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.
“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.
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