4q 2014 global connected tv gaming console and computing devices forecast 2011-2018
DESCRIPTION
IEMR’s Global Connected TV, Gaming Console and Computing Devices Forecast provides a comprehensive forecast of global, regional, and country-specific acquisition and possession of TV, gaming consoles and computing devices among consumers in 18 countries and 7 regions. For each country, region, and globally, we provide annual historical data (2011 – 2013) and annual forecasts (2014 - 2018) for sales, households and installed base of 19 different technology segments in the home entertainment sector. IEMR’s estimates are based on both demand-side on-line consumer surveys and supply-side on-line interviews with executives. On the demand side, we undertake detailed on-line surveys at the country level in the "IEMR 50" list of countries where we undertake primary field surveys based on our quarterly Global Consumer Telecommunications Survey.TRANSCRIPT
IE Market Research Corporation
4Q.2014 Global Connected TV, Gaming Console, and Computing Devices for Home Digital Entertainment Forecast Presentation, 2011-2018
November 2014
4Q.2014 Global Connected TV, Gaming Console, and Computing Devices for Home Digital Entertainment Forecast Presentation, 2011-2018
IE Market Research Corporation
Table of Contents
Subscriber Connections
3
Introduction: Forecast Methodology & Coverage 4
Global Market Review 11
Regional Overview: 19
North America 20
Latin America 23
Western Europe 26
Eastern Europe 29
Asia-Pacific 32
Middle East 35
Africa 38
Disclaimers and Disclosures
Introduction: Forecast Methodology & Coverage
5
This report provides IE Market Research Corporation's (IEMR) quantitative historical estimates and future forecasts for the Connected TV, Gaming Console, and Computing Devices for Home Digital Entertainment market.
Unlike other research firms that base their estimates essentially on complicated models and Analyst assumptions, IEMR’s estimates are based on both demand-side on-line consumer surveys and supply-side on-line enterprise interviews with executives that we undertake for any given ecosystem.
Demand Side
On the demand side, we undertake detailed on-line surveys at the country level in the "IEMR 50" list of countries where we conduct primary on-line field surveys based on our quarterly Global Consumer Telecommunications Panel. Please see the exact survey questionnaire administered to our Consumer Panel in the "Consumer Survey Questionnaire" Tab and the Sample Demographics for each country in the "Consumer Survey Demographics" Tab of this report. For the Global Connected TV, Gaming Console, and Computing Devices for Home Digital Entertainment report, we undertook an online survey of 33,489 consumers in 18 countries and 7 regions.. Conducted in quarterly waves, IEMR's Global Consumer Telecommunications Survey measures trends in fixed and mobile telecoms and digital media usage among consumers in these 18 countries and is the most comprehensive survey of its kind in the world.
Supply Side
These demand side surveys are “conditioned” by supply side interviews that we conduct with leading companies in any given ecosystem. We provide these companies with our global and regional estimates and ask them standard questions about their thoughts on past estimates at the global and regional levels and their insights on the future growth rates both globally and in any given market. These supply side interviews are done after the demand side estimates are produced and may change the demand side estimates established by IEMR.
In this sense, our estimates and forecasts are not “Analyst” estimates but can be construed as being “Market” estimates since we include both demand and supply-side considerations in our methodology and actually interview consumers and confirm their views with enterprises.
© 2014 IE Market Research Corp.
All rights reserved.
Introduction: Forecast Methodology & Coverage
5
6
Series Definitions
© 2014 IE Market Research Corp.
All rights reserved.
Introduction: Forecast Methodology & Coverage
6
HouseholdsWe define "households" as one or more people who live in the same physical dwelling structure and also share at meals or living accommodation, and may consist of a single family or some other grouping of people. A single dwelling will be considered to contain multiple households if either meals or living space are not shared, for example basement suites where living space may be rented to a completely different social unit. This metric is based on our Consumer Survey Questionnaire.
Installed BaseWe define installed base as the total number of devices that are actually in households and used on a regular basis (at lease once per quarter). This metric is based on our Consumer Survey Questionnaire.
Unit SalesWe define historical unit sales as the number of devices purchased by households in a given country in a given year. We define forecast unit sales as the number of devices that households are expected to purchase (either new devices or replacement devices) every year over the next 4 - 5 years. This metric is based on our Consumer Survey Questionnaire.
