Consumer Technology Association President and CEO Gary Shapiro and Federal Communications Commission Chair Brendan Carr’s wide-ranging conversation Jan. 8 at CES in Las Vegas gave broadcasters a lot to think about when it comes to their future. It also prompted a couple of my own thoughts.

(If you missed it, C-SPAN carried the conversation, which is available here.)

The future of local TV, general support for ATSC 3.0 at the commission, possible readjustment of the network-affiliate relationship and spectrum use and policy were among the highlights. Here, let’s focus on another: the public-interest obligation of broadcasters.

Setting the stage for discussing the public-interest obligation, Carr reminded the audience of the privilege of having a broadcast license and what that means to broadcasters when it comes to retransmission consent and ultimately must-carry dollars.

“[Broadcasting is] a very, very unique distribution medium…because the government is picking a winner and loser,” he said. “You get a license; you get this microphone; you get to speak; you don’t necessarily get to conduct yourself the same way you would if you run a podcast or a soapbox or a cable channel.”

For broadcasters who don’t like that obligation, Carr offered a couple of solutions: turn in your license and transition to a cable channel, start a podcast, become a YouTube channel or bid on your spectrum in an auction, “maybe let[ting] everyone have a fair and free shot at purchasing that spectrum without the public-interest obligation,” he said.

However, at the risk of revealing my naiveté, how many local TV broadcasters truly are clamoring to shed their public-interest obligation? On the whole, when have local TV stations not lived up to this obligation? Certainly not during tornadoes, hurricanes, incoming missile attacks (remember the Hawaii false alarm?), earthquakes and other emergencies.

On the contrary, unprompted by regulators. the TV industry has attempted to up its game in these situations with Advanced Emergency Alerting & Information (AEI&A), a built-in feature of the ATSC 3.0 standard. However, AEI&A—just like other 3.0 enhancements—can’t fully come to fruition until the industry can move forward on sunsetting 1.0.

Nor have they failed to serve the interests of the public each morning, noon and night when it comes to local news. Carr himself acknowledged in his comments that, given the decline of daily newspapers, local newscasts offer “the last of the real ‘gumshoe reporting.’”

My second observation is the 1934 Communications Act didn’t simply mandate
a public interest obligation. There’s also the “convenience and necessity” portion of the phrase.

It seems to me to be counter to the spirit of TV broadcasters’ obligation to serve the “public interest, convenience and necessity” if the TV sets that the public watches are unable to provide the greatest convenience (think personalization and interactivity) and necessity (think AEI&A evacuation maps in flooding) that local TV broadcasters can deliver.

LAS VEGAS-–Despite worries about the impact of tariffs and other economic uncertainties, the Consumer Technology Association (CTA) has released its U.S. Consumer Technology Industry Forecast showing the industry is projected to reach $565 billion in revenue in 2026, growing 3.7% year over year.

The forecast was unveiled in the run-up to the start of CES 2026, where exhibits are open from Jan. 6-9.

The trade group said the outlook underscores the consumer electronics industry’s resilience at a pivotal moment, as companies navigate economic challenges, shifting supply chains and growing pressure on consumer spending.

“Even as tariffs and broader economic pressures intensify, Americans continue to invest in technology that improves productivity, connectivity and quality of life,” CTA Executive Chair and CEO Gary Shapiro said. “But the impact of economic uncertainty is becoming more visible as companies move through pre-tariff inventories and face tougher cost decisions heading into 2026.”

The forecast shows that while overall growth remains steady, the burden of rising costs is falling unevenly across the industry, with smaller companies more likely to face margin pressure or supply-chain disruptions.

Despite challenges, key segments continue to expand, the group reported. Hardware revenues are expected to grow 3.4%, while consumer spending on software and services is projected to rise 4.2%, reaching nearly $194 billion. However, unit shipments are forecast to grow just 0.7% in 2026.

The forecast also noted that consumers are increasingly prioritizing software-driven value, anchoring to subscription services and leveraging flexible financing options, signaling a market increasingly driven by premium features and AI-enabled experiences.

ARLINGTON, Va.—The Consumer Technology Association has released retail sales revenue projections for the tech industry in 2021. How will the TV market follow the record-setting 2020?

As detailed in its twice-yearly “U.S. Consumer Technology One-Year Industry Forecast,” CTA expects the demand for TVs—which saw a record number of TV shipments—to remain high heading into 2021. While TV shipments are expected to drop by 8%, per CTA estimates, that would still come to about 43 million units, which would be the second-highest volume on record; revenues, meanwhile, would decline just 1% to $22 billion.

Some areas of growth for TV in 2021 are likely to include sets over 70 inches (3.3 million units, up 6%) and 8K UHD TVs (1.7 million units, up 300%), according to CTA.

Related to the TV market, streaming and software spending is projected to continue its meteoric rise. After growing 31% in 2020 over 2019, a record $112 billion is expected to be spent on streaming and software (11% growth).

Overall, the technology industry is projected to reach $461 billion in 2021, which would represent a 4.3% increase year-over-year.

“Tech demand in the first several months of 2021 will look a lot like the last few months of 2020,” said Rick Kowalski, director of industry analysis and business intelligence, CTA. “Streaming services, 5G connectivity and digital health devices will push consumer tech forward in the year ahead as innovative technologies prove their resilience during challenging times. The industry’s ability to meet societal needs in a variety of circumstances will bring growth in 2021 as the world emerges from the pandemic.”

For more information, visit www.CTA.tech/forecasts.  

ARLINGTON, Va.—The growth of streaming over the course of the pandemic, and before, has been reported on a number of occasions, but a new report from the Consumer Technology Association indicates that for the first time more people are paying for a streaming service than they are for traditional pay-TV.

