The Digital Home is in transition. It was evident at the 2005 Consumer Electronics Show (CES), and not much changed in 2006. CES is a very good place for measuring the strategic pulse of the industry. Trends can be spotted, company strategies can be seen, new technologies, issues and concepts discovered. This report gives a strategic view of the industry by using CES 2005 as a snapshot of an industry in transition. While the Consumer Electronics (CE) market has been around for some time, the industry now finds itself on a new S-curve. In fact, it has been on this new curve for a while. The music CD came out over 20 years ago. But the real start of the digital living room is probably best marked by the DVD’s first demo at the 1995 CES a little over ten years later. The DVD introduced the notion of screen menus, widescreen viewing and digital copy protection of content. These features, in turn, triggered the need for new types of products, including widescreen TVs, Home Theater in a Box, and postproduction services to make DVD extras. That year Microsoft made their appearance at CES showing off their “Bob” user interface. Parts of Comdex, the flagship of the PC Age, were starting to move into CES. Fast-forward to 2005 and we notice that Comdex is gone. We’re still in the early stages of the Digital Living S-Curve, but we are now approaching the middle phase. This is when it gets exciting, because some of the earlier wild claims start to become reality. This report is broken into three major sections:
Strategic Themes and Implications – a look at many of the Digital Home industry's major strategic themes observed at the conferences, plus some analysis of what is going on that drives these themes and some implications. Players and Strategies – many of the major players in the Digital Home space are examined, with some commentary on their strengths, weaknesses and strategies. Companies covered are Sony, Samsung, Philips, Panasonic, LG, Microsoft, HP, Intel, Dell, TiVo and the FCC. Technology Issues – While the marketing VPs get on stage to promote the latest products, the engineers are sweating out the details for the next generation. This takes a look at some of the issues that keep them awake and hint at the future.
This report is aimed at Marketing, R&D, analysts and investors in the industry, or people wishing to learn more about the industry.
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