January 29, 2008
IP-Enabled Consumer Electronics Reached 64 Million Units in 2007
By Stefania Viscusi, Assignment Desk Editor
As IP
continues to dominate in an array of market segments, IP-enabled consumer electronics saw a specific increase in 2007, reaching 64 million units shipped, and representing nearly 73 percent growth, MultiMedia Intelligence has reported.
continues to dominate in an array of market segments, IP-enabled consumer electronics saw a specific increase in 2007, reaching 64 million units shipped, and representing nearly 73 percent growth, MultiMedia Intelligence has reported. Even with this increase, the market research firm notes that many of the game console IP interfaces remain unconnected.
"While manufacturers and operators are gradually adding IP connectivity, the IP-Enabled Consumer Electronics market has not reached a true inflection point beyond game consoles for hyper-growth. However, this growing installed base of CE devices with dormant IP ports could quickly become active with a simple network connection or software upgrade," explained Mark Kirstein, President of MultiMedia Intelligence.
Their latest research, "Internet Protocol (IP)-Enabled Consumer Electronics: Are we there yet?" uncovered that:
-- At the technical level, physical interfaces will stratify across Cat 5 Ethernet, 802.11, Powerline and Coax networking solutions, with many devices featuring multiple interfaces.
-- Semiconductor revenue enabling these interfaces will exceed $2 billion by 2012.
-- The value of embedded home networking middleware will approach $300 million by 2012, with about 1/3 available to third-party developers.
, 802.11, Powerline and Coax networking solutions, with many devices featuring multiple interfaces. -- Semiconductor revenue enabling these interfaces will exceed $2 billion by 2012.
-- The value of embedded home networking middleware
will approach $300 million by 2012, with about 1/3 available to third-party developers.As the installed base develops, there is enormous potential for online gaming, music and video downloads and other Internet-based value-added services. For example, Activision noted more than 2 million songs associated with "Guitar Hero" were accessed through Xbox live in late 2007.
According to Kirstein, "Simply integrating the DMA function into CE devices is not enough to dramatically accelerate growth. As the ecosystem of content, services, devices and business models develops, the market will develop steadily rather than explosively."
Stefania Viscusi is an established writer and avid reader. To see more of her articles, please visit Stefania Viscusi’s columnist page.
