As viewing habits shift and the consumer electronics market stagnates, what does the AV industry need to do to ensure that the market doesn't falter?
Author:
ContributorPublish date:
Oct 2, 2018
How we watch TV has fundamentally changed in recent years the notion of broadcast is becoming increasingly defunct as people stream shows on Netflix and Amazon, download content or watch videos on YouTube.
TVs are now just one of many screens that people use to watch their favourite shows on. And, when they are viewing, their attention might be also be focused on a smartphone or tablet as they play games or message friends across multiple screens.
TV manufacturers are no longer just competing with each other to impress viewers with screen size and functionality, but also with a host of other screens that people use for viewing. Our recent whitepaper dug into those shifting consumer needs, and analysed the current state of the industry, to assess whether the AV market - but in particular the Smart TV sector - is at a crossroads and, if so, what Smart TV manufacturers can do to ensure that they remain successful.
Shifting consumer needs
The report found that even though smartphone screen time is growing, overall TV consumption remains unaffected, with the average consumer in Europe watching about three hours of TV every day in 2012 a number that stayed consistent through to 2017. This number increases to 5.1 hours per day for Smart TVs. This is partially thanks to digital services such as Netflix, Amazon and Hulu helping to keep total TV consumption stable, despite the decline of linear TV services, particularly in Europe and North America. This shift in viewing means that digital services are quickly becoming essential to the future of TV consumption. And as people spend more time using these services, they increasingly expect to be able access their content seamlessly across all their devices, and so opt for highly integrated systems that promise both great content and device interoperability. Smart TVs are the screen of choice for watching digital video content, with almost 250 million units predicted to be sold globally in 2023. People tend to value the TV as an established device for media consumption, offering a unique value proposition that is not addressed by smartphones. The living room and the bedroom are the top locations for viewing. The report found that people prefer to consume content late into the night, with 43 per cent of viewers opting to watch online videos in the evening. This means that the status of the TV screen in the house remains relatively safe.
Uncertain marketplace
The report also found that the consumer electronics market is shrinking globally, driven by lower sales volumes. For example, the Compound Annual Growth Rate (CAGR) for tablets decreased by 10 per cent between 2012 and 2017; desktop computer CAGR declined by nine per cent and laptops by five per cent. Only selected categories, such as the smartphone, smart speakers and wearables, are still growing.The prices of consumer electronics have seen almost no growth (+2% between 2012 and 2017), and the consumer electronics market is in decline in terms of revenue and shipments, despite economic advances and growing global internet penetration. This impacts revenues for the consumer electronics marketplace, which are declining in certain regions.
Smart TVs under threat
Since 2015, Smart TVs have been the major technology trend for replacing old TV sets, and are now the device standard, edging out competition from the likes of 3D TV. However, some regional markets are now reaching saturation as the overall TV market is shrinking, with CAGR declining by six per cent between 2012 and 2017. Future market growth is also likely to be slower because the majority of TV sales are replacements, with trends in the overall TV market tending towards stagnation.Despite positive future expectations from analysts, there is no clear development path for innovative TV manufacturers. Although analysts predict the return of strong growth rates, historical trends do not suggest such a turn around, so the future remains uncertain.
Ensuring the future of Smart TVs
The key opportunity for Smart TVs to maintain their value proposition and turn around the decline that is affecting the entire TV sector is to strive for constant innovation.These were the major opportunities of growth for the industry that our report revealed:
Blockchain
AI
Smart Home Integration
Taking each in turn, applying Blockchain to content management and financial services has the potential to drive service automation and content delivery for smart TV ecosystems. Worldwide spending on Blockchain solutions is expected to grow by 67 per cent CAGR until 2022, and the Smart TV industry is one of many that could benefit from this.Artificial Intelligence (AI) is becoming increasingly popular in the home thanks to the introduction of Smart Speakers and virtual assistants, such as Alexa, Google Home and Siri. AI can be used in the context of Smart TVs to anticipate media demand for content delivery and consumer interaction. It is already used by the likes of Netflix to adapt trailers for shows to suit people's viewing habits, highlighting aspects of programs that will most appeal to individual viewers. The global market is expected to grow by 51 per cent CAGR until 2022.As more devices in the home become connected and IoT products become more common, the Smart TV is well-placed to become the central hub for people to interact with all their devices and smart home services, and ensure they are working seamlessly together. It is estimated that the global smart home revenue will increase with a CAGR of 25 per cent up to 2022, and Smart TVs stand to benefit from this.
Winning formula
It is vital for the Smart TV market to stimulate future growth by
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
09/10/2026
September 10 2026, 06:00 (PDT) Dolby Expands Dolby OptiView Platform with New Capabilities at IBC 2026
New Sports Intelligence helps providers better unders...
07/10/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...
29/09/2026
Oak View Group (OVG) has announced Cisco as an Official Technology Partner, with plans to standardize infrastructure across its venue network on Cisco solutions...
29/09/2026
SportsNet Pittsburgh (SNP) won three honors at the 2026 Mid-Atlantic Emmy Awards.
