Gartner Research

Impact Appraisal: AT&T Home Monitoring Is Sticky Business

Published: 14 January 2013

ID: G00247400

Analyst(s): Hugues J. De La Vergne , Angela McIntyre

Summary

AT&T's expansion into home monitoring and automation with a wireless network platform will provide attractive opportunities to expand the company's suite of services.

Table Of Contents
  • Impacts

Analysis

Impacts and Recommendations

  • AT&T is offering wireless home monitoring and automation platforms and services directly to consumers, which will expand hooks into the consumer and lower churn
  • The entrance of AT&T and other nationwide communications service providers (CSPs) will be disruptive to the home security market and will lead to the consolidation of a fragmented industry
  • Home monitoring services will increase to 25% of homes in the U.S. by 2016 from the current 20% penetration. Hype from CSPs and aggressive pricing will raise consumer awareness of the benefits of home monitoring and make it more affordable, leading to increased adoption.

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