Service provider ambitions in the smart home space are not new. And, while it’s true that many past efforts have been challenging, a new white paper from Parks Associates (commissioned by Calix) makes the case that now is the right time for service providers to try again, with multiple factors aligning, including:
- Smart home device ownership is rapidly approaching mass-market adoption levels: There is at least one smart home device in 26 percent of U.S. broadband households. In other words, the smart home market is moving out of the early adopter stage.
- Support services have high appeal: Although nine out of ten smart home device owners installed and/or set up devices themselves (or had a friend or family member help them), nearly one-half experienced problems. Going forward, nearly 40 percent reported that they would prefer professional help next time; and many are willing to pay a fee for this service.
- Risks to data privacy and security are elevated: More than three-quarters of consumers are concerned about privacy and security, with 65 percent ranking their service provider as the most trustworthy company for accessing and managing their data.
- Innovative solutions are now available that address pain points: Advancements in cloud technologies and service provision enable new service revenues and the ability to differentiate. Customized bundles can now be offered in response to technology changes; without the risks that early entrants experienced in the past.
The white paper also highlights the assets that put service providers in an ideal position to offer smart home services when compared to other companies, while identifying some of the reasons why previous attempts might have met with mixed success.
To learn more about these and other findings in more detail, download your free copy of “Changing Dynamics of the Smart Home: Opportunities for Service Providers”. And stay tuned for other posts in this series.