In its report, “Content in the COVID-19 Era: Current Realities and Future Opportunities,” CTA looked at the impact of the pandemic on consumer entertainment, as well as video gaming content consumption behaviors.

According to CTA’s report, 71% of U.S. consumers are using a paid streaming service, while 58% are using a traditional pay-TV service. In 2020, paid and free streaming services have grown by 19 and 15 percentage points, respectively. Conversely, pay-TV services from cable, satellite or fiber providers have dropped 15 percentage points since 2018. In addition, one-quarter of consumers added at least one paid streaming service within the past few months.

Even with the shift to streaming platforms, the TV remains the primary source of entertainment, according to nine out of 10 consumers (92%). The report also finds that 60% of video content viewing time takes place in front of TV screens; the rest is on smartphones, computers and tablets.

Additional data from the report showed that 65% of U.S. adults watch content more often since COVID-19 began, and that three in 10 consumers rented at least one new movie released directly to streaming, while more than half plan to do so over the next six months.

“With more time at home, the pandemic has accelerated several trends in media, entertainment and gaming,” said Sayon Deb, manager, Market Research, CTA. “Consumers are watching more content and watching longer, as new innovations in format and delivery draw in millions of first-time users. New digital activities such as virtual concerts, live streaming and shared viewing on social platforms are also resonating with consumers.”

For more information, visit www.cta.tech.  

ARLINGTON, Va.—The Consumer Technology Association announced that Verizon Chairman and CEO Hans Vestberg will deliver the CES 2021 kickoff keynote address. His keynote will discuss 5G as the framework of the 21st century.

CTA President and CEO Gary Shapiro said in a statement, "CES 2021 will digitally convene innovators and business leaders from around the world showcasing tech changing lives for the better on a global scale. Technology is not only connecting us to one another, but is providing solutions to many day-to-day challenges created by the pandemic and that innovation is helping us reimagine CES 2021. We welcome Hans Vestberg back to a new keynote stage and look forward to learning how Verizon's 5G platform will evolve a wide range of industries we all rely on every day."

"Verizon's keynote for CES will demonstrate the vital role that mobility, broadband and cloud—or the world's 21st century infrastructure—has played in connecting the world this year and how the accelerated shift to 5G is transforming every industry," said Vestberg in the press release. "This time in history is redefining the meaning of connectivity for consumers, industries and society as a whole—imagination is our only threshold." 

Prior to assuming his role as CEO in August 2018 and the role of chairman in March 2019, Vestberg served as Verizon's chief technology officer and president of Global Networks from 2017, with responsibility for further developing the architecture for Verizon's fiber-centric networks.

CES 2021 will be held Jan. 11–14, as an all-digital experience, giving attendees a front row seat to the latest technology discussions and breakthroughs from global brands and startups launching their latest products.

ARLINGTON, Va.—The Consumer Technology Association has officially put its support behind the FCC’s proposal that would allow for great use of TV white spaces (TVWS) by unlicensed white space devices, increasing broadband services in rural and underserved areas, it says.

The FCC submitted a Notice of Proposed Rulemaking on expanding the use of TVWS, which is portions of the broadcast TV band not actively used by TV stations, back in February; it was passed unanimously by FCC Chairman Ajit Pai and the FCC commissioners.

Politicians and organizations like the NAB have said that they support the effort, at the very least in most of its details.

CTA argues that the current coronavirus pandemic has highlighted the need for this proposal, specifically how “every household needs access to affordable broadband to connect to work, education, entertainment and life-saving technologies.”

“We applaud adoption of the NPRM and urge the commission to adopt the proposals therein—which reflect consensus between the unlicensed and broadcast communities,” CTA said.

The entire CTA letter is available on its website. 

ARLINGTON, Va.—Video streaming services are among the few technology business sectors expected to see a rise in 2020, according to a recent report from the Consumer Technology Association, as the coronavirus pandemic impacts the economy.

In CTA’s most recent Weekly CTA Tech Use report, video streaming services were the most popular service among survey respondents, with 55% of households saying they are using one or more. In the four weeks that CTA has done a weekly report, it has been at or above 55% for three (52% in week three).

With this increased interest in streaming, CTA has revised its initial projections for video streaming revenue in 2020, estimating that consumers will now spend between $24-25 billion on streaming services. That would represent a 29-35% increase from 2019.

Projections for other technologies are not so sunny. Even though new TVs are available with 8K UHD and OLED technology, 2020 sales of new TVs are expected to fall to between 34-37 million, which would lead to an 8-14% decline year-over-year. Smartphones and laptops are also expected to see decreased sales.

PLUS: Can Netflix Sustain Record Subscriber Numbers Post-Coronavirus?

“The financial health of the consumer and their willingness to spend presents the biggest swing factor to the tech industry outlook,” says Steve Koenig, vice president, research, CTA. “While downside risks are in the majority right now, there are bright spots—and sales of some tech devices and services may perform better than expected.”

For more information, visit www.cta.tech.  

ARLINGTON, Va.—People are watching live TV and streaming content more frequently in the new coronavirus reality, according to reports from the Consumer Technology Association.

CTA has conducted a couple of surveys with consumers in regards to how they are utilizing technology as they adjust to social distancing and self-quarantining. 

In its “COVID-19 Impact Study: Use of Technology at Home,” CTA found that almost half of consumers are watching live TV (49%) and streaming video (48%) more frequently than they did prior to the pandemic. Some are utilizing streaming services for the first time (26%). In addition, to help with the new demands, CTA found that 11% of consumers had bought a new TV in the week prior to the survey (the survey was conducted between March 20-22).

