CONSUMER ELECTRONICS SHOW — Broadband penetration will exceed a staggering 650 million households worldwide and nearly 430 million households will have a data network by the end of 2013.
Those are just two of the predictions from Parks Associates in a new whitepaper on the connected home that the analyst firm announced this week at the Consumer Electronics Show in Las Vegas.
The whitepaper cites strong consumer demand for new technologies and devices but shows consumers are reluctant to incur additional service fees, especially as they receive multiple offerings from many different providers.
"In our research, we are seeing consumers demand a clear value proposition on core functions before they start adding additional features," said Stuart Sikes, president, Parks Associates. "For example, connected cars represent a key area of growth and a hot topic at CES. Approximately one-third of U.S. car owners have in-vehicle connectivity, but our research shows the most popular apps relate to navigation and vehicle performance. To remain competitive, service providers and CE manufacturers must ensure their core offerings remain relevant to the connected consumer."
Among other stats in the Parks Associates whitepaper: U.S. revenues from IP connected-home service bundles will reach $780 million in 2013 and $1 billion in 2014; 71 percent of smartphone owners have at least one paid app installed on their phone; and by 2017, broadband service providers worldwide will deploy 120 million residential gateways and routers, up from 75 million in 2012.
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