High-End Gateways, Set-Tops Crowding Out Routers

According to Infonetics Research, high-end gateways and set-top boxes are crowding out broadband routers in some home networking markets. The newer boxes typically include integrated wireless and wired technologies to distribute video to multiple devices in the home, such as WiFi, MoCA ONTs, HomePlug Powerline, MoCA coax-Ethernet, and HPNA/G.hn

Other findings indicate:

• Home networking devices are expected to bring in $13.4 billion on a global basis in 2014, 18% more than last year.
• 802.11ac routers represented just 2% of all WiFi-enabled routers shipped in 2013, but Infonetics expects 802.11ac to make up 42% of all WiFi-enabled router shipments by 2015.
• Residential gateway revenue increased 0.5% and broadband router revenue declined 7.0% in 1H14 from 2H13.
• The residential gateway and broadband router segments are expected to continue to move in opposite directions as operators provide more advanced WiFi gateways to consumers for managed WiFi service in the home.