Advanced GatewaysWe define an advanced gateway as a device connecting home entertainment devices in household consumer premises to a broadband delivery network. Advanced gateways allow for such functionality as application downloads, home automation and multi-screen deployment of entertainment on various types of devices. Please see our Consumer Survey Questionnaire for the specific question related to advanced gateways.
Blu-ray Player We define a Blu-ray Player as a media playing device that primarily plays Blu-ray discs (BD) capable of storing high-definition video resolution (1080p) programs.
Digital Video Recorder (DVR)
A set top box connected to a television that allows an individual to record various programs. A DVR can record video in a digital format to a disk drive, USB flash drive, SD memory card, SSD or other local or networked mass storage devices.
DVD PlayerA DVD player is a device connected to a TV that plays discs produced under both the DVD-Video and DVD-Audio technical standards. DVD players will also play audio CDs. DVD players are connected to a television to watch the DVD content, which could be a movie, a recorded TV show, or other content.
Gaming ConsolesWe define gaming consoles as devices with the primary purpose of playing digital video games either locally (without an internet connection) or video games that require a connection to the interent.
Gaming Consoles: 7th Generation
We define 7th Generation Gaming Consoles as consoles that support new disc formats (such as Blu-ray Disc or HD DVD), motion as input, Infrared tracking, wireless controls, touch screens, and cameras.
Gaming Consoles: 8th Generation
In addition to 7th Generation features, we define 8th Generation Gaming Consoles as consoles that integrate with other media and have increased connectivity and may have additional features such as 3D, augmented reality, and sharing of video game content between devices.
7
© 2014 IE Market Research Corp.
All rights reserved.
Introduction: Forecast Methodology & Coverage
7
Laptops We define laptop computers as portable computers that a consumer can take with him / her and use in different environments.
Media Streaming Devices
We define a media streaming device as a device that can connect a TV to the Internet so users can watch Over-the-Top TV on the bigger screen.
Multi-room DVRs We define Multiroom DVRs as digital video recorders that allow TV customers to watch recorded programs on multiple TVs in any room in the house.
Desktop Personal Computers
We define a Desktop Personal Computer as a computer that has a separate keyboard, monitor, and CPU housing unit used by consumers to connect to the internet.
Set top Box (STB)We define a set-top box as any electronic device designed to produce output on a televesion set and connected to some other communications channels such as telephone, ISDN, optical fibre, cable, or satellite. The STB usually runs software to allow the user to interact with the programmes shown on the television in some way. This content is received primarily via a traditional broadcast signal (i.e., satellite, cable, DTT, or IPTV).
Smart Blu-ray Player
We define a Smart Blu-ray Player as a Blu-ray player that can also connect to the Internet and access online services and locally-shared content from other devices in the home.
Smart TVWe define a Smart TV that provides the traditional functions of television sets and set-top boxes provided through traditional broadcasting media and internet connectivity that allow these devices to also provide online interactive media, Internet TV, over-the-top content, as well as on-demand streaming media, and home networking access.
Standard Definition (SD) DVRs
We define a Standard Definition (SD) DVRs as DVRs capable of recording content from standard-definition televisions usually have 480p/i/576p/i while HDTV is usually in 720p/1080i.
Standard Definition (SD) STBs
We define a Standard Definition (SD) set-top box as any electronic device designed to produce output on a standard-definition television usually with a resolution of 480p/i/576p/i.
Thin Client STBsWe define a Thin Client STB as a set top box that is stripped of most of its components and functionality (such as tuning, chanelling, etc.) and instead relies on either a multi-room STB for functionality or streams functionality from the cloud.
TVWe define a TV as a large-screened device that is capable of receiving Standard Definition or High Definition broadcast signals (i.e., satellite, cable, DTT, or IPTV).
Series Definitions
8
IEMR’s Global Consumer Telecommunications Survey
IEMR's Global Consumer Telecommunications Survey is a quarterly on-line survey of telecommunications usage of 50,000 consumer panelists in "IEMR-50" list of countries where we undertake primary field surveys. This is the largest survey of its kind in the world. Given that the Global Consumer Telecommunications Survey is an on-line survey, clients are asked to keep the following considerations in mind when interpreting IEMR's data:
1. For developed markets in North America, Western Europe, and Asia-Pacific, the representativeness of the results is broadly valid. Given that on-line penetration in these markets is extensive, the demographic and psychographic information as well as trend information we put forward in our forecasts should be broadly representative of the demand-side trends in these markets.