Following that initial survey, CTA launched a “Weekly CTA Tech Use and Purchase Tracker: COVID-19 Impact.” The first week (conducted between March 27-29) showed that 66% of households used some kind of streaming/download service, with streaming video services leading the way at 55% of all consumers. The streaming of live TV service came in at 25%. In addition, the new survey found that more people are buying new TVs, as the number of purchasers increased to 14%.

“As people are social distancing and staying home, technology is providing comfort, entertainment, options for food delivery and outlets for social interaction to help people adjust to this new reality,” said Steve Koenig, vice president, research, for CTA. “The health crisis has accelerated adoption across these platforms and services, and many of these behaviors may stick once the pandemic is contained.”

CTA will updates its weekly tracker every Wednesday.

ARLINGTON, Va.—The Consumer Technology Association and its member companies have announced the display definition and logo for 8K Ultra High Definition (UHD) TVs.

The logo and definition aim to help retailers and TV buyers identify products that meet the industry’s 8K UHD requirements, including attributes such as resolution, digital inputs, bit depth, frame rates and up-conversion capability.

“This 8K Ultra HD definition is the product of our Video Division Board’s dedication and hard work,” said CTA President and CEO Gary Shapiro. “As a result, retailers and consumers will know products that carry the accompanying logo deliver 8K UHD quality and performance.”

According to CTA’s latest biannual “Sales & Forecasts” report, 175,000 8K UHD TVs accounting for $734 million in revenue are expected to be sold by year’s end.

The 8K Ultra HD logo license and certification agreement will become available in the next few weeks. Companies may begin using the logo Jan. 1, 2020. The 8K Ultra HD logo program is an extension of the 4K Ultra HD logo announced in 2014 by CTA.

As it did in that instance, CTA convened major video sector companies to draft, discuss and approve the official 8K Ultra HD designation, it said.

Among the industry’s 8K Ultra HD defining characteristics are:

• A minimum of 33 million active pixels—with at least 7,680 horizontal by 4,320 vertical pixel resolution in a 16:9 viewable window;
• One or more HDMI inputs supporting resolution of 7,680x4,320 pixels; bit depth of 10 bits; frame rates of 24, 30 and 60 frames per second; HDR transfer functions and colorimetry specified by ITU-R BT.2100; and HDCP v2.2 or equivalent content protection;
• The ability to upscale SD, HD and 4K video and display it on an 8K UHD display; and
• The capability to receive 10-bit 8K images and render an image showing responsiveness to changes to any of the 10 bits.

The complete 8K UHD Display Characteristics definition is available on the CTA website.

ARLINGTON, Va.—The Consumer Technology Association will award its 2019 Digital Patriots Awards to Reps. Greg Walden (R-Ore.) and Stephanie Murphy (D-Fla.). The awards are handed out annually to elected officials that champion policies that are vital to innovation in consumer technology.

Rep. Walden is the current ranking member and former chairman of the House Energy and Commerce Committee. As such, he assisted with the transition to digital television and more recently fighting for the RAY BAUM’S Act, as well as supporting the Permanent Internet Tax Freedom Act.

Rep. Murphy is a member of the House Ways and Means Subcommittee on Trade, as well as the Subcommittee on Worker and Family Support, and has been recognized as a proponent of “smart trade policy.” She is also chair of Future Forum.

“Reps. Walden and Murphy fight for smart, pro-growth policies that make America the world’s innovation leader,” said Gary Shapiro, president and CEO of CTA, in the announcement.

In addition, 2019 International Innovation Champion Awards will be presented to Michael Kratsios, deputy assistant to the president for technology policy and deputy U.S. policy technology officer, and Switzerland’s Ambassador to the U.S. Martin Dahinden.

The recipients will be honored at the 15th Annual Digital Patriots Dinner on April 30 at the National Museum of African American History and Culture.

LAS VEGAS—Just before the 2019 CES begins Jan. 8, the Consumer Technology Association will reveal its annual electronics sales forecast, and for the first time 8K ultra high definition TV sets will be included in the forecast.

“8K is getting real,” says Steve Koenig, CTA’s vice president of market research. “We’ve seen 8K in previous years, but now I expect every manufacturer will show 8K equipment, and there will be big announcements about plans to begin shipping 8K sets later in the year.”

Koenig’s forecast will also confirm the strength of the television receiver market, showing that 55-inch 4K UHD displays are “now the industry standard,” a dramatic jump from the 42-inch screen which had been the mainstay of the flat-panel industry for several years. Koenig also expects that 65-inch sets will be heavily promoted at CES.

[Read: Is 8K Gaining Traction?]

Although Koenig admits he has “no idea” about the pricing for 8K equipment, he expects the sets will be just one aspect of the renewed focus on TV devices. Advanced TV display technology, including rollable screens, micro LEDs from Samsung and Sony’s short-throw laser projection are among products Koenig expects to see at next year’s CES.

THE RISE OF ‘C-SPACE’

CTA’s Karen Chupka, senior vice president, CES & Corporate Business Strategy, affirmed the staying power of television sets despite the boom in alternative viewing devices.

“At one point, everyone thought the TV set would become a dumb device, yet TVs have become smarter,” Chupka said. “TVs are still a huge part of our everyday lives. While we have all these great technologies being built into things we never thought of, at the end of the day, people are still using TVs, albeit interfacing with them in different ways.”

Citing the rapid adoption of streaming video, as well as user-created content, Chupka characterized as “incredibly important” the growing reality that “content resides on all our devices.” Focusing on the growth of “C Space,”—a conference and exhibit area at CES aimed at content producers, marketers and distributors—she focused on the growing role of analytics and other tools that help marketers and programmers evaluate new opportunities.