Program awards went to Bucs BP in the Sports Program Live category (produced ...
29/09/2026
The Professional Women's Hockey League has announced home openers for all 12 teams for the 2026-27 season, along with a broadcast partnership with CBC under...
29/09/2026
Manifold technologies has been recognized as a contributor to the Media eXchange...
29/09/2026
FuboTV has announced My Local Sports, allowing subscribers in select markets to add their local regional sports network (RSN) as an add-on to a Fubo Sports subs...
29/09/2026
Asian News International (ANI), a wire agency and video news provider based in India, has deployed Grass Valley's AMPP Media Operating System and Framelight...
29/09/2026
South African Broadcasting Corporation (SABC) has deployed Ikegami UHK-X600 cameras as part of an upgrade to IP-based production infrastructure. The deployment ...
29/09/2026
REMI, REMCO models will drive the bulk of the broadcaster's NHL productions ...
29/09/2026
Three years in, the facility is supporting more centralized race production, com...
29/09/2026
NBC, Peacock, and NBSN are carrying all four Wild Card series with a production ...
29/09/2026
19 Nonfiction Projects Across All Stages of Production to Receive More Than $1 million in Support as Documentary Film Program Approaches 25th Anniversary
LOS ...
29/09/2026
Two new plug-ins launch alongside updated bundles
Zynaptiq have just announced the launch of two new plug-ins, alongside new and improved versions of two of...
29/09/2026
All-in-one bus processor revealed
Wes Audio's ng product range has come a long way since it was first introduced, and now includes a tasty selection of ...
29/09/2026
eds3_5_jq(document).ready(function($) { $(#eds_sliderM519).chameleonSlider_2_1({ content_source:......
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Ikegami announces that the South African Broadcasting Corporation, SABC, has chosen Ikegami UHK-X600 camera systems as part of an advance to IP-based operation ...
29/09/2026
Blendkit Offers 20% Discount to Celebrate Crossing 150K Asset Milestone
Brie Clayton September 29, 2026
0 Comments
Blendkit, the largest 3D asset libr...
29/09/2026
Interactive streaming specialist Ease Live supported more than 76.5 million fan sessions across three major European media operators during this summers FIFA Wo...
29/09/2026
Ease Live has added support for VAST (Video Ad Serving Template) to its graphical overlay technology, opening up new ways for broadcasters, streamers and rights...
29/09/2026
Rise AV has announced the launch of the inaugural Rise AV Awards, a new global awards programme celebrating the women, advocates and organisations across the AV...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
29/09/2026
Clear-Com announced that First Baptist Nashville has upgraded its production communications with a Clear-Com intercom solution as part of a comprehensive sanct...
29/09/2026
Blackmagic Cinema Camera 6K Captured Action Shots for Sketch
Brie Clayton September 28, 2026
0 Comments
Camera's portable design and dynamic range...
29/09/2026
Kean Production Services Deploys AJA ColorBox to Deliver Consistent, Accurate Co...
29/09/2026
Berklee Alumni and Faculty Nominated for the 2026 Latin Grammy Awards A total of 28 Berklee alumni and faculty earned nominations across 20 categories this ye...
29/09/2026
Berklee's K-Pop & Beyond Explores Connections Between K-Pop and Hip-Hop Now in its fifth year, the series brings together artists, industry leaders, and s...
29/09/2026
We tend to think we live in a digital world, with hopes and fears around artificial intelligence (AI), quantum computing, data centres and the next big technolo...
29/09/2026
Today, in partnership with the American Academy of Pediatrics (AAP), Apple relea...
29/09/2026
Final Cut Camera, the professional filming app for iPhone, receives a major upda...
29/09/2026
RT lyric fm is proud to announce the annual Choirs for Christmas competition callout. Warm up those vocal chords and join us on RT lyric fm for a celebration ...
28/09/2026
The NHL has announced Adobe as an Official Creative, Marketing and AI Partner beginning with the 2026-27 season. The partnership will provide the league and its...
28/09/2026
MultiDyne will exhibit at CABSAT 2026 (October 5-7, Dubai Exhibition Centre), showcasing an expanded technology portfolio following its June 2026 acquisition of...
28/09/2026
ARRI and HONOR have announced the HONOR Magic9 Pro Max, a flagship smartphone carrying ARRI branding on the device and packaging as the first product-level expr...
28/09/2026
Net Insight has added the Nimbra 1020G to its pan-Asian live media trial network, giving customers and partners in the region a way to evaluate ST 2110 and JPEG...
28/09/2026
Vindral has been named a recipient of a 2026 Technology and Engineering Emmy Award by the National Academy of Television Arts and Sciences in the category of We...
28/09/2026
Interra Systems will exhibit at CABSAT 2026 (Stand B2-37, Dubai Exhibition Centre, October 5-7), demonstrating its BATON QC platform, ORION monitoring solutions...
28/09/2026
Two years into its new production facility, the TOUR is expanding centralized wo...
As viewing habits shift and the consumer electronics market stagnates, what does the AV industry need to do to ensure that the market doesn't falter?
