4KTVs to play part in predicted record-setting year for tech revenue
LAS VEGAS—4KTVs not only have a higher-resolution picture than HDTVs, but apparently they sell faster too. That is just one of the findings from CTA’s semi-annual “U.S. Consumer Technology Sales and Forecasts” industry report was released on Jan. 3 in the lead-up to CES 2017. In addition, the organization forecasts that 2017 could see retail revenues totaling $292 billion ($228 billion wholesale), in large part thanks to tech like 4KTVs, smart home devices and wearables that feature connectivity.
The CTA report predicts that 15.6 million 4KTV units will be shipped in 2017, bringing its cumulative sales in its first three years to 18.6 million units. That far outpaces the growth of the first three years of the HDTV market, which totaled 4.2 million units in its first three years. Those sales are also a large factor in what will make TVs one of the five biggest tech sellers for 2017—along with smartphones, tablets, laptops and desktops. However, CTA reports those numbers could be on the decline over the next couple years with decrease in sales of LCD TVs; 4K is expected to eventually pick up the slack.
In total, CTA predicts that up to 600 million units of connected devices will likely be sold in the U.S. in 2017, a 5 percent increase from 2016. The biggest area of growth, however, is likely to be virtual reality headsets, which CTA forecasts will sell 2.5 million units (a 79 percent increase year-over-year) and $660 million in revenues (43 percent increase). Additional devices that expect to boost tech sales this year include drones, smart home and digital assistant devices, and wearables.
Other areas of revenue that CTA highlighted in its report include automotive, with new factory-installed technologies like entertainment systems and driver-assist features making up an estimated 50 percent of collective value in new vehicles.