“We created C Space with the intent to bring branding, content and marketing people under one roof,” Chupka told TV Technology. “There is so much knowledge about who’s watching what and the ability to create diverse programming. All this data and analytics are becoming more and more important to understanding audiences.”

This year, “Sports Zone,” a popular component of the CES in recent years, has been moved to C Space, because it’s “such an important tie-in,” Chupka explained. The combination means that 2019’s C Space will be twice the size of last year’s event, which drew 22,000 attendees. Chupka expects a larger crowd this year.

Other technologies such as ATSC 3.0 will be less visible—but not absent—from the halls and suites at CES. Koenig does not expect manufacturers to demonstrate 3.0 devices on the show floor, although such products may be on display at the 2020 CES.

WELCOME TO ‘THE DATA AGE’

Along with 8K introductions, Koenig expects other video developments.

“What matters is picture quality,” he said. Technically advanced consumers will be looking for advanced features, such as high dynamic range. Koenig’s research also indicates that 4K sets will dominate U.S. TV sales in the coming year. Nearly half of all new receivers will have 4K displays in 2019, and that figure will rise to 55 percent by 2020, Koenig said.

Television sets are the number one most-owned technology in America, in 96 percent of U.S. homes, according to CTA’s research, with smartphones (86 percent) coming in second place.

“Even in this mobile-driven era, the TV remains the centerpiece of technology in U.S. homes,” Koenig added. “TV is still a major attraction at CES.” He expects that one major issue next month will be the intense global competitive market, especially as more TV brands from China offer innovations, just as Japanese and Korean companies have done in recent years.

At their presentation at the “CES Unveiled” preview in New York last month, Koenig’s CTA research colleagues predicted an upbeat holiday sales season, predicting that 164 million adults (about two-thirds of American adults) will purchase technology gifts, spending an average of $464. TV receivers remain the most popular item on the holiday wish list, similar to 2017, with notebook/laptop computers and smartphones/tablets filling the next two spots.

In their presentation, Ben Arnold, CTA’s senior director-innovation and trends, and Lesley Rohrbaugh, director-market research, introduced a new strategic perspective, calling 2020 the start of the “Data Age,” following the “Digital Age” (2000) and “Connected Age” (2010). They singled out the growing use of artificial intelligence—where IoT, which usually stands for “Internet of Things”—has been updated to the “new” IoT: “Intelligence of Things,” in which digital assistants become more specialized and a range of home products are integrated into a “whole home view.”

READY FOR ATSC 3.0

Pearl TV, the alliance of eight broadcast companies promoting Next Gen TV, will be active during CES in anticipation of its 2020 service launch, according to Anne Schelle, managing director.

“Our entire focus is on the commercialization of the very flexible ATSC 3.0 standard,” of Pearl TV, Schelle said. The organization’s leaders and its Phoenix model market partners will be at CES “meeting with various ecosystem partners, reaching out to consumer device manufacturers, automotive manufacturers, and other players to share our service requirements and plans resulting from the Phoenix tests,” she said.

Schelle contrasted the 3.0 rollout to the high-definition transmission and reception launch 20 years ago, which “took several CES and NAB Shows to accomplish.”

“It’s moving much faster in today’s digital environment,” she said. “While we don’t anticipate seeing much in the way of ATSC 3.0 receivers on the show floor itself in 2019, we know that ‘behind the scenes’ discussions will be about new partnerships and new capabilities of future television products—just like conversations in past years.

“CES will be another opportunity to explain how this transition is different than the last one, and how broadcasters are embracing the Internet Protocol capabilities of the new standard,” Schelle added.

Separately, ONE Media, the Sinclair Broadcasting technology unit that is developing Next Gen TV services, will privately demonstrate three configurations of its chip for ATSC 3.0 devices. There will be a simple demodulator package, a demodulator with analog/digital conversion capability and a demodulator with analog/digital conversion plus an embedded turner, according to Mark Aitken, president of ONE Media and Sinclair’s vice president of advanced technology.

First versions of the chip, which was developed by Saankhya Labs, an Indian firm in which Sinclair holds a major stake, were due to be delivered during the past month from a Samsung foundry. The single-chip receivers feature a low-power embedded antenna and were also designed for use in moving vehicles. The chips include a closely coupled antenna array to insure reception in a high-speed mobile environment, according to Aitken. “We’re going after the largest possible markets, including the global market for set top boxes,” Aitken told TV Technology. The new multistandard SDR (software defined radio) chip will support 23 broadcast standards, he added. ONE Media will demonstrate the technology privately in a hotel suite during CES and expects “we’ll have more to show” (possibly on the exhibit floor) at the 2019 NAB Show, Aitken said, adding that he also plans to demonstrate the chip’s capabilities at the Mobile World Congress in Barcelona in late February.

Aitken declined to discuss pricing, but said that even in low quantities, the price point will be “a fraction” of what other companies are charging for SDR chips.

SENSORY OVERLOAD

Beyond the renewed vigor within the video category, CES continues to expand its reach into countless digital realms—thereby attracting an ever more diverse array of exhibitors and attendees. For example, the Eureka Park exhibit area—where start-ups and young companies can display their innovations—will have 1,200 small booths next month, up from 1,000 in 2018 and six-fold the size of the first Eureka Park five years ago.

Overall, more than 4,500 exhibitors have signed up to show their wares in the 2.75 million square feet of space at CES’s three major venues in Las Vegas (Tech East, Tech West and Tech South, all of which include multiple buildings), CTA’s Chupka said. Floor space and the expected attendee roster of more than 180,000 people are “tracking ahead of last year,” Chupka added. About one-third of attendees are based outside the United States, and CTA’s tally shows that 65,000 people carry a “senior-level executive” title.

