The document discusses consumer segments for connected home technology adoption based on a 2000 and 2003 study. It finds that while new home technologies were introduced, the percentages of early adopters, visionaries, and laggards remained stable. It also describes the four consumer segments - Electrons, Neutrons, Protons, and Nuclei - defined by the Internet Home Alliance based on attitudes towards connected home technology. The Nuclei and Protons, making up 42% of households, represent the primary targets for connected home products.

1. CABA Connected Home Council Connected Home Framework 4.26.05

4. Internet Home Alliance Consumer Segmentation Nuclei 17% (10.6 million households) Protons 25% (15.5 million households) Neutrons 10% (6.2 million households) Electrons 48% (29.9 million households) US Home Ownership, Q4 1998 (US Census) 62.2 million Single-Family, Owner-Occupied Households

13. Home Networking (Total n=238; Primary Market n=195; Mass Market n=67; Q44) Current Uses Share Internet Access Across PCs Share Access to Peripherals Share Electronic Files Across PCs View PC Video on a TV Play Multi-player Games/Multiple Devices w/in House Listen to PC Music Files on Stereo Access Internet Streaming Audio via Stereo Play Online Games via a Game Console Internet-linked Home Security Record TV Programs on PC Other Access PC Applications via In-home Portable Device Home Automation Current Uses

14. Home Networking Future Uses Home Automation Internet-linked Home Security Record Broadcast TV on PC Listen to PC Music Files on a Stereo Access Internet Streaming Audio via Stereo View PC Video on TV Access PC Apps via an In-Home Portable Device Share Access to Peripherals Play Multi-player Games/Multiple Devices w/in House Play Online Games via Game Console Other Share Internet Access Across PCs Share Electronic Files Across PCs Future Uses (Total n=238; Primary Market n=195; Mass Market n=67; Q44) Interest in None

16. Home Networking Interests & Options Integrated Network As part of this study, we asked consumers to indicate which one of three types of home networks they preferred, if any. The three types we evaluated consisted of: Point-to-point networks--networks consisting largely of single room, discrete PC-to-device applications; Distributed networks—networks comprised of multi-room, ecosystem-oriented applications; and Integrated networks—networks made up of multi-room, cross-ecosystem applications. Each type of network represents an increasing level of sophistication. Our working hypothesis was that primary market consumers would gravitate toward distributed and integrated networks, while mass market consumers would lean toward point-to-point networks as a relatively low-risk means of enjoying some of the benefits of home networking. Primary market consumers did, indeed, tend to prefer distributed and integrated networks; however, mass market consumers expressed little interest in any type of network and those who did were divided in their preferences. Distributed Network Point-to-Point Network

21. Home Networking Preferences Integrated Networks Main Reason for Adoption by Segments Convenience/ Ease of Use Cutting Edge Improve Working from Home Entertainment Streamline Current System Remote Access Appealing Central Admin/ Device Control Increased Security Useful/Sounds Good Share Technology Other Good Replacement Increase Productivity Main Reason for Adoption by Segments (Total n=165; Primary Market n=192; Mass Market n=9; Q64A) Multiple/Concurrent Net Connection

22. Home Networking Preferences Integrated Networks Main Reason for Adoption by Network Ownership Convenience/ Ease of Use Cutting Edge Improve Working from Home Entertainment Streamline Current System Remote Access Appealing Central Admin/ Device Control Increased Security Useful/Sounds Good Share Technology Other Good Replacement Increase Productivity Main Reason for Adoption by Network Ownership (Total n=165; Primary Market n=192; Mass Market n=9; Q64A) Multiple/Concurrent Net Connection

26. Internet Home Alliance Ecosystem Framework Cellular Network Mobile Home Notebook VoIP Phone Web-based Services Automotive Multifunction Printer Career Personal Entertainment Hotspots Gaming Home Video Distributed Audio PVR/STB Television Media Center PC Home Theater Cell Phone Mobile Gaming Audio Players Notebook Internet White Goods Small Appliances Bridge Family Security System HVAC Web Camera Broadband Access

32. Consumer Opportunities Career Family Entertainment 2003 2005 2007 Security System HVAC Appliances Program. Thermostat Communicating Thermostat Lighting Control Smart Appliance Online Grocers Inventory Mngmnt Health Advice Office Visits Telemedicine RFID Tagging Security Monitoring Energy Management Appliance Monitoring Metabolism Monitoring Personalized Medication Mealtime Dynamic Routing Telematics Voice Office Wireless LAN CBT Training Web Conferencing Internet Enhanced Education Classroom Training Automobile Server VoIP Application Sharing Video Conferencing Blackberry Live Distance Learning WiFi Phones Instant Messaging Online PC Gaming Gaming Consoles Movie Downloads Mobile Players PVRs Home Jukebox PC Network Music Library Home Media Server Online Gaming Network PVR Music Subscriptions Music Downloads Media Bridges HDTV Digital TVs VOD DVD P2P Home Theater Big Screen TV