In-Stat: H.264 Decoder IC Market to Grow 20 Percent Yearly Through 2013

SCOTTSDALE, ARIZ.: In-Stat sees a future for H.264 decoder chips. Satellite set top boxes continue to be the largest market for H.264 decoder integrated circuits, the market researcher said. Also more DTVs are using H.264 decoder ICs rather than just MPEG-2 chips. As a result In-Stat expects H.264 decoder ICs to grow at an annual rate in excess of 20 percent through 2013.

“Advanced compression, such as H.264, is becoming increasingly popular due to its lower bit rate and smaller file size that especially helps networked video solutions,” says Michelle Abraham of In-Stat. “The proliferation of video applications, such as user-generated content and online video streaming, embedded DVRs and mobile video are serving to increase demand for low cost, high-quality encoders.”

In-Stat said global H.264 chip unit shipments would increase by 51 percent in 2010 over 2009. Broadcom was the largest supplier of H.264 chips for the satellite set-top market. ST Microelectronics rules with regard to the SD MPEG-2 cable set-top market. MediaTek owns DVD decoders. Renesas lead Blu-ray SoCs in 2009.