In addition to the Prince of the Netherlands and the United Kingdom’s Minister of Trade, 10 other overseas Ministers will take part in the programs.

Chupka is particularly enthusiastic about the growth of C Space, with its larger-than-ever presence by Hulu, NBCUniversal, Turner, Google and other old and new media companies. CES has expanded its “Marketplace” clusters of technologies—each focused on purveyors in categories such as robotics, artificial intelligence, virtual reality, smart cities and travel.

Koenig pointed out the continuing explosion of new programming, including material created for streaming, subscription video-on-demand and other platforms.

“There is so much content out there,” he said, speculating that the “mosaic of sources can be a ‘Frankenstein monster’ of content that consumers have trouble wrangling.” He said he’ll look for ways that artificial intelligence can better help consumers curate their choices. Koenig cited the predictive algorithms (recommendation engines) of Netflix and Amazon Prime which steer viewers to shows they like.

“As algorithms get better and better and train the AIs,” Koenig said he expects that the services will bridge to other digital assistants that will help consumers make viewing decisions. He cited a service, which will be on display at CES, in which LG uses Google Assistant to enable viewers to control the TV.

“It will be interesting to see what is the next level of integration beyond command and control, getting into curation,” Koenig said.

Among other features that he expects to emerge at CES is more audio for home theater, such as a new Dolby Atmos technology that provides “an enormously rich, immersive sound field to go with 4K or 8K.”

WHERE CONTENT AND TECHNOLOGY MEET

The CES conference program—spread over the four days of CES, Jan. 8–12—encompasses more than 250 sessions on dozens of topics. The keynote speaker line-up includes a first-time appearance by LG Electronics President/CTO Dr. I.P. Park, who will appear at a Monday night pre-show event to discuss how artificial intelligence has become the company’s main growth engine. Park is also expected to describe how AI will affect nearly every major industry from technology to healthcare, agriculture, transportation and engineering.

Other keynoters include IBM Chairman/President/CEO Ginni Rometty, who will also discuss AI and quantum in the context of trust and transparency, and Verizon CEO Hans Vestberg, who will (according to CTA) “take a deep dive into the impact of 5G,” especially for use in building smart cities infrastructure. AMD President/CEO Dr. Lisa Su will examine next-generation of computing, especially in terms of gaming and virtual entertainment.

FCC Chairman Ajit Pai is scheduled to sit down with CTA President/CEO Gary Shapiro for a half-hour on-stage chat about regulatory issues on the first day of CES. Other members of the FCC and Federal Trade Commission are expected to join various public policy sessions, which had not yet been confirmed at press time. International trade issues will also be on the agenda, Chupka promised.

Even after more than 20 years of overseeing CES, Chupka seemed awed at the velocity of changes now infusing the technology industry.

“One thing I think that will be surprising is how many advances there will be apparent in just one year.”

For more information, visitces.tech.

BETHESDA, MD.—About 8.1 million Americans will buy TV antennas this year, according to a mid-year analysis by the Consumer Technology Association, reflecting the growing audience for over-the-air broadcast signals as more homes cut—or at least trim back—their cable subscriptions. This year’s estimates will mark a peak in antenna sales, which have been hovering just under the 8 million level for several years and which are expected to decline only slightly in the near future, according to CTA’s latest analysis.

One wild card in future antenna sales is the impact of the new ATSC 3.0 standard, which will debut over the next several years.

“When 3.0 rolls out, consumers will become aware of additional services, and that will give a boost to antenna sales,” said Brian Markwalter, senior vice president, research and standards for CTA. “Viewers won’t need any special antennas to receive 3.0, but reception may be affected by the repack” of channels.

SUPPLEMENTING PROGRAM CHOICES

Markwalter, as do others who follow the antenna business, contends that the steady sales of home antennas reflects the increased rate of cord cutting by cable subscribers.

CTA’s research shows “one in five consumers say they watch OTA through an antenna,” said Ben Arnold, senior director of innovation and trends at CTA. “The reasons all revolve around supplementing their programming.” Cord-cutters or trimmers “want live TV plus OTT,” Arnold adds.

That combination of OTA and OTT is reflected by some of the new antenna kits that combine access to OTA and broadband. Likewise, viewers who toggle between live broadcasts and on-demand streams keep their antennas inside. Stephen Baker, vice president of industry analysis at research firm NPD Group, Inc., says that the bundled products “solve some of the customer satisfaction issue.”

“People aren’t necessarily buying [antennas] on their own when they cut the cord, but are getting them through their subscriptions or their devices that are enabling them to make the cut,” he said.

Although most antennas sell for about $30–$80, versions for multidirectional (180-degree range) and long-range directional (up to 100 miles) reception cost up to $160. NPD, which estimates about 34 million antennas have been sold since 2014, has found that the average retail price of about $26 “has been very stable over that time,” Baker said. He doesn’t expect many repeat or add-on sales since antennas are “not a product that gets a lot of upgrade or replacement purchases [unless something happens to the old one] due to a change in technology.”

“About 90 percent of the antennas are classified as indoor,” said Baker, whose firm also tracks hardware sales and usage. “Obviously most antennas today are pretty small and digital. They are not like those rooftop things from the ’60s but are more like ‘modern rabbit ears.” He also points out that cord-cutters who discover antennas may have to be trained about how to use them, especially since many customers have little understanding of OTA broadcasts.

“They need some help in being reminded what an antenna is for,” Baker said.

AVAILABLE OPTIONS

Joe Bingochea, president of Channel Master, one of the largest U.S. antenna makers, agrees that while not all cord-cutters will use OTA, “our experience shows that a percentage of them will use OTA to supplement whatever streaming services they choose.”

