Feeds

Haters of lurid supershow CES: The consumer tech market is still SHRINKING

Good news if you're sick of the annual seething mass of throwaway gizmos

Build a business case: developing custom apps

CES 2014 As the tech world revels in its orgy of big screens, baffling gadgets and marketing hype that is the annual Consumer Electronics Show (CES) in Las Vegas, analysts predict further decline in the, er, consumer electronics market.

Market research firm IHS forecasts that worldwide manufacturing revenues in the consumer electronics (CE) market will drop about two per cent from $255.7bn in 2013 to $250bn this year, as vendors struggle to bring new devices to shop shelves on time and as promised. The fall follows an ongoing slump in the sector:

Graph showing falling revenues in worldwide consumer electronics manufacturing. Credit: IHS

"While exciting new technologies such as ultra-high-definition [televisions] and wearable devices are being shown at CES, it will take a few years until these products attain enough of a volume to drive the growth of the overall CE market,” said IHS consumer devices senior principal analyst Jordan Selburn.

"Until these products enter the mainstream, traditional CE revenue will continue to dwindle."

Massive TV sets and wearable devices dominated headlines at this year's show. Intel made the wearable market a major focus of its opening keynote at the show, while a public meltdown from Hollywood director Michael Bay wasn't enough to stop Samsung from stealing the show with its 105in curved screen ultra-high-definition (UHD) telly set.

While already established products such as LCD TV sets are set to see a 500 percent jump in shipments this year, the high-end UHD sets will likely not be making a mark in the retail space for some years, we're told.

Meanwhile, IHS believes that the traditional CE category of devices will see increased competition from tablet and mobile handset devices, which are taking eyeballs and fingers away from home entertainment and similar consumer electronics hardware.

The analysts also predict that while the CE market will be slow this year, many of the UHD lines showcased in Las Vegas will claim as much as 16 per cent of the LCD market by 2018. Over that same time, demand for wearable devices will grow from 51.2 million units shipped to 130.7 million units annually, IHS reckons. ®

The essential guide to IT transformation

More from The Register

next story
So, Apple won't sell cheap kit? Prepare the iOS garden wall WRECKING BALL
It can throw the low cost race if it looks to the cloud
End of buttons? Apple looks to patent animating iPhone sidewalls
Filing suggests handset with display strips
Samsung Gear S: Quick, LAUNCH IT – before Apple straps on iWatch
Full specs for wrist-mounted device here ... but who'll buy it?
Apple promises to lift Curse of the Drained iPhone 5 Battery
Have you tried turning it off and...? Never mind, here's a replacement
Now that's FIRE WIRE: HP recalls 