Parks Associates Offers Conservative Estimate of Hot-Spot Users

Parks Associates latest consumer data reveal that hot spots" have yet to gain sufficient consumer mind share and usage is likely to remain ad hoc at best. Fewer than 3% of U.S. Internet subscribers have used public hot spots," and a negligible number have subscribed to these services, according to Public Hot Spots: Moving beyond Road Warriors, a forthcoming report from Parks Associates. Almost two-thirds of U.S. Internet subscribers either have never heard of hot spots or remain unfamiliar with them.

(PRWEB) July 12, 2003 -- Fewer than 3% of U.S. Internet subscribers have used public hot spots," and a negligible number have subscribed to these services, according to Public Hot Spots: Moving beyond Road Warriors, a forthcoming report from Parks Associates. Almost two-thirds of U.S. Internet subscribers either have never heard of hot spots or remain unfamiliar with them.

The hot-spot market is likely to suffer from a prolonged infancy, despite the rosy forecasts proffered by industry pundits," said Yuanzhe (Michael) Cai, research analyst with Parks Associates. Our latest consumer research suggests that approximately three percent of Internet users have used public hot-spot services and only five percent of these users converted into subscribers.

Although consumer familiarity with hot-spot services has increased significantly since 2001, the adoption rate among Internet users has seen little improvement."

These findings cast doubt on recent forecasts that claim approximately five million consumers in North America, the majority of which are in the U.S., will have used Wi-Fi® hot-spot services by the end of 2003. That number is simply unrealistic," Cai said. The most optimistic 2003 estimate of hot-spot users in the United States should not exceed 2.5 million."

Public Hot Spots: Moving beyond Road Warriors examines the hot-spot value chain and forecasts future market development. The report includes a thorough examination of Wi-Fi® technology and hot-spot players and an analysis of supply-side drivers and inhibitors, all the way down to primary consumer data that pinpoints both the opportunities and challenges for this sector.

For more information on Public Hot Spots: Moving beyond Road Warriors, visit www.parksassociates.com or contact Parks Associates at sales@parksassociates.com or call 972-490-1113.

About Parks Associates
Parks Associates is a market research and consulting firm that provides information and analysis on emerging residential, small office, and light commercial technologies.

Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, multiclient studies, consumer research, workshops, and custom-tailored client solutions.

Its market expertise encompasses the full range of connected-home solutions, including home networks, digital entertainment, broadband and Internet services, and home systems.

Parks Associates also hosts two executive seminars, both part of the Fall Focus series, and co-hosts CONNECTIONS (in partnership with the Consumer Electronics Association) each year.

www.parksassociates.com