Bingochea adds that antenna reception can be tricky. “When the consumer cuts the cord, who do they look to when there is a problem?” he asks rhetorically, explaining that his company’s components, including cables and connectors, enable users to put together entire systems. Channel Master’s product line includes the “Stream+” (for OTA and DVR) and the “Smartenna+,” a smart indoor antenna with active steering technology.

Bingochea says that Channel Master sales are diversified among a variety of retail, installer and online avenues. Antennas are sold at Best Buy, Home Depot, Fry’s Electronics as well as small dealers and etailers including Amazon and the company’s own website.

Richard Schneider, president of Antennas Direct, expects the market for antennas “will accelerate as cord-cutting becomes more mainstream.” The company’s new ClearStream antennas relay signals over a home’s Wi-Fi network, allowing customers to place the antenna in a convenient location then send signals to TV sets around the home.

The company started as an e-commerce venture from suburban St. Louis, but has migrated to other sales outlets and now only about 10 percent of its sales come from the Web, Schneider said. Its products are available in 8,000 stores, include Walmart, Best Buy, Lowes, Fry’s and regional chains plus Amazon.

Schneider’s customer research has found that new customers are “more female and less tech oriented.” Antennas Direct’s early users were people trying to connect a “$50,000 home theater” whereas today’s budget-conscious customers “is usually buying an antenna to complement a Netflix subscription,” Schneider told TV Technology.

FIRST TIMERS

One gauge of consumer interest in antennas is the growing usage of AntennaWeb.org, which lets consumers figure out what kind of antenna they’ll need to pick up local broadcast signals based on their address.

More than 2.6 million users checked into the site during 2017, and at least 85 percent of them were first-time users, according to Mick Rinehart, president of TitanTV Inc., which operates the free online service. AntennaWeb was created by the Consumer Technology Association at the dawn of the digital TV era a decade ago. NAB teamed up with CTA, and both are now co-sponsors for TitanTV’s antenna checking service. Users see a color-coded “selector map” which matches the labels on antennas, indicating the type of device needed for a specific location.

“From the number of new visitors, it is apparent that interest in cord cutting continues to grow,” says Rinehart.

He acknowledges that AntennaWeb originally focused on signal strength calculations and antenna recommendations for outdoor reception; but now there is high interest in indoor antennas. The reception information, based on signal data from CTA and other sources, incorporates topographic and environmental factors that can affect television reception at a viewer’s location.

“There are many variables within their home that will also impact reception via an indoor antenna,” Rinehart adds, pointing to a resources section of the site that offers advice on how to choose, connect and place an indoor antenna for optimum reception.

BROADCAST PARTNERSHIPS

Antennas Direct saw the increased demand for over-the-air antennas even before the current cord-cutting trend began to take hold.

Phones at the company’s St. Louis headquarters “started ringing off the hook” a few years ago, with all the calls coming from Sacramento, Calif., recalled company President Richard Schneider.

“Unbeknownst to us, the Gannett station [now Tegna Media’s KXTV-10] was endorsing one of our models on a live newscast,” he said. “Then the following week, WLUK in Green Bay [Sinclair Broadcasting] asked if we could come up in 48 hours to hand out antennas and appear on the news during a retransmission dispute,” Schneider continues.

“And I thought, ‘hey’—there are 1,800 full-power broadcasters, so we should do this 1,798 more times.”

As a result, the company set up a “Broadcaster Partners Program,” which involves antenna giveaways in exchange for on-air time in which Antennas Direct “extols the virtues of free over-the-air TV,” Schneider said.

“So far we have given away more than 14,000 antennas in 52 markets.”

Schneider said he wants to “partner with more broadcasters to get the news out about how... using an antenna with a streaming service can save the average household about $1,800 per year.”

Other antenna marketers have collaborated with TV broadcasters as well. Channel Master has “several relationships” and has launched joint promotions with stations “to promote OTA awareness,” according to Bingochea.

IMPACT OF REPACK, NEXT GEN TV

CTA’s Arnold expects antenna prices may go up slightly because 3.0 will deliver new features that may require better antennas, but any increases may be offset by volume deals as more customers buy antennas.

Bingochea of Channel Master contends that the 3.0 business model “is not far enough along to gauge the potential impact” although he believes that the addition of 4K and HDR will attract new consumers.

AntennaWeb’s Rinehart expects the upcoming channel repack program, which affects broadcasters and their channel assignments, will give new impetus to the antenna selection process. But he acknowledges that some customers may be surprised by what they find.

“If a local station that you would expect to see is not listed in AntennaWeb, its predicted signal strength may be calculated to be just a fraction of a dBu below the threshold for that channel,” he explains. “Nevertheless, because it is below the minimum dBμ cutoff value, it is not displayed.”

Rinehart also pointed to a growing consumer complaint about finding shows—especially in a milieu of blended OTA and OTT content.

“The emergence of Diginets [DTV auxiliary channels] has expanded the genre and variety of content free for viewing,” he said, but cited the challenge for consumers who want an electronic program guide when moving between paid and free video. His company’s free consumer TV Listings site includes channel lineups for all platforms (OTA, OTT, cable, satellite) and can be blended into a single custom guide from disparate sources.

NAB agrees that antennas are a permanent part of the expanding media landscape.

“More than 72 million Americans rely on over-the-air television received through an antenna,” said Dennis Wharton, executive vice president of communications for the association. “Traditional OTA viewers as well as cord-cutters and cord-nevers are discovering an abundance of today’s most popular HD broadcast programming available for free using an antenna, which now come in sleek easy-to-install designs.”

Nielsen’s first quarter 2018 Total Audience Report noted that “broadcast-only” homes were up by 6 percent (to 16.53 million households) compared to previous quarter. During the past year, the share of homes getting OTT and other subscription video-on-demand services also climbed and now reaches 64 percent of U.S. homes.

