Cable / Telecom News

CES 2020: Opportunities for ISPs to “super serve” customers will come with 5G and smart home 2.0


By John Bugailiskis

LAS VEGAS – If there’s one thing we now know from the growing sales of smart TVs, streaming devices, thermostats, smart mirrors, doorbells, security systems, appliances and so forth is 2020 will be the year homes are filled with more than just chatty speakers.

This rapid rise in smart home technologies, connected devices and Wi-Fi-powered services and apps is creating opportunities which were unforeseeable just a few years ago. For example, security devices like Wi-Fi-connected cameras, are no longer merely to protect households, but now also to remotely feed treats to beloved pets, for example.

The rollout of 5G (real 5G using higher frequency spectrum yet to be auctioned off in Canada and not the so-called 5G which will be announced this year), will only place increased pressure and urgency on internet service providers to differentiate their services and create a premium experience in order to maintain and grow market share said Wi-Fi solutions vendor Plume who is here at CES.

Plume currently works with major service providers such as Comcast, Charter, J:COM in Japan and Bell Canada, and has grown its business with OpenSync, an open-source initiative enabling the curation, delivery and support of services, and management of devices throughout the smart home.

Moreover, as Kevin Westcott, vice chairman and U.S. telecommunications, media, and entertainment leader of Deloitte LLP noted in its 2020 Telecommunications, Media, and Entertainment Outlook, “telecommunications firms and enterprises are still trying to determine what the ‘killer apps’ for 5G will be. With the advent of 5G, we’re likely to see new kinds of apps we’ve never considered before.”

According to the International Data Corporation (IDC), worldwide shipments of smart home devices are projected to climb to 1.4 billion by 2025. Of these, about 418 million will be video entertainment devices, 308 billion will be home security devices, 200 million will be smart speakers, and another 471 million will be comprised of a variety of other connected devices ranging from smart watches to connected fitness machines.

As a result, the critical role of home broadband in the smart home ecosystem presents an important opportunity for cable operators, telcos and other ISPs to “super-serve their customers and differentiate their services in a highly commoditized environment” says Plume. In 2019, Plume households had an average of 18 Wi-Fi connected devices. Plume CTO Bill McFarland predicts this number to exceed 31 by 2022. This spike in smart home devices means that it is no longer just computers, phones, tablets, and the occasional digital assistant running on home Wi-Fi networks; these networks will be powering each and every device that will run and sustain homes worldwide now and in the future.

And we’re not yet even talking commercial or small business applications.

At CES, Plume announced a new service to its smart home services portfolio: Wi-Fi-enabled motion detection. Customers can now instantly access an entirely new service that will alert them to the presence of family and physical motion in their homes with no new hardware required. At launch, Prime says it will be able to “alert users when family members arrive or leave the house, auto-enable alerts when you are away, detect pets so they don’t create false alarms, and let you know about expected or unexpected motion at home.”

The service will become available to all U.S. Plume users on February 27, 2020 as part of their membership, with no need for new hardware. A release date for Canada was not provided. Plume plans to eventually expand the service to include additional motion detection applications, such as wellness recommendations and smart home automation.

“This new motion detection application can be deployed through a software update and gives new purpose to existing connected devices. This is possible because the Plume platform is designed to evolve, allowing new services to launch to millions of homes via our cloud-based infrastructure. As a result, service providers and technology pioneers can continue to meet the growing expectations of the connected homes,” said Avery Lewis, product lead.

It’s already anticipated that 5G and all future “next-generation” internet connectivity services that follow, such as the “10G” service that U.S. cable companies are developing, will change the way consumers use broadband in the home. This will occur whether it be through the adoption of augmented and virtual reality content and services, digital health tools, educational tools, improved telecommuting, or new and improved digital shopping experiences says Plume. However, the company also anticipates 5G will usher in a host of new security concerns.

Plume recently released its Smart Home Report 2019 which outlines emerging trends, challenges and opportunities for consumers, Internet Service Providers, device manufacturers and others in the era of smart home 2.0. The report also indicates the smart home ecosystem is rapidly diversifying, with data indicating during the second half of 2019, Apple’s share of connected devices in the home declined by more than 12%, while Amazon, Samsung, and Google all grew their share by double digits.

“Protecting privacy and cybersecurity will become an important selling point for broadband providers.” – Plume

As reliance on Smart Home technology grows, so too will consumer’s expectations for in-home Wi-Fi. Plume analysis of support call data over the course of a year from one major North American ISP found that one in four consumer complaints arise from the network not working well enough in the home. Of course, as the number of devices in the home increases, so too do call rates.

The report also found getting the in-home-Wi-Fi network right is not just good for consumers; it’s good for ISPs too. “Optimizing the home Wi-Fi network can address some of the specific circumstances that engender the most nagging consumer complaints like dead zones, lag time during peak hours, or interference.”

While consumers are embracing the advantages of smart home 2.0, the adoption comes with unprecedented vulnerability, adds Plume. “Protecting privacy and cybersecurity will become an important selling point for broadband providers. The most robust digital security applications will be cloud-based and artificial intelligence-driven to be able to quickly, efficiently, and automatically detect and isolate threats.”

In this new ecosystem, video consumers increasingly expect their streaming TV experience will be as seamless, high-quality, and lag-free as watching through a traditional cable or satellite TV service, adds Plume. The most popular way to stream to a TV is to use a streaming stick or box like an Amazon Fire TV Stick, a Roku, an Apple TV, or a Google Chromecast. As of February 2019, nearly one-third of all Plume U.S. households have a streaming device connected to their Wi-Fi network. In households with a streaming device, Amazon and Roku are nearly equal in terms of share of usage, handily outperforming both Apple TV and Google Chromecasts.

With consumer complaints arising not from complete outages, but from the network not working well enough inside homes now festooned with smart tech – often causing interruptions of those viewing experiences – those service providers best prepared to be everything to their customers will win the 5G-powered smart home 2.0 era.

For some video on Plume’s presentation, please click here.