The consumer electronics industry is projected to generate US$171 billion in U.S. shipment revenues in 2009, according to the semi-annual industry forecast by the Consumer Electronics Association (CEA). CEA 0resident and CEO Gary Shapiro announced the forecast in opening remarks at the 2009 International CES in Las Vegas.
The CE industry continued to grow in 2008 despite the economic downturn. CEA’s estimate of final shipment revenues for 2008 showed the industry reached a new high of $172 billion, an increase of 5.4% over 2007. In 2009, overall, CEA projects that domestic shipment revenues will essentially remain flat at $171 billion, a decrease of 0.6% over 2008.
The primary revenue driver for the industry continues to be digital TV displays, representing 15% of total industry shipment dollars. As the transition to digital television nears, unit shipments of DTVs will approach 35 million in 2009, an increase of nearly 6% over 2008 shipments. LCD displays remain the top choice among consumers, representing 77 percent of total DTV units.
With the format war now settled, Blu-ray players are expected to see major growth in 2009. With more content, new products and lower prices, CEA says that Blu-Ray revenues are projected to surpass $1.2 billion.
CEA says the gaming category also remains a bright spot in the CE industry and an increasing component of consumer spending. The overall video game market should grow 11 percent, generating nearly $22 billion in revenue this year, a new high mark for the category. Software continues to drive the gaming market, helped by a growing installed base of next-generation consoles. Gaming software revenues are expected to grow 18% to nearly $15 billion.
CEA says the updated sales and forecast report also shows consumers are turning to smartphones as their mobile phone of choice. Smartphone revenues will continue to grow this year, increasing nearly 20% this year, to $13.6 billion. As carriers increase the speed of their networks and offer new services in addition to communication, smartphones will account for more than 60% of total handset revenues.
to Daily News