STB software investments shift to media gateways
Michelle Clancy
| 25 June 2014
Multiscreen video viewing would seem an unstoppable tide, so it's natural that spending on traditional set-top boxes (STBs) is being replaced by that on home-media gateways and the software that enables these devices.

According to the latest SNL Kagan MRG report, client-side TV software solutions implemented on set-top boxes and home media gateways overall will see diminishing growth rates for total STBs, as that part of the market is expected to peak in 2015 and remain fairly static in 2016 and 2017.

However, the significant growth in home media gateways (a subset of total STBs) will be driven by increased demand in North America and Western Europe, which will account for the vast majority of total shipments between 2013-2017. Asia-Pacific and Latin America will experience accelerated growth in the latter years of the forecast.

"While total client-side STBs will grow by about 5% through 2017, home media gateways (also known as IP gateways or home media servers) will more than double, providing significant opportunity for software vendors," said Norm Bogen, research director at SNL Kagan MRG.