Bingochea of Channel Master sees the current OTA/OTT era as the continuation of the evolving video delivery industry. He says that he has “experienced the changes in the antenna business over the years when things like cable, C-band satellite and Direct Broadcasting Satellites were introduced.”

“Now we are just in a new phase.”

While AI, voice recognition and fast connectivity are contributing to the upswing in electronics consumers are buying, television remains one of three screen-based technologies driving CE revenue, according to a newly released update to a Consumer Technology Association (CTA) sales and forecast report.

The other two screen-based CE revenue drivers are smartphones and laptop/notebook PCs, says the revision to CTA’s “U.S. Consumer Technology Sales and Forecasts” report. CTA now pegs consumer technology revenue for 2018 at $377 billion, a 6% increase over the previous year.

[Read: Next Gen TVs Record Greatest Gain In U.S. Household Ownership, Says CTA Study]

Digital displays, including televisions, registered a strong performance in 2017, which contributed to a slowing early this year, says the update. CTA now forecasts total digital display unit sales to drop 6% from last year, reaching only 40.4 million units.

Despite the decline, higher average wholesale prices will maintain 2018 projected revenue of $21 billion at about the 2017 level, CTA said.

Strong growth, however, is occurring in the 4K UHD TV category. For the year, 18.6 million units are expected to be sold, an 11% increase from 2017.

OLED unit sales are forecasted to climb to 772,000, a 45% increase, earning $1.4 billion in revenue in 2018. Next year, OLED display revenue is forecasted to increase 50%, propelling the category over the $2 billion mark. Next-generation screen technology is expected to be the driver of growth in the future, says CTA.

As for the other screen-based technologies, the updated forecast adjusted 2017 and 2018 revenue figures to $69 billion and $78 billion, respectively. Unit shipments this year are expected to growth 1% to 169.4 million.

When it comes to laptops, unit sales are forecasted to reach 50.1 million units in 2018 and earn $28.4 billion, according to the revision.

Revenue from subscriptions to music and video streaming services is forecasted to climb to $19.7 billion in 2018, 38% higher than the previous year. Streaming video services, such as Netflix, Hulu and Sling TV, are expected to generate $13.4 billion in revenue, according to the update.

“We are undergoing a huge shift in how people consume content,” said Rick Kowalski, senior manager of market research and business intelligence, CTA. “Video streaming services are offering an increasing amount of exclusive content, and live TV streaming options are becoming widely available this year — and that has more consumers exploring their over-the-top video options.”

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ARLINGTON, Va. — Next-generation screen technologies, such as large-screen 4K Ultra-HD TVs saw the biggest gain in household ownership, climbing 15% year-over-year to 31% of U.S. households, according to a new study for the Consumer Technology Association.

The research, CTA’s “20 Annual Consumer Technology Ownership and Market Potential Study,” also found that 19% of U.S. households own at least one TV that has a 60-inch or larger screen. Digital streaming device ownership climbed as well, adding 9% points to 45% of households.

The popularity of smartphones also continues to grow as 87% of U.S. homes now report owning one, propelling the device into second place behind only TVs at 96%, according to the study.

[Read: CTA Promotes Koenig To VP-Market Research]

“The rapid ascent of smartphone ownership in U.S. households exemplifies the versatility of these devices — for communication, for entertainment, for productivity and more. And because of that, it’s possible we’ll see smartphone ownership in the U.S. match that of TVs within the next five years,” said Steve Koenig, VP of market research at CTA.

For the first time, the top three most frequently owned tech devices all have screens, with the third most popular being laptop computers at 72%.

Ownership of smart speakers, such as Amazon Echo and Google Home, has tripled to reach 22% of U.S. households, it said.

Smartwatches have been adopted by 18% of U.S. households, while drones showed up in 10% of homes and VR headsets were owned by 11% of households, the research found.

The CTA research was conducted via a dual-frame telephone interview of 2,016 U.S. adults between Feb. 22 and March 5.

More information is available on the CTA website.

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ARLINGTON, VA—The Consumer Technology Association has promoted Steve Koenig to Vice President, Market Research. A 14-year veteran of CTA, he most recently served as Senior Director, Market Research.

"We are thrilled to recognize the success and outstanding contributions Steve has delivered to the tech sector and CTA," said Gary Shapiro, president & CEO, CTA. "Not only does he provide invaluable insight and analysis for our organization, our members and the tech industry, Steve exemplifies the best of CTA with exceptional leadership, infectious passion and a commitment to teamwork..

[Read: CTA’s Steve Koenig Offers A Market-Based Preview Of CES 2018]

Koenig oversees CTA Market Research, the most comprehensive source of sales data, forecasts, consumer research and historical trends for the consumer technology industry. Under his leadership, CTA now produces more than 30 research reports a year on emerging topics including artificial intelligence, smart cities, smart home technology and international trends, as well as market data analysis, industry forecasts and business intelligence.

Koenig speaks and writes frequently on technology trends and their impact on consumer behavior, and has been quoted in Bloomberg, USA Today, Washington Post and more. He presents Tech Trends to Watch at CES and CES Asia.

Koenig joined CTA in 2004 and previously served as an analyst with several research firms, including NPD Group, and as a senior editor at Computer Retail Week. Koenig holds a bachelor's degree in marketing from the University of North Texas.

ARLINGTON VA.--The Consumer Technology Association (CTA) has made its library of industry standards available online for free at CTA.tech.

The library provides transparency and insight on standards used throughout the industry, including closed captioning; sending uncompressed digital television signals over high-speed interfaces; and standards that improve the accuracy and reliability of health and fitness technology, such as sleep tracking and heart rate monitoring devices.

