Digital home has the imagination not only for consumer but also for industry. With the widespread penetration of broadband access services and the electric products, amazing products have made it possible for everyone, which brings many tremendous changes. There is no such a specific definition of “digital home”. General speaking, a “digital home” is a home management system that allows home users to easily manage their daily lives by providing for a lifestyle that brings home security, energy and environmental management (lighting, gas, temperature, humidity and remote control), entertainment(Audio/Video control), and communications. The increasing demand from users on the control of household electric products, home security, and resources sharing, the concept and application of digital home network gains the attention of telecom industry, IT and household electric product industry. Digital home service providers offers lots of choices not only software but also hardware. Telecommunication technology, IT technology, house hold products, and many applications are released every day. The main purpose of this article is to introduce the concept of “digital home” and the development status of digital home. This article also spend lots of space to narrative the standards of different area about the digital home and applications of digital home, such as home security. The article states current bottlenecks encountered and the difficulties need to break through at the final pages.