Broadband Networked Households Present Sizeable, Lucrative Target for Digital Electronics Vendors

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New research from The Diffusion Group finds widespread uptake of digital electronic devices among broadband networked households.

A new study from The Diffusion Group, the leading strategic research consultancy focused on the digital home and connected consumer, finds that US households that have both a broadband connection and a home network are much more likely to either own or be inclined to purchase new digital electronic platforms.

Broadband Networked Households: Profiling the New Media Home, the latest of TDG's Consumer Snapshots, also finds the broadband networked households are moving from single- to multi-unit penetration in digital consumer electronic categories. For example, 29% of broadband networked households now own three or more DVD players, up from 13% in 2004.

"By year-end 2005, there will be approximately 25 million US broadband networked households - a sizeable and influential segment of consumers," says Dale Gilliam, director of primary research at TDG and co-author of the new study. "But describing broadband networked households is no longer simply a matter of describing early technology adopters - it is more about consumer electronic and media purchasing habits than it is new technology adoption. Simply stated, broadband networked households tend to own significantly more media devices than other US households. Of course, these devices are increasingly digital, but this has more to do with price reductions and peer group recommendations than with early adopter tendencies such as novelty or first-adopter status."

TDG's latest report, Broadband Networked Households: Profiling the New Media Home, provides a comprehensive overview of consumer electronic ownership among US households that use both a broadband connection and a home network. The study also includes a detailed, room-by-room snapshot of device location within the home for consumer electronic devices including DVD players, PVRs/DVRs, stand-alone home stereos, stereo speakers, TVs, game consoles, desktop PCs, and laptop PCs. The report also includes trending data on the penetration of a variety of consumer electronic devices within the various rooms of the home.

About The Diffusion Group (TDG Research)

The Diffusion Group is a consumer technology research and strategic marketing firm focused on the connected consumer and new media. Our mission is simple: to provide 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


Andy Tarczon


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