Connected device shipments to reach 2.5 billion units by 2017
Editor | 04-10-2013
Buoyed by pay-TV operators looking to avoid becoming simply a "dumb" pipe by providing content to consumers via multiple types of platform, the connected device market is set to spike over the next four years, says research firm MRG.
Indeed MRG says in its report, Connectable CE Devices: Moving to a More Mobile World, that the ability the ability to deliver high quality, high definition video streams across home networks to devices using multiple formats and multiple screen sizes is crucial to the success of content and service providers.
The analyst calculates that the vast majority of CE devices currently shipping today are what it defines as "connectable" and expects shipments of these devices to grow to roughly 2.5 billion in 2017, representing a compound annual growth rate of 16.5%. The report revealed that smartphones were far and away the largest connected device segment shipping in 2012, followed by digital televisions and then notebooks. Tablets are expected to achieve parity with notebooks and surpass digital televisions in shipments beginning in 2015, and MRG believes that by 2017 tablets will be second only to smartphone shipments, representing a combined share of nearly 75% of an increasingly mobile connectable device ecosystem. It adds that other devices like notebooks, video game consoles, streaming media players and Blu-ray players all help contribute to the increasing prevalence of connectable devices.
Yet on a note of caution, MRG concluded that with technologies advancing in leaps and bounds, and consumers' increased expectations of having content available whenever and wherever they want, the pace of change has almost surpassed the abilities of media and entertainment companies to keep control of their long-established business models. It warned that in order to understand the full market opportunity for connectable devices, it is necessary to understand how the different technologies present in the living room can fit together in a cohesive framework.