Connected Home Systems and Services: The Roundup 2Q 2012
This report provides a classification of IP home management systems and viewpoints and examples of players from across industries entering or already participating in the emerging market for connected IP home management systems for security, energy, lighting, and whole-house control. It includes an analysis of business models, macro trends affecting opportunity size and timing, and consumer engagement related to ownership and appeal of connected systems and services. It also features forecasts for security, energy, and home control systems with bundled services.
"The widespread adoption of smartphones, broadband services, and smart meters combined with the emergence of interoperable connected devices has created market opportunities for retailers, security service providers, and telecom and cable operators," said Tricia Parks, CEO, Parks Associates. "Consumers, at least the early adopter set, are ready to adopt home management systems and services to enhance their lifestyle."
1 PURPOSE OF REPORT
1.1 Scope of Report
1.2 Defining the Approach to Business Models
1.3 Source of Information
2 MACRO TRENDS DRIVING IP BASED HOME SYSTEMS?WHY NOW?
2.1 Integration across Categories: Age of Majority for Home Networks
2.2 Expanding User Interface Options
2.3 IP Connections and Standards
2.4 Motivations for Conservation
2.5 The “i” Generation Comes of Age
2.6 A Changing U.S. Real Estate Market and Purchasing Attitudes
2.7 New Revenues Opportunities for Mature and Underserved Markets
3 IP HOME SECURITY AND TODAY’S CURRENT MARKET PENETRATION
3.1 A Summary of Today’s Security Market
3.2 The Hardware Manufacturers
3.3 Today’s Monitored Security Broadband Household
3.4 Consolidation across Security
3.5 Home Automation as Enhancements for Security
3.6 Selected Technology Enablers
3.7 The Consumer Market for IP Security Bundles
4 ENERGY MANAGEMENT AND SERVICES
4.1 Current Energy Conservation Activities
4.2 Energy Manufacturer Industry Activity
5 CENTRAL CONTROL SYSTEMS
5.1 Profile Information for a Selection of Central Control Manufacturers
6 LIGHTING AND OTHER CONTROL MANUFACTURERS
6.1 Lighting Control
6.2 Control Systems
6.3 Other Controllers
7 INDUSTRY VIEWPOINTS ON KEY ISSUES
7.1 Areas of Broad Consensus in Discussions with Companies
7.2 Issues with a Notable Lack of Common Response
8 CONNECTED HOME SYSTEMS AND SERVICES FORECAST
8.1 Connected Home Service Bundle Forecasts
8.2 Programmable Communicating Thermostats
8.3 Central System Controller Forecast
9 RECOMMENDATIONS
10 APPENDIX
10.1 GLOSSARY
10.2 Sources of Information for Parks Associates Baseline Forecast Numbers
10.3 INDEX
1.1 Scope of Report
1.2 Defining the Approach to Business Models
1.3 Source of Information
2 MACRO TRENDS DRIVING IP BASED HOME SYSTEMS?WHY NOW?
2.1 Integration across Categories: Age of Majority for Home Networks
2.2 Expanding User Interface Options
2.3 IP Connections and Standards
2.4 Motivations for Conservation
2.5 The “i” Generation Comes of Age
2.6 A Changing U.S. Real Estate Market and Purchasing Attitudes
2.7 New Revenues Opportunities for Mature and Underserved Markets
3 IP HOME SECURITY AND TODAY’S CURRENT MARKET PENETRATION
3.1 A Summary of Today’s Security Market
3.2 The Hardware Manufacturers
3.3 Today’s Monitored Security Broadband Household
3.4 Consolidation across Security
3.5 Home Automation as Enhancements for Security
3.6 Selected Technology Enablers
3.7 The Consumer Market for IP Security Bundles
4 ENERGY MANAGEMENT AND SERVICES
4.1 Current Energy Conservation Activities
4.2 Energy Manufacturer Industry Activity
5 CENTRAL CONTROL SYSTEMS
5.1 Profile Information for a Selection of Central Control Manufacturers
6 LIGHTING AND OTHER CONTROL MANUFACTURERS
6.1 Lighting Control
6.2 Control Systems
6.3 Other Controllers
7 INDUSTRY VIEWPOINTS ON KEY ISSUES
7.1 Areas of Broad Consensus in Discussions with Companies
7.2 Issues with a Notable Lack of Common Response
8 CONNECTED HOME SYSTEMS AND SERVICES FORECAST
8.1 Connected Home Service Bundle Forecasts
8.2 Programmable Communicating Thermostats
8.3 Central System Controller Forecast
9 RECOMMENDATIONS
10 APPENDIX
10.1 GLOSSARY
10.2 Sources of Information for Parks Associates Baseline Forecast Numbers
10.3 INDEX
LIST OF FIGURES
Companies Interviewed or Profiled for Report
The Adoption of Home Networks 2009 – 2012
Penetration of Communications and Computing Products 2009 -2012
States in Blue Have Some Level of Restructuring
Ownership of Tech Products by the “i” Generation
The “i” Generation Views and Attitudes
History of New Housing Starts 1959-2010
History of Single Family Home Sales 1980 - 2008
A Generalized Perspective on Systems Revenues 2008-2012
Trends in Consumer CE Spending (2008-2012)
Security Monitoring in U.S. Broadband Households
SDM’s Top 100 List
Share of Monitored Security Providers in U.S. BB HHs
Selected Security Provider Information
Segmenting Households with Professional Monitoring By Length of Contract
Likelihood of Discontinuing Professional Security Monitoring by Length of Service
Security Hardware Manufacturers’ Market Share
Characteristics of Monitored Security Households
Detailed Demographics of 2012’s Monitored Security Households Compared to Average Broadband Households
Giant Security Industry Transactions
Strategies for Security Providers
Announced and Expected Players in 2012
Selected Technology Platform Developers
Enthusiasts for Energy and Security Concepts
Security and Energy Enthusiasts have High Ownership of Segment Products
Enthusiasts Show Much Stronger Agreement with Attitudes Related to Category
High Appeal for Automation Correlates to Service Appeal
Top Service Demographic Differentiators
Intentions to Switch Broadband Provider for Home Management Services
Ownership of Selected Home Tech Products
Programmable Thermostat Usage 4Q 2011
BB HHer Activities to Reduce Energy Usage or Costs (2010-2012)
Energy Management Program Enrollment 2009-2011
The Diffusion of Smart Meters in the U.S.
