media networking, with analysis of every category of networked entertainment device: TVs, DVDs, PVRs, set top boxes, portable devices, audio/video systems and game consoles. Network storage for the home is also discussed, and media servers (STB, PC and CE media servers) are evaluated. The study concludes with a review of home network silicon and home network management software. It forms part of two ABI Research Services: Home Networking (http://www.abiresearch.com/products/service/Home_Networking_Research_ Service) and Wi-Fi (http://www.abiresearch.com/products/service/Wi-Fi_Research_Service). (Due to length, the preceding URLs may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.)
Founded in 1990 and headquartered in New York, ABI Research maintains global operations supporting annual research programs, intelligence services and market reports in broadband and multimedia, RFID & contactless, M2M, wireless connectivity, mobile wireless, transportation and emerging technologies. For information visit www.abiresearch.com, or call 1.516.624.2500.
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