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"Service providers -- particularly in broadband access and television delivery -- view the deployment of Web-connected home applications as service differentiators and a means to promote customer loyalty," Kurt Scherf, principal analyst and VP at Parks Associates, told the E-Commerce Times...

As has been the case for two decades, computers became smaller, more powerful, more functional and less expensive. "Good news continues for consumers, as more-functional high-tech products continue to become more affordable," said Kurt Scherf, a vice president at market research firm Parks Associates...

WiFi has become the dominant method for building home networks. "Users are interested in WiFi because these products have been inexpensive to develop, easy to deploy, and popular among many vendors and resellers," noted Kurt Scherf, a vice president at market research firm Parks Associates...

In addition, coaxial cable has become quite common in the U.S. "More than 80 percent of U.S. homes have coaxial cabling, and it is often found in the rooms that users would want to string their video connections to: the family room, bedroom and home office," said Kurt Scherf, vice president at Parks Associates...

A rift between the different factions had been ongoing for a few years and eventually led some vendors to abandon their efforts to craft an IEEE standard. "One would think that with all that was at stake, vendors would have been able to forge a compromise, but that did not turn out to be the case," said Kurt Scherf, a vice president with market research firm Parks Associates...

"This year will be a watershed for delivering to consumers an array of new entertainment experiences," said Kurt Scherf, vice president and principal analyst at Parks. "Thanks to broadband proliferation and growing cooperation between content producers and other members of the digital entertainment value chain, we'll see significant product and service announcements throughout 2006."

Leading up to this holiday gift-buying season, the home has become a high-tech focal point. Individuals can now collect content on digital cameras, televisions, and stereos and then send it to various computers via wireless LANs. "Wireless enabled devices are on many shoppers' wish list this holiday season, and such items will be big sellers in the consumer market," noted Kurt Scherf, an industry analyst with Park Associates...

Cable and satellite television service suppliers are able to charge customers more for HD channels than regular channels. "Since carriers charge a premium for HD channels, adding more HD channels to their services represents a simple way to increase revenue," noted Kurt Scherf, an industry analyst with Park Associates. A few years ago, service providers started off by delivering a handful of HD channels to consumers, but they have expanded selections so many of the services now carry at least a dozen HD channels...

"Cellular carriers had been interested in offering video services for quite some time, but it is only recently that the technology has evolved so they can deliver it," said Kurt Scherf, an industry analyst with market research firm Park Associates In recent years, handsets hav...

Convenience is another consideration. "Businesses and consumers have found that properly connecting the hodgepodge of cables currently found in computers and consumer electronics devices like their television is a complex, confusing process," said Kurt Scherf, a vice president with market research firm Parks Associates. "Wireless links promise to simplify that task, and such convenience has been one reason why cell phones and wireless LANs have become so popular."

There have been signs of change. While a far cry from the Internet boom times, cable companies have recently begun loosening up the purse strings and investing in their networks. "Cable vendors understand the Darwinian notion of survival of the fittest and view video services as a key component to their long term success," said Kurt Scherf, a vice president with market research firm Parks Associates...

Yet few are aware that the supporters reached such a significant milestone. "HomePlug products haven't generated much publicity among consumers or gained much shelf space among retailers," Kurt Scherf, an industry analyst with Park Associates, said. "That's because wireless LANs have been so successful." ...