2. For emerging markets, because on-line penetration is limited to urban areas and to middle- and upper-income families in these areas, our estimates are representative of these demographics in emerging markets. In our demand-side estimates, IEMR does not make any adjustments to extrapolate to national figures from survey figures. For example, if our survey shows that 10% of urban Chinese have downloaded paid music over mobile networks, our national estimate extrapolates to the urban China market rather than the national China market. Further, in most emerging markets (except China), the survey was conducted in English and not the native tongue of the overall population, further re-enforcing our methodology not to extrapolate the results to the overall market in these markets.
In the "Survey Demographics" Tab, we provide more information on IEMR's Global Telecommunications Survey, including country-specific sample sizes, margins of error, languages in which the survey was conducted and key demographic statistics for each country.
© 2014 IE Market Research Corp.
All rights reserved.
Introduction: Forecast Methodology & Coverage
8
9
IEMR’s Global Enterprise Telecommunications Survey IEMR's Global Enterprise Telecommunications Survey is a quarterly on-line survey of 10,000+ executives that work in the telecommunications value chain. IEMR divides this value chain into four distinct components-- operators, infrastructure vendors, device vendors, and service providers. For each of these verticals and in each sub-vertical, IEMR conducts specific interviews with strategy executives, product managers, project managers, network architects, CIOs, CTOs etc. on trends in their vertical and sub-verticals. These form the basis of supply-side guidance provided to us by the ecosystem and condition the global / regional / and country-specific estimates provided by IEMR.
For this Global Mobile Entertainment Forecast, we have interviewed executives from the following companies: Rhapsody, Verizon Wireless, Google, T-Mobile USA, Digicel, ROK Global, Grupo.Mobi, Telefonica, Research in Motion (BlackBerry), Movistar, MTS, Bharti Airtel, China Mobile, DeNa, NTT DoCoMo, and KDDI.
© 2014 IE Market Research Corp.
All rights reserved.
Introduction: Forecast Methodology & Coverage
9
Source: IE Market Research Corporation
Country Coverage
South and Central America:BrazilMexico Rest of Latin America
Western Europe:France, Germany, Italy, Spain, UK, Rest of Western Europe
Eastern Europe:Russia, Rest of Eastern Europe
Asia-Pacific:JapanSouth KoreaRest of developed AsiaChinaIndiaIndonesiaRest of developing Asia
Middle East and Africa:Nigeria, South Africa, Rest of Africa, Saudi Arabia, Rest of Middle East
North America:CanadaUnited States
Global Market Review
Global View 4Q.2014 Overall Dashboard: Sales in millions of units
TV
Smart TV
DVR
Standard Definition DVR
Media Streaming
Multi-room DVR
Gaming Consoles
8th Generation Consoles
7th Generation Consoles
Advanced Gateway
PC
Laptop
Media Players
DVD
Thin Client
Blu-ray
Smart Blu-ray
STB
Standard Definition STB
2013 2018 CAGR
256.3 306.0 3.6%
2013 2018 CAGR
97.2 268.4 22.5%
2013 2018 CAGR
65.7 96.8 8.1%
2013 2018 CAGR
56.0 60.9 1.7%
2013 2018 CAGR
9.5 16.3 11.4%
2013 2018 CAGR
19.4 61.4 25.9%
2013 2018 CAGR
28.9 24.7 -3.1%
2013 2018 CAGR
8.2 20.5 20.1%
2013 2018 CAGR
20.9 0.8 -47.9%
2013 2018 CAGR
0.4 5.2 67.0
2013 2018 CAGR
206.1 242.7 3.3%
2013 2018 CAGR
152.7 207.7 6.3%
2013 2018 CAGR
138.2 186.7 6.2%
2013 2018 CAGR
67.3 2.2 -49.5%
2013 2018 CAGR
2.6 27.5 60.3%
2013 2018 CAGR
51.2 100.2 14.4%
2013 2018 CAGR
40.1 88.8 17.2
2013 2018 CAGR
97.2 268.4 22.5%
2013 2018 CAGR
146.4 56.2 -17.4%
In this Study: 19 Device Segments(All data in millions)
Global View
256.3
97.2
138.2
51.240.1
19.4
67.3
214.7
65.7
2.6
146.4
9.50.4
56.0
8.220.9 28.9
206.1
152.7
306.0
268.4
186.7
100.288.8
61.4
2.2
215.3
96.8
27.5
56.2
16.35.2
60.9
20.5
0.8
24.7
242.7
207.7
0
50
100
150
200
250
300
350
2013 2018
TVSmart
TV
Media
PlayerBluray
Smart
BlurayMedia
StreamingDVD STB DVR
Gaming
Console
8th
Gen
7th
GenPC Laptop
Multi
Room
DVR
Thin
Client
Standard
Definition
STB
Standard
Definition
DVR
