The Next Wave of Distributive Audio Sounds Off with 802.11-Enabled Speakers

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New research from The Diffusion Group finds that consumers would be interested in connecting 802.11-enabled speakers to their media networks and media center PCs.

As home networks rapidly evolve support for the distribution of stored digital and online media content to the home entertainment center, 802.11-enabled speaker solutions will find a natural fit in many media networks. According to The Diffusion Group, a Dallas-based market research consultancy, approximately one-third of current home network owners are, to varying degrees and averaged across several price points, interested in purchasing 802.11-enabled speakers.

The report entitled "Next Generation Distributive Audio: Consumer Interest in 802.11-enabled Speakers" illustrates the characteristics of the prime target consumer group for such speaker solutions. “Though the market is, by definition, limited by the adoption of home networks,” says TDG analyst, Dale Gilliam III. “There is a lot of early interest in wirelessly-networked speakers. And naturally so, because as computers operating with Microsoft Windows XP Media Center Edition are replacing many CE devices in the home theater, wirelessly networked speakers offer a convenient solution for replacing the speakers formerly connected to the home stereo.”

The report also found:

•    Among home network owners and those intending to soon purchase a home network, 53% are, to varying degrees, interested in purchasing 802.11-enabled speakers if the price is below $100; 45% are interested if the price is between $100 and $150.

•    Approximately 60% of the primary consumer segment for 802.11-enabled speakers is comfortable using a PC as the center of their home entertainment center.

•    When averaged across the various price points, 44% of Internet households already distributing media over their home network are interested in purchasing 802.11-enabled speakers.

"Next Generation Distributive Audio: Consumer Interest in 802.11-enabled Speakers" further explores interest in these solutions at various price points, identifying the revenue-maximizing price point based on demand. The report further examines the most likely candidates for this new addition to the wireless network and analyzes several possible marketing strategies which target the defined primary consumer group.

About The Diffusion Group

The Diffusion Group is a "think tank" of consumer technology analysts charged with providing timely, actionable intelligence designed to best position new consumer technologies for rapid diffusion. TDG is committed to providing market research and strategic consulting services based on conservative, real-world analysis and market forecasts grounded in consumer research. For more information about The Diffusion Group, visit our website at or email

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Andy Tarczon


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