[Read: CTA Publishes Standard On TV Energy Measurement]

The Consumer Technology Association Connections Guide, meanwhile, is a series of short videos that will walk users through how to connect a gaming system, streaming device, digital antenna, DVD or Blu-ray player to a TV to create the best audiovisual experience. Other guides cover smart homes, 4K Ultra HD and high-res audio.

The announcement was made at the CTA Technology & Standards Forum in Santa Clara, Calif.

WASHINGTON—The talk was mostly about high-tech innovation, with some veiled and unveiled references to tariffs, at the Consumer Technology Association's (CTA) 14th Annual Digital Patriots Dinner in Washington Tuesday night.

That was the same day CTA issued a warning about the impact of the Trump Administration's proposed 25 percent tariff on TV's from China, saying it would increase the cost of TVs to U.S. consumers by most of a billion dollars next year.

CTA CEO Gary Shapiro did not explicitly address the hot-button issue of edge-provider scrutiny, or at least by its most familiar name in Washington over the past couple of weeks: Facebook CEO Mark Zuckerberg, but he talked generally about that D.C. climate for those innovators.

"Some of our headlines today, sadly, question the promise of technology," he said, "but the fact is this scrutiny of innovators is not new." He suggested it goes with the territory. "They're the ones who dare to pursue solutions that no one before has thought of." He said those new ideas challenge the status quo."

Among all that querying, he said, the fundamental question is how technology can improve the human condition and "harness technology as a force for good."

He encouraged governments to pursue policies that promote innovation.

Honored at the event were Reps. Susan Brooks (R-Ind.), a member of the House Energy & Commerce Committee, Judiciary Committee member Hakeem Jeffries (D-N.Y.), the former the co-founder of the 5G caucus and the Women's High Tech Coalition, the latter saluted for championing patent reform — he co-sponsored the Patent Litigation Reform Act — and promoting ride sharing.

Jeffries, whose district is home to Kickstarter and Etsy, told the crowd at the National Portrait Gallery that when he first came to the Judiciary Committee, he was unfamiliar with the term patent trolls, and thought the term was "a little bit rough. At least until he sat through a hearing with expert witnesses talking about the problem of patent assertion entities (PAEs), and they used terms like "blackmail artists," "extortionists," and even "terrorists." He said he realized "patent trolls" was actually a “kinder, gentler” phrase.

Jeffries emphasized the value of diversity, and said when that diversity is combined with the booming innovation economy, it is "a phenomenal thing to see."

He talked about protecting trade secrets from hostile foreign actors and the effort to "push the CLOUD Act over the finish line" in an effort to strike the right balance between protecting both privacy and innovation and competition.

Jeffries said patent disputes "should be resolved on the basis of the merits of the underlying claim, not based on the high cost of defending frivolous lawsuits," a comment that drew audience applause.

And, in a comment on the general tenor of Congress these days, said he hoped to be able to soon use the "thumbs up" emoji more.

Brooks said technology was about "making people happier." She said at the end of the day that is what her audience did.

She pointed out that she was from the generation that grew up with The Jetsons, and the fictional robot dog, Astro, that today is a reality — she saw it at CES last year. Brooks asked for patience from her tech-savvy audience and acknowledged that some in Congress still needed some schooling on tech issues, as last week's Facebook hearings in the House and Senate demonstrated. "We're catching up, so please bear with us."

She said that whether it is a biometric credit card or an IoT washing machine — tech she saw at the CES on the Hill event this week — "this is about making my life happy."

She also put in a plug for rural broadband deployment as key to not having a world of digital haves and have-nots. She said it is not just a rural issue. "We have to make sure this technology is not leaving anybody behind."

The Austrian ambassador Wolfgang Waldner — Austria was among a quartet of ambassadors in attendance, their countries saluted to their tech-forward policies — briefly brought up its trade surplus, then aveReps. Susan Brooks 

rred that perhaps "we should not brag about too much these days (one of those veiled tariff references).

Among the attendees was FCC Commissioner Mignon Clyburn, fresh from her surprise announcement earlier in the day that she would be exiting the commission, though it was a surprise only in timing since her departure had a subject of speculation for months.

The proceedings were paused for a moment of remembrance for former First (and Second) Lady Barbara Bush, who died Tuesday at 92.

ARLINGTON, VA.—The ink is dry on a new standard from the Consumer Technology Association. The “CTA-2037-B, Determination of Television Average Power Consumption” standard updates and defines methods for measuring the average power consumption of TVs, with an eye toward improving energy efficiency in TVs and promote consistency in measuring and reporting energy use.

CTA-2037-B is said to improve off of its predecessor, CTA-2037, by changing how special functions are configured for testing to better reflect current consumer TV-viewing habits. The standard has a new annex that explains how to configure special functions like Automatic Brightness Control, Motion Detection Dimming and HDR upscaling during testing. The standard also incorporates the Department of Energy’s Annual Energy Consumption calculation to yield figures for annual TV energy consumption.

[CTA: U.S. Scored as One of Most Innovative Countries]

“TVs are among the tech sector’s biggest success stories—and this revised industry standard for measuring their power consumption is important for keeping pace with changes in TV technology,” said Brian Markwalter, senior vice president of research and standards at CTA. “Today’s TVs have bigger screens, better features and more life-like pictures—and they’re getting thinner, lighter and more energy efficient. Accurately and appropriately measuring energy use is a fundamental element of energy efficiency policies and programs, which is why it’s critical to have so many stakeholders involved in the process.”

Stakeholders in the public and private sectors collaborated on the CTA-2037-B standard. For further information, visit standards.cta.tech.