Advanced
Gateways
Device Type(Data in millions)
4Q.2014 Relative View:Sales in millions of units
Global View 4Q.2014 Sales in millions of units
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop
0
50
100
150
200
250
300
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0
10
20
30
40
50
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0
10
20
30
40
50
60
70
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming Sales
0
50
100
150
200
250
300
350
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
CAGR 25.9%
PC CAGR 3.3%Laptop CAGR 6.3%
CAGR -3.1%
TV CAGR 3.6%Smart TV CAGR 22.5%
Global View
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop0
50
100
150
200
250
300
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
50
100
150
200
250
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming installed base
Media StreamingHouseholds
0
500
1000
1500
2000
2500
3000
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
500
1000
1500
2000
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
4Q.2014 Households and Installed Base in millions of units
0
50
100
150
200
250
300
Sm
art
TV
sa
les
( m
illio
ns)
Africa
North America
Latin America
Western Europe
Eastern Europe
Asia
Middle East
16
Our survey data indicates that Smart TV sales
are growing fast, with total sales expected to
reach 268 million in 2018, at a CAGR of 22.5%
from 2013 to 2018.
In 2018, 40.2% of all Smart TVs sales will take
place in the Asian market. The second largest
market will be Western Europe, with a share of
19.5% of all Smart TVs sales.
With a CAGR of about 18%, Smart TV sales
will see a steady increase in developed
markets like North America and Western
Europe. However, developing markets like
Eastern Europe and Latin America will
experience fast growth during the forecast
period, with CAGRs of around 30%, with Africa
at a high of 82%.
The high growth rates of Smart TV sales will
come at lower regular TV sales growth. While
the total amount of sales are still higher those
of Smart TVs, the CAGR is limited to 3.6%.
We forecast 306 million regular TV sales in
2018 leading to an installed base of 2.8 billion
in 1.6 billion households. In contrast, we
expect an installed base of 838 million Smart
TVs in 268 million households in 2018.
© 2014 IE Market Research Corp.
All rights reserved.
IEMR expects a rapid increase in Smart TV sales at at a CAGR of 22.5% from 2013 to 2018
Chart 1: Global Smart TV sales by Region, 2011-2018
16
Source: IE Market Research Corporation
0
20
40
60
80
100
120
140
160
Me
dia
Str
ea
min
g H
ouse
ho
lds
( m
illio
ns)
North America
Latin America
Western Europe
Asia
17
According to our survey data, we expect
the number of households using media
streaming devices to grow fast in
developed markets, reaching 135.9
million in 2018.
Three quarters of these households will
be either in Asia (55.9 million) or in North
America (47.8 million).
We forecast the total installed base of
media streaming devices to reach 218.4
million in 2018.
Latin America has not yet entered this
market but we expect that to happen in
2015. In 2018, the installed base will be
12.6 million devices, distributed over 4.7
million households in Latin America.
We don’t expect developing markets in
Asia, Africa or Eastern Europe to be
ready for media streaming devices by
2018.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 2: Global Media Streaming Households by Region, 2011-2018
IEMR forecasts the total number of households with Media Streaming devices to reach 136 million by 2018
17
Source: IE Market Research Corporation
0
20
40
60
80
100
120
DVD player sales
Blu Ray player sales
Smart Blu Ray player sales
18
Blu Ray player sales will be higher than
DVD player sales in 2015, for the first time
since its official release 9 years ago.
According to our survey data and
interviews with executives in this space,
with a CAGR of 14.4%, we are expecting
Blu Ray player sales to increase rapidly
over the next five years, in contrast to
DVD player sales, which crash at a CAGR
of -49.5%.
2018 will see, for the first time, more than
100 million Blu Ray players sold,
compared to only 2.2 million DVD players.
