Service Provider Trends
Consumer/Education: Growing to $250M in 1997, and $1.2B in 1999.
The Electronic Industries Association reports that the "Home Information" products market (PCs, telephones, faxes) is gaining a larger share of consumer electronics sales. Figures show growth from 26% in 1993, to 33% of all CE sales in
Parks Associates (Dallas, TX) found in a recent home automation study that savings was not the primary motivator for installing HVAC and appliance management systems. The top motivators were convenience, comfort, and ease of use.
In a recent technology manager survey, 86% believe the new telecommunications deregulation bill will lead to innovation of products, new services and lower prices (Source: Information Week).
Consumers have been willing to spend a significant amount ($1,000.) for quality video service and choice (180 stations), proven by the Hughes/RCA consumer business model.
There are 10 million telecommuters today, compared with three million five years ago. By 2000, the number is expected to reach 25 million (Source: JALA International). This trend is fueling the growth of home PCs and shifting PC usage patterns from games to "work," which service providers are