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Internet Access Device Sales Boosted By Broadband

Internet Access Device Sales Boosted By Broadband

The market for equipment used to access the web is expected to grow by 30% this year, as the popularity of broadband services continues to drive up internet penetration.

According to a new report from In-Stat/MDR, the internet access device (IAD) market will grow at an overall annual rate of 15.5% between 2002 and 2007. This is a rise in unit sales from 427 million to 880 million.

In-Stat defines IADs as including PCs and PDAs; internet capable mobile phones; set top boxes, including digital cable boxes and video game consoles; and smart appliances, which include internet-enabled white goods and consumer electronics such as picture frames, televisions, home audio and email devices.

The PC and mobile phone segments will have the greatest unit shipments over the next four years, whilst smart appliances will have the highest growth rate. In-Stat says that the smart appliance market is hampered by a lack of consumer education on how the products add value. One sub-segment of this category, white goods, will see a high growth rate of 95.4% over the period, but shipments will remain relatively low due to a lack of standards and higher prices.

“The main factors affecting this market have not changed in the past few years, but have become increasingly important as broadband internet penetration rates and digital media awareness increase,” says Cindy Wolf, industry analyst with In-Stat/MDR.

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