Smart Blu Ray player sales remain lower
than Blu Ray player sales, but grow
comparably fast. We forecast them to
reach 89 million in 2018.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 3: Global Blu Ray Sales vs DVD Sales, 2011-2018
IEMR expects Blu Ray player sales to finally exceed DVD player sales in 2015, increasing at a CAGR of 14.4%
18
Source: IE Market Research Corporation
Regional Overview
North America
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop
0
10
20
30
40
50
60
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0
5
10
15
20
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0
5
10
15
20
25
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming Sales
0
5
10
15
20
25
30
35
40
45
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
CAGR 17.7%
PC CAGR -11.9%Laptop CAGR -8.7%
CAGR -12.5%
TV CAGR 1.1%Smart TV CAGR 14.1%
4Q.2014 Sales in millions of units
North America
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop0
20
40
60
80
100
120
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
20
40
60
80
100
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming installed base
Media StreamingHouseholds
0
100
200
300
400
500
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
50
100
150
200
250
300
350
400
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
4Q.2014 Households and Installed Base in millions of units
0
10
20
30
40
50
60
Sa
les in
mill
ion
s
PC Sales
Laptop Sales
22
IEMR expects a trend consistent to the one
over the previous years in the forecast
period: PC and Laptop sales in North
America are experiencing a gradual decline
with an increasing device focus on
mobility, Tablets, and BYOD.
The growing preference for tablets,
smartphones and comparable mobility-
enhancing devices such as tablets is
attributed to this decline. Primary factors
include the ease of replacement, shorter
upgrade purchase spans and the increased
capability of smartphones and tablet to
perform everyday tasks such as browsing
the internet and checking e-mails.
We expect a radically different development
in Media Streaming devices: Sales, total
households and installed base increase
rapidly in North America. As Smart TVs
become preponderant in North America, our
consumer panel members are telling us that
streaming OTT TV will also grow.
We expect 89 million Media Streaming
devices in 2018 distributed over 48 million
North American households and annual
sales of 22.4 million units.© 2014 IE Market Research Corp.
All rights reserved.
Chart 4: PC and Laptop Sales in North America, 2011-2018
IEMR forecasts a continued decline in PC and Laptop sales in North America, as media streaming devices show a strong increase (17.7% CAGR)
0
10
20
30
40
50
60
70
80
90
100H
ou
se
ho
lds, in
sta
lled
ba
se
a
nd
sa
les in
mill
ions
Households
Installed Base
Sales
Chart 5: Media Streaming devices: Households, Installed Base and Sales in North America, 2011-2018
22Source: IE Market Research Corporation
Latin America
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop
0
5
10
15
20
25
30
35
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0.0
0.5
1.0
1.5
2.0
2.5
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming Sales
0
10
20
30
40
50
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
PC CAGR 9.4%Laptop CAGR 12.8%
CAGR 12.9%
TV CAGR 7.4%Smart TV CAGR 29.8%
4Q.2014 Sales in millions of units
Latin America
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop0
2
4
6
8
10
12
14
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
2
4
6
8
10
12
14
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming installed base
Media StreamingHouseholds
0
50
100
150
200
250
300
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
20
40
60
80
100
120
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
4Q.2014 Households and Installed Base in millions of units
0
20
40
60
80
100
120
140
Sa
les a
nd
in
sta
lled
ba
se
in
mill
ions
Set Top Box installed base
Set Top Box sales
25
Source: IE
Market
Research
Corporation
We expect Set Top Box sales to grow at
a CAGR of 7.3% in the next five years,
leading to an installed base of 131
million in 2018 in Latin America
• As in other developing markets, the total
sales of Set Top Boxes are increasing in
Latin America.
• We do not expect Multi Room DVRs to
be sold into household in the Latin
American market in the next 4 years.
However, Standard Definition DVR sales
will increase rapidly (CAGR: 27.4%).
