Issue dated - 18th August 2003

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Front Page > News Analysis > Story Print this Page|  Email this page

SMC set to redefine home networking

The new family of EZ-Stream products for home entertainment from SMC Networks leverage high-performance universal 802.11a/g wireless networking to distribute pictures, music and video for the ultimate digital experience at home. Rahul Neel Mani has the details

High-speed wireless network access means no wires and no hassles—with the capability to handle streaming audio and video applications without compromising on performance or reliability, says Milind Kamat

The EZ-Stream Universal 2.4GHz/5GHz Wireless Multimedia Receiver (SMC-WMR-AG), a new device introduced by SMC Networks, is the industry’s first universal wireless home entertainment networking device. It works with all 802.11 wireless standards—whether it is the presently popular 802.11b, or the emerging 802.11a and 802.11g—thus ensuring it stays ahead of devices working only with 802.11b. The SMCWMR-AG is a device that lets users enjoy MP3 music, download pictures, videos stored on the computer, and also listen to Internet radio stations—all from the comfort of living rooms.

Where the product scores

The SMC product faces competition from Linksys and Philips who have launched wireless multimedia receivers, but SMC claims that the competing products do not support multiple functions through a single device. "High-speed wireless network access means no wires and no hassles—with the capability to handle streaming audio and video applications without compromising on performance or reliability," says Milind Kamat, country manager, SMC Networks India. SMC claims the best part about this product is that high-performance Universal Wireless 802.11a/g products will join the EZ-Stream Universal Wireless Multimedia Receiver, which has both wired and 802.11a/g wireless connectivity built-in, to optimise connections between servers and desktops, gaming or other network-capable devices.

The first of the EZ-Stream routers and adapters will be the SMC2304WBRP-AG Universal Wireless Broadband Router, which will provide cable and DSL connectivity to the Internet and will distribute it via wired and 802.11a/g wireless, and the SMC2362W-AG 802.11a/g wireless USB adapter. This home networking gizmo is manufactured in collaboration with Philips, through its joint venture with Accton, the parent company of SMC.

The market

According to Kamat, the new device is perfect for those who live entertainment and view this experience from a convenience standpoint of a home entertainment centre. However, the device many also find a good market among hotels, large cyber cafes and other centres like music stores and coffee shops. On variants, Kamat says that there is a need for different products, based on applications, and prices will be specifically tailored according to the applications they are targeted at. The device comes at an estimated retail price of $249.99, which is a little over Rs 11,000.

The company sees great potential for this product from the high-end home PC market and high-end television market. The company is not looking at any exclusive sales channel though. Says Kamat, "SMC has its existing channel partners, with whom we are holding talks to distribute and retail the Wireless Media Receiver. In addition, we will also speak to specialised and newer channels to launch the product in the Indian market." Even though the market potential is huge, the company is conservatively estimating sales of up to 500 units a month.

SMC believes that innovations such as the digital media player will create a momentum in sales for the company. "We have come to understand that multimedia home network households globally are projected to increase by an annual rate of 210 percent through 2006, and the Indian market shouldn’t be far behind," says Kamat.

Adds Kamat, "Our Wireless Multimedia Receiver is an exclusive product in the Indian market as of today. However, since this is a lucrative product segment, we do expect competition from consumer appliances companies like Sony and some hardware manufacturers. But as we already have the first-mover advantage, we are not too worried." According to SMC, the product’s USP is the technical edge over competing products, and compatibility with various interfaces and wireless standards, besides competitive pricing, all of which are expected to add up in the final reckoning in the market.

Audio and video seem to be the most likely candidates to draw the average consumer into home networking, since the typical consumer today spends more time watching television and listening to CDs at home than accessing the Internet. However, moving multimedia streams is much more difficult than moving data. There are a number of multimedia home network wiring and standards options. Wired options include IEEE 1394, Ethernet, coax, power line and the landline. Wireless options include 802.11x, ultra wideband, and custom wireless solutions. All have their own strengths and weaknesses when it comes to carrying multimedia. It is extremely unlikely that multimedia, or audio/video home networks will depend on only one of the options listed above. It would be more likely that these networks will depend on a combination of standards and technologies.

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