New home construction was robust throughout 1999 and subsequently provided a boost to the home systems industry.  Structured cabling and more advanced home systems have been going into many of these new homes.  For example, structured wiring manufacturers IBM and FutureSmart Networks reports that roughly five percent of homeowners who opt for a structured wiring for their home also opt for a full-blown whole-house control system.  IBM and FutureSmart Networks do not have numbers available on individual subsystems, but Parks Associates' Home Systems Forecast report shows penetration rates for the entire spectrum of home systems (lighting systems, intelligent HVAC systems, advanced entertainment systems, intelligent communications systems, etc.) have been edging up every year.  Parks Associates, Dallas-based market research firm, projects the growth to continue through 2007.

On the low-end side of home controls, basic controllers (X-10 type basic multifunction lighting and appliance controllers), basic (do-it-yourself) security systems, programmable thermostats, and universal remote controllers have emerged into mass-market status.  "Programmable thermostats and universal remotes are common enough that most people don't give them much attention any more," said Steven Triolet, Parks Associates' security and home systems analyst.  "Basic controllers likewise have crossed beyond the early-adopter threshold.  X-10 reports that they have shipped well over 100 million units of home control products worldwide.   The other home systems may not have garnered nearly as many installations due to higher prices and less consumer awareness, but a robust new housing market and continued interest from cross-industry participants will drive growth in home systems through the foreseeable future."

To learn more about home systems, check out Parks Associates' newest report, Overview of Home Controls.  The report covers industry trends and forecasts for basic and advanced controllers, including intelligent communications systems, advanced entertainment systems, lighting control, advanced central home controllers, intelligent security systems, and more.

From the article, "New home construction spurs home systems markets," by Steve Slayton.

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