• We forecast an even higher CAGR for
Blu Ray player sales (36.2%) and for
Smart Blu Ray player sales (62.5%) as
price points for these devices are
declining rapidly in Latin America.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 8: Set Top Box sales and installed base in Latin America, 2011-2018
IEMR expects the Smart Blu Ray players to be the fastest growing segment in Latin America, reaching sales of 10.2 million in 2018
0
2
4
6
8
10
12
14
Sa
les in
mill
ion
s
Smart Blu Ray player sales
Blu Ray player sales
Chart 9: Bu Ray player and Smart Blu Ray player sales in Latin America, 2011-2018
25
Western Europe
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop
0
10
20
30
40
50
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0
5
10
15
20
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0
2
4
6
8
10
12
14
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming Sales
0
10
20
30
40
50
60
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
CAGR 25.6%
PC CAGR -4.5%Laptop CAGR -1.9%
CAGR -3.4%
TV CAGR 0.6%Smart TV CAGR 16.7%
4Q.2014 Sales in millions of units
Western Europe
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop0
20
40
60
80
100
120
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
10
20
30
40
50
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming installed base
Media StreamingHouseholds
0
100
200
300
400
500
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
50
100
150
200
250
300
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
4Q.2014 Households and Installed Base in millions of units
0
2
4
6
8
10
12
Sa
les in
mili
ion
s
Advanced Gatewayinstalled base
Multi Room DVR InstalledBase
Multi Room DVR Sales
Advanced Gateway Sales
28
IEMR forecasts Advanced Gateways
Multi Room DVRs gaining momentum in
Western Europe, with sales reaching 4
million and 3.9 million by 2018.
We forecast no Advanced Gateway
sales outside of Europe. Hence, Western
Europe will make up the greater part of
Advanced Gateway sales with an
expected installed base of 10.7 million in
2018.
While sales of Multi-room DVRs are on a
decline in North America, they are
forecasted to increase rapidly in Western
Europe.
With the exception of these two
technologies, the Western European
market shows similar trends as
witnessed in the North American market.
According to our survey data, media
streaming device sales increase even
faster, and PC and Laptop sales are on a
slow decline.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 6: Multi Room DVR and Advanced Gateway Sales in Western Europe, 2011-2018
IEMR forecasts strong sales in new technologies such as Advanced Gateways (67.9% CAGR) and Multi-Room DVRs (57.7% CAGR) in Western Europe
28
Source: IE Market Research Corporation
Eastern Europe
TV & Smart TV
Source: IE Market Research
Thin Clients
Gaming Consoles PC & Laptop
0
5
10
15
20
25
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0
5
10
15
20
25
30
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
PC CAGR 4.6%Laptop CAGR 7.4%
CAGR 23.7%
TV CAGR 4.9%Smart TV CAGR 29.1%
4Q.2014 Sales in millions of units
0
1
1
2
2
3
3
2011 2012 2013 2014 2015 2016 2017 2018
Thin Client Sales
CAGR 69.5%
Eastern Europe
TV & Smart TV
Source: IE Market Research
Thin Clients
Gaming Consoles PC & Laptop0
2
4
6
8
10
12
14
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
50
100
150
200
250
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
20
40
60
80
100
120
140
160
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
4Q.2014 Households and Installed Base in millions of units
0
1
2
3
4
5
6
7
2011 2012 2013 2014 2015 2016 2017 2018
Thin Clients installed base
Thin Clients Households
0
10
20
30
40
50
60
70
80
90
100
Insta
lled
ba
se
in
mill
ion
s
Set Top Box installed base
31
Source: IE
Market
Research
Corporation
IEMR’s forecast places Eastern Europe
as the second region in which Thin
Clients will be sold, with sales expected
to increase fast.
We expect thin clients to be sold in
Europe only. Although fewer thin clients
are currently sold in Eastern Europe than
in Western Europe, sales in Eastern
Europe will increase rapidly, reaching 2.8
million in 2018.
As in other developing markets, Set Top
Box sales are increasing in Eastern
Europe. We forecast an installed base of
5.9 million Set Top Boxes in Eastern
Europe in 2018.
IEMR forecasts a faster increase in TV,
Smart TV, Blu Ray players and Smart
Blu Ray player sales in Eastern Europe
than on a world-wide basis.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 11: Set Top Box installed base in Eastern Europe, 2011-2018
IEMR forecasts strong sales of Thin Clients in Eastern Europe, with a CAGR of 69.5% putting it ahead of the global standard
0.0
0.5
1.0
1.5
2.0
2.5
3.0
Sa
les in
mill
ion
s
Thin Clients sales
Chart 10: Thin Client sales in Eastern Europe, 2011-2018
31
Asia
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop
0
20
40
60
80
100
120
140
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0
2
4
6
8
10
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0
5
10
15
20
25
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming Sales
0
20
40
60
80
100
120
140
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
CAGR 33.2%
PC CAGR 8.3%Laptop CAGR 11.1%
CAGR -1.5%
TV CAGR 3.7%Smart TV CAGR 24.7%
4Q.2014 Sales in millions of units
Asia
TV & Smart TV
Source: IE Market Research
Media Streaming
Gaming Consoles PC & Laptop0
10
20
30
40
50
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
10
20
30
40
50
60
70
80
2011 2012 2013 2014 2015 2016 2017 2018
Media Streaming installed base
Media StreamingHouseholds
0
200
400
600
800
1000
1200
1400
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
100
200
300
400
500
600
700
800
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
4Q.2014 Households and Installed Base in millions of units
0
20
40
60
80
100
120
140
Sa
les in
mill
ion
s
PC Sales
Laptop Sales
34
Source: IE
Market
Research
Corporation
In contrast to North America and
Western Europe, we expect PC and
Laptop sales to increase quickly in Asia.
