| NOTAS: | "The connected home is a critical part of the network – but one that has seen little in the way of true investment in recent years. With customer loyalty and churn directly linked to quality of experience, this is a part of the network that no players in the supply chain can afford to ignore any longer. Beyond broadband experience, the addition of smart technology to the connected home also represents one of the biggest revenue growth areas in the consumer telecoms market for some time. From both a churn-reduction and a revenue-growth perspective therefore, investment in the connected home network must accelerate. Consumer behavior and needs around the connected home are becoming increasingly sophisticated. The presence of multiple Internet-enabled devices per household is proliferating, and there is exponential growth in consumption of digital media – much of which is becoming available in increasingly higher resolutions. All this is putting mounting strain on the in-home network at a time when consumers’ expectations of quality and reliability from the Internet-based services they use are growing. The connected home is also a potential source of new revenue opportunities. The acceleration of smart home innovation, along with a greater focus on end-to-end quality of experience and service differentiation will bring fresh investment into the connected home over the years to come. Ovum has identified the following key trends expected to unfold in 2016 around these emerging characteristics of the connected home." |
