Home networks to grow 20% CAGR by 2010

• Posted: Thursday, January 25, 2007
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• Author: pradhana
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• Filed under: Broadband, Market Survey

The worldwide installed base of home networks will rise by over 20 percent CAGR from 2005 to 2010, and the growth will be mostly driven by Asia, and China, according to a recent In-Stat report. The demand for networking non-PC consumer electronics devices will power the growth of worldwide home networks and network-capable devices.

"The average number of PCs in a household is on the rise, and currently stands at approximately 2.4 networked PCs per average U.S. household with a home network," says In-Stat's Joyce Putscher. "By 2010, we expect that average to climb to about 2.6 per household. The more PCs in a household, the greater the likelihood that the household will have, or install, a home network."

New report by Infonetics Research said that "Broadband Modems, Routers, and Gateways," forecasts continuing growth, to $5.5 billion by 2008, fueled by new applications such as VoIP and by higher access speeds.

The report also found that D-Link is the overall broadband leader in broadband CPE (customer premises equipment) revenue, followed closely by Cisco-Linksys and Thomson. It also noted that 41% of worldwide broadband CPE revenue comes from DSL CPE, 34% from broadband routers, 15% from cable CPE, and the remainder from voice terminal adapters and IP set top boxes.

Worldwide DSL CPE revenue was down 8%, it reports, but is projected to grow 29% by the first quarter 2006. Worldwide cable CPE revenue was up 2% and is projected to grow 19% by the first quarter of 2006. The report attributes volume sales of lower-priced consumer routers for much of the expected growth. [FierceWiFi and Network Computing]

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