With a CAGR of 8.3% (PC) and 11.1%
(Laptop) increasing sales will lead to an
total installed base of 1.4 billion
computers in 2018 in Asia.
Multi Room DVRs have a similar trend to
Europe, initially slow take-up in 2014/15
and we except the amount of sales to
grow rapidly with a CAGR of 74.1%
beyond 2015.
Apart from this, Asia follows the general
global trend: increasing Smart TV and
Blu Ray sales, slower TV and DVD
sales and a decrease in console sales.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 6: PC and Laptop sales in Asia, 2011-2018
IEMR Forecasts a steady growth in PC and Laptop sales in the APAC region, at CAGRs of 8.3% and 11.1% respectively
0
1
2
3
4
5
6
Sa
les in
mill
ion
s
Multi Room DVR sales
Chart 7: Multi Room DVR sales in Asia, 2011-2018
34
Middle East
TV & Smart TV
Source: IE Market Research
Set Top Box
Gaming Consoles PC & Laptop
0
2
4
6
8
10
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0.0
0.1
0.2
0.3
0.4
0.5
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0
2
4
6
8
10
12
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
PC CAGR 11.7%Laptop CAGR 14.5%
CAGR 24.6%
TV CAGR 7.1%Smart TV CAGR 36.2%
4Q.2014 Sales in millions of units
0.0
2.0
4.0
6.0
8.0
10.0
2011 2012 2013 2014 2015 2016 2017 2018
Set Top Box Sales
CAGR 4.3%
Middle East
TV & Smart TV
Source: IE Market Research
Set Top Box
Gaming Consoles PC & Laptop0.0
0.5
1.0
1.5
2.0
2.5
3.0
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
10
20
30
40
50
60
70
80
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
10
20
30
40
50
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
4Q.2014 Households and Installed Base in millions of units
0.0
10.0
20.0
30.0
40.0
50.0
2011 2012 2013 2014 2015 2016 2017 2018
Set Top Box installed base
Set Top Box Households
0
1
2
3
4
5
6
7
8
9
10
Sa
les in
mill
ion
s
PC sales
Laptop sales
37
Source: IE
Market
Research
Corporation
We expect a significant growth in Blue
Ray player and Smart Blu Ray player
sales in the Middle East.
Expected sales of 6 million Blu Ray
players and 3.6 million Smart Blu Ray
players lead to CAGRs of 43.1% (Blu
Ray players) and 104.8% (Smart Blu
Ray players).
