Revenues for the consumer electronics industry are projected to
grow 2.4 percent in 2014, reaching a new record high of $208 billion,
according to The U.S. Consumer Electronics Sales and Forecasts
the semi-annual industry report released Tuesday by the Consumer
Electronics Association. The forecast was announced by CEA
President and CEO Gary Shapiro in his opening remarks at the 2014
International Consumer Electronics Show in Las Vegas.
The forecast projects that new, emerging product categories
will grow by 107 percent year-over-year in 2014. These new technology
categories, including 3D printers, Bluetooth wireless speakers,
convertible PCs, health and fitness devices, smart watches and Ultra HD
television displays, cumulatively are expected to contribute more than
$6 billion to the overall CE industry in 2014. While these emerging
product categories represent less than 3 percent of the entire CE
industry, they drive 65 percent of total industry revenue growth.
“We are at the forefront of a momentous wave of innovation,” Shapiro said. “The incredible growth that emerging product categories
such as Ultra HDTV, wearable electronics and 3D printers will
experience this year underscores the significant role new technologies
play in the total consumer electronics story. These innovations will
take center stage at the 2014 CES this week, and despite a recovering
economy, the products on display will push the CE industry to reach new
revenue levels in 2014.”
Sales of mobile connected devices, specifically smartphones
and tablets, will continue to contribute significant unit sales and
revenue to the total CE bottom line in 2014. Although revenue growth
has slowed, unit sales will continue to see steady increases.
Smartphones are expected to maintain their position as
the sales leader of the industry in 2014, with unit shipments projected
to reach 152 million this year, up from 138 million units sold in 2013.
Additionally, smartphone revenues are expected to generate $41 billion
in 2014, a 4.6 percent increase from $39 billion in 2013.
Unit sales of tablets are projected to reach 89.3
million this year, up from 77.4 million in 2013. Revenues for tablets
will reach $27.3 billion this year, up by three percent.
“In a short amount of time, mobile connected devices have
become ingrained and indispensable in consumer’s lives,” said Steve
Koenig, CEA’s director of industry analysis. “The market for these
products, now found in millions of households, is exceptionally
competitive, naturally resulting in slowed revenue growth. Yet we find
ourselves at an interesting inflection point in technology, as these
same products are creating opportunities and growth across several
other categories in the industry.”
Bright spots within the television category will help drive
revenue growth this year, as larger screen sizes and innovative display
features have consumers upgrading their video experience. Although,
total unit sales of displays are predicted to remain even with 2013
levels, total TV sets and display sales are projected to reach $21.3
billion in 2014, up two percent from 2013’s better than expected
revenue level of $21 billion.
LCD flat-panels continue to dominate the total number of
sets sold each year. Both unit sales and revenues for LCD displays are
projected to increase slightly, with 39 million LCD TVs expected to
ship to dealers in 2014, resulting in $19 billion in revenue.
- Innovative features such as Ultra HD and OLED within the
display category are beginning to gain awareness. Unit shipments of
Ultra HD displays are expected to surpass $1 billion for the first time
this year, while OLED displays will reach $836 million.
Elsewhere in the industry, a number of other categories are expected to see positive growth in 2014, including:
The U.S. Consumer Electronics Sales and Forecast 2009-2014
Audio: Soundbars, headphones and Bluetooth wireless
speakers remain the standout products of this category. Soundbar
shipments are projected to increase 22 percent to 3.5 million units and
reach $676 million in revenue. Headphones are expected to sell 71
million units, earning $1.5 billion in revenue; while Bluetooth
wireless speakers are expected to generate $430 million in total
revenue in 2014, an increase of 12 percent year-over-year.
Automotive electronics: The growth of new vehicle sales
in 2014 will drive factory-installed systems to reach $11 billion in
revenues, an increase of 20 percent.
Electronic gaming: The release of next generation gaming
consoles are projected to propel unit shipment growth, up 42 percent
year-over-year, to reach revenues of $5.7 billion in 2014.
2014) is published twice a year, in January and July, reporting U.S.
factory sales-to-dealers. It was designed and formulated by CEA.