Electricity Net Promoter Score
Preferred Provider for Energy Services
Thermostat and Energy Modeling Profiles
A Crestron Controlled Entertainment System, 2011
Control4 Smartphone Interface
2011-2016 REVENUES AT END USER VALUE FOR CENTRAL CONTROLLER AND ATTACHED UI
Selected Central Control Manufacturer Profiles
Lighting Control in U.S. Broadband Households 2012
Characteristics of Today’s Network Security Camera Marketplace
Top Network Security Brands Reported Purchased by BB HHs in 2011
Catalysts for the Purchase of Network Security Camera
Areas of Majority Consensus across Connected Home Systems & Services Industries
Issues with A Lack of Consensus
Connected Home Equipment and Service Bundle Forecast
Model of Central Controller Forecast
U.S. Residential Security Landscape as of 1Q 2012
Forecast for Residential Security System Revenues – All Types
Security Service Revenues All Types in Broadband Households – Installed Base RMR
Forecast 2011 – 2015 for Installs Traditional Security vs. IP Connected Home Service Bundles
Percentage BB Households with Fee-based Security, Traditional Security, and Connected Home Service Bundles
% of U.S. Broadband Households with ANY Programmable Thermostats
Forecast for Unit Sales of Standard and Communicating Programmable Thermostats
Revenue Forecast End-user Value Standard and Communicating Programmable Thermostats
Forecast for U.S. Unit Sales of Central Controllers 2011 – 2016
Companies Interviewed or Profiled for Report
The Adoption of Home Networks 2009 – 2012
Penetration of Communications and Computing Products 2009 -2012
States in Blue Have Some Level of Restructuring
Ownership of Tech Products by the “i” Generation
The “i” Generation Views and Attitudes
History of New Housing Starts 1959-2010
History of Single Family Home Sales 1980 - 2008
A Generalized Perspective on Systems Revenues 2008-2012
Trends in Consumer CE Spending (2008-2012)
Security Monitoring in U.S. Broadband Households
SDM’s Top 100 List
Share of Monitored Security Providers in U.S. BB HHs
Selected Security Provider Information
Segmenting Households with Professional Monitoring By Length of Contract
Likelihood of Discontinuing Professional Security Monitoring by Length of Service
Security Hardware Manufacturers’ Market Share
Characteristics of Monitored Security Households
Detailed Demographics of 2012’s Monitored Security Households Compared to Average Broadband Households
Giant Security Industry Transactions
Strategies for Security Providers
Announced and Expected Players in 2012
Selected Technology Platform Developers
Enthusiasts for Energy and Security Concepts
Security and Energy Enthusiasts have High Ownership of Segment Products
Enthusiasts Show Much Stronger Agreement with Attitudes Related to Category
High Appeal for Automation Correlates to Service Appeal
Top Service Demographic Differentiators
Intentions to Switch Broadband Provider for Home Management Services
Ownership of Selected Home Tech Products
Programmable Thermostat Usage 4Q 2011
BB HHer Activities to Reduce Energy Usage or Costs (2010-2012)
Energy Management Program Enrollment 2009-2011
The Diffusion of Smart Meters in the U.S.
Electricity Net Promoter Score
Preferred Provider for Energy Services
Thermostat and Energy Modeling Profiles
A Crestron Controlled Entertainment System, 2011
Control4 Smartphone Interface
2011-2016 REVENUES AT END USER VALUE FOR CENTRAL CONTROLLER AND ATTACHED UI
Selected Central Control Manufacturer Profiles
Lighting Control in U.S. Broadband Households 2012
Characteristics of Today’s Network Security Camera Marketplace
Top Network Security Brands Reported Purchased by BB HHs in 2011
Catalysts for the Purchase of Network Security Camera
Areas of Majority Consensus across Connected Home Systems & Services Industries
Issues with A Lack of Consensus
Connected Home Equipment and Service Bundle Forecast
Model of Central Controller Forecast
U.S. Residential Security Landscape as of 1Q 2012
Forecast for Residential Security System Revenues – All Types
Security Service Revenues All Types in Broadband Households – Installed Base RMR
Forecast 2011 – 2015 for Installs Traditional Security vs. IP Connected Home Service Bundles
Percentage BB Households with Fee-based Security, Traditional Security, and Connected Home Service Bundles
% of U.S. Broadband Households with ANY Programmable Thermostats
Forecast for Unit Sales of Standard and Communicating Programmable Thermostats
Revenue Forecast End-user Value Standard and Communicating Programmable Thermostats
Forecast for U.S. Unit Sales of Central Controllers 2011 – 2016