After a small decrease in sales in 2013,
we expect PCs as well as Laptops to sell
well in the Middle East. Therefore, we
expect an installed base of 13.3 million
PCs and 11.6 million Laptops by 2018.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 13: PC and Laptop sales in Middle East, 2011-2018
IEMR forecasts a boom in Blu Ray player sales in the Middle East, with sales to reach 6 million units in 2018 at a CAGR of 43.1%
0
1
2
3
4
5
6
7
Sa
les in
mill
ion
s
Blu Ray player sales
Smart Blu Ray player sales
Chart 12:Blu Ray player and Smart Blu Ray player sales in Middle East, 2011-2018
37
Africa
TV & Smart TV
Source: IE Market Research
(Smart) Blu Ray
Gaming Consoles PC & Laptop
0
2
4
6
8
10
12
14
2011 2012 2013 2014 2015 2016 2017 2018
PC Sales Laptop Sales
0.0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Console Sales
0
2
4
6
8
10
12
2011 2012 2013 2014 2015 2016 2017 2018
TV Sales Smart TV Sales
PC CAGR 11.8%Laptop CAGR 21.4%
CAGR 24.6%
TV CAGR 7.9%Smart TV CAGR 82.1%
4Q.2014 Sales in millions of units
0
1
2
3
4
5
6
7
2011 2012 2013 2014 2015 2016 2017 2018
Blu Ray player Sales Smart Blu Ray player sales
Blu Ray CAGR 43.1%Smart BR CAGR 104.8%
Africa 4Q.2014 Households and Installed Base in millions of units
TV & Smart TV
Source: IE Market Research
(Smart) Blu Ray
Gaming Consoles PC & Laptop0.0
0.5
1.0
1.5
2.0
2011 2012 2013 2014 2015 2016 2017 2018
Gaming Consoles installed base
Gaming Console Households
0
20
40
60
80
100
120
2011 2012 2013 2014 2015 2016 2017 2018
TV installed base Smart TV installed base
TV Households Smart TV Households
0
10
20
30
40
50
60
70
80
2011 2012 2013 2014 2015 2016 2017 2018
PC installed base Laptop installed base
PC Households Laptop Households
0
5
10
15
20
25
2011 2012 2013 2014 2015 2016 2017 2018
Blu Ray player installed base Smart Blu Ray player installed base
Blu Ray player Households Smart Blu Ray player Households
05
101520253035404550
Sa
les a
nd
in
sta
lled
ba
se
in
mill
ions
Laptop installed base
Laptop sales
40
Source: IE
Market
Research
Corporation
Only 0.3 million Smart TVs were sold in
Africa in 2014, but we expect this
segment to increase gradually. By 2018,
the number of sold Smart TVs will have
increased to 4 million units.
With a CAGR of 82.1%, Smart TV sales
will grow rapidly compared to regular TV
sales, which have a Compound Annual
Growth Rate of 7.9%
Africa is the region with the fastest-
growing Laptop sales, at a CAGR of
21.4%
We expect Laptop sales to increase to
11.6 million in 2018, resulting in an
installed base of 46.6 million Laptops.
Furthermore, Digital Video Recorder
sales will grow significantly faster in this
region than in other regions globally.
© 2014 IE Market Research Corp.
All rights reserved.
Chart 15: Laptop installed base and sales in Middle East, 2011-2018
IEMR forecasts rapid growth in Smart TV sales in Africa (82.1% CAGR), after relatively stagnant sales of 0.3 million Smart TVs in 2014
0
2
4
6
8
10
12
Sa
les in
mill
ion
s
TV sales
Smart TV sales
Chart 14: TV and Smart TV sales in Africa, 2011-2018
40
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The opinions expressed in this report are the true opinions of the analyst(s) and IE Market Research Corp. (IEMR) about the firm(s) and/or industry appearing in this report. Any “forward looking statements” are the best estimates and opinions of the analyst(s) and IEMR based upon information that is publicly available and that the analyst(s) and IEMR believes to be correct. There is no guarantee that forecasts appearing in this report will materialize.
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Forward Looking Statements
This report contains forward looking statements. Forward looking statements regarding firm(s) inherently involve risks and uncertainties that could cause actual results to differ from such forward looking statements. Factors that could cause or contribute to such differences include, but are not limited to, continued acceptance of the firm(s)’ products/services in the marketplace; acceptance in the marketplace of the firm(s)’ new products/services; competitive factors; new products/services introductions by others; technological changes; dependence on suppliers; mergers and acquisitions; systematic risks and other risks discussed in the firm(s)’ periodic report filings, including interim reports, annual reports, and annual information forms filed with the appropriate securities regulators. By making these forward looking statements, the analyst(s) and IEMR undertake no obligation to update these statements for revisions or changes after the date of this report.
Warranties
The information contained in this report has been compiled by IEMR from sources believed to be reliable, but no representation or warranty, express or implied, is made by IEMR or any other person as to its accuracy, completeness or correctness. IEMR does not make any warranties, expressed or implied, as to results to be obtained from using this information and makes no express or implied warranties or fitness for a particular use. Clients using this report assume full responsibility for whatever results they obtain from whatever use the information was put to. To the full extent permitted by law neither IEMR nor any other person accept any liability whatsoever for any direct or consequential loss arising from any use of this report or the information contained herein.
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© 2014 IE Market Research Corp.
All rights reserved.
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© 2014 IE Market Research Corp.
All rights reserved.