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Wi-Fi and Home Networking

Q4 2023

Quantified Consumer

Home Internet Evolution: 5G Competition and Value-Added Services

Competition in the home broadband market is evolving. Many internet service providers are turning to fiber as their next-generation last mile solution of choice, enabling gigabit speeds and greater service reliability. At the same time, 5G and LTE fixed wireless services have taken a substantial share of the US residential market since first emerging in 2021, both connecting the unconnected and taking share from DSL and legacy satellite subscribers. Value-added services are a key area of differentiation for ISPs, allowing them to better attract and retain subscribers while generating new revenues.

This study draws from Parks Associates Q3 2023 survey of 8,000+ US internet households. The survey is demographically representative of US internet households, with quotas for age, income, and gender. Some questions are shown to a subgroup of ~4,000 respondents, which are also demographically balanced to be representative of US internet households.

Key questions addressed:
  1. How are consumer perspectives on fiber and gigabit speeds impacting their choice of internet service provider and service tier?
  2. What markets are being impacted by 5G fixed wireless service, and what are the characteristics of service adopters?
  3. Which value-added services resonate with end-users, and what is their impact on satisfaction and retention?
  4. How do new value-added services compare to traditional service bundles?
  5. What is the impact of and consumer demand for managed Wi-Fi service hardware, including mesh networking routers and nodes?
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Executive Summary

Net Promoter Score of Home Internet Service by Internet Access Method

Agreement With Statements Towards Broadband Service by Current Provider

Adoption of MNO FWA Service

Top 6 Services Bundled With Home Internet

Impact of Bundled Services on Net Promoter Score of Home Internet Provider

Home Internet Service ARPU for Traditional TV/Internet Bundles

Broadband Usage Trends

Residential Internet Provider Landscape: Top Players

Market Share of Top Ten Residential Home Internet Providers

Internet Access Method Among Home Internet Households (Consumer Survey Data)

Estimated Adoption of Mobile Network Fixed Wireless Access (5G & LTE) Among US Internet Households

Internet Service Payment Method by Type of Home

Download Speed of Home Broadband Service

Upload Speed of Home Internet Service

Home Internet Service ARPU by Download Speed

Home Internet Service ARPU by Download Speed – Standalone Broadband Subscribers

Fiber, 5G, and Gigabit Service

Net Promoter Score of Home Internet Service by Internet Access Methods

Attitudes Toward Fiber or 5G Internet Service

Concept Testing: Appeal of 5G Home Internet

Net Promoter Score of Home Internet Service by Download Speed

Barriers to 5G Home Internet Adoption: Why Consumers Don’t Find It Appealing

Top Factors Considered When Switching Providers

Perceptions of Current Home Internet Service

Agreement With Statements Towards Broadband Service by Current Provider Type

Home Internet Subscriber Profiles

Adoption of Gigabit Service Among Groups

What Gigabit Subscribers Look For In an ISP

Adoption of Fiber Service

What Fiber Subscribers Look For In an ISP

Adoption of MNO FWA Service

What MNO FWA Subscribers Look For In an ISP

Adoption of Satellite Service

What Satellite Subscribers Look For In an ISP

High Spend Subscribers

What High-Spend Subscribers Look For In an ISP

Low Spend Subscribers

What Low-Spend Subscribers Look For In an ISP

Adoption of Value-Added Services

Services Bundled With Home Internet

Bundled Service Adoption Among Home Internet Households

Traditional Home Internet Service Bundles

Impact of Bundled Services on Net Promoter Score of Home Internet Provider

Impact of Service Type

Perceived Value of ISP-Provided Services

Adoption of Value-Added Services by Network Type Among Cable Subscribers

Adoption of Value-Added Services by Network Type Among Fiber Subscribers

Adoption of Value-Added Services by Network Type Among Trad. FWA Subscribers

Adoption of Value-Added Services by Network Type Among MNO FWA Subscribers

Adoption of Value-Added Services by Network Type Among DSL Subscribers

Adoption of Value-Added Services by Network Type Among Satellite Subscribers

Impact of Bundled Services on Cable Internet Provider NPS

Impact of Bundle Combinations on Cable Internet Provider NPS

Bundled Service Adoption by Internet Plan Type

Bundled VAS Adoption by Network Type – Paid Services

Bundled VAS Adoption by Network Type – Free Services

Bundled Service Adoption by Speed Tier – Paid Value-Added Services

Bundled Service Adoption by Speed Tier – Free Value-Added Services

Customer Switching And Expectations

Experience Looking for New Internet Provider: Ease Vs. Difficulty In…

Difficulties Finding Current Internet Service Provider

Attitudes Toward Broadband Service

Attitudes Towards Broadband Service by Current Provider Type

Customer Spending And ARPU

Internet Service ARPU - Bundle Types

Home Internet Service ARPU for Traditional TV/Internet Bundles

Home Internet Service ARPU for Traditional Non-TV Bundles

Internet Service ARPU for Traditional Bundles Including Value-Added Services

Internet Service ARPU for VAS-Only Bundles

Home Networking

Adoption of Router by Source: 2021-2023

Home Networking Product Purchasing (2018-2023)

Router Purchase Channel

Network Extender Purchase Channel

Brand of Home Network Router Purchased from Internet or Cable TV Provider in Past 6 Months

Appendix

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