NetGear, Inc.’s (NASDAQ:NTGR) future is in The Internet of Things, Patrick Lo, the company’s CEO, said in a discussion on Fox Business Network.
The comment from the NetGear, Inc. (NASDAQ:NTGR) CEO comes after the company just unveiled its Nighthawk X6 router. The new router has six antennas, three Wi-Fi radios and a dual-core 1GHz processor. Built on the new Broadcom 5G Wi-Fi XStream chipset, it also is has 802.11ac and two USB ports.
When asked about where the growth in NetGear, Inc. (NASDAQ:NTGR) is, the CEO explained:
“Clearly the growth is the future in what we call The Internet of Things or the smart home or connected home. We did a survey that on average, in American homes, there are about nine devices which are Wi-Fi-enabled today. [However,] the projection is [that]in three to five years’ time, that’s going to go to 30 devices. So that means there will be more demand for Wi-Fi bandwidth and that really plays into our hands. Our job is to make sure all these 30 or so devices, be it slow, be it fast, would have the optimal connectivity to the internet at any point in time.”
Lo then went on to explain during a later part of the discussion that their new router is already displaying one of the solutions of how to better manage the connected home. He noted that with Wi-Fi, your network’s speed is actually dependent on the slowest device on that network. The Nighthawk X6 is a tri-band router which segregates devices and assigns them to the most suitable band. For example, the NetGear, Inc. (NASDAQ:NTGR) CEO said, the slowest device is assigned to the slowest band. This, he said, helps the connected home to work in an optimal manner.
The full discussion can be seen below.
NetGear, Inc. (NASDAQ:NTGR) shareholders includes Chuck Royce’s Royce & Associates which reported about 4.16 million shares in the company by the end of March. Another hedge fund with a position in the information technology networking company is Ken Fisher’s Fisher Asset Management which reported about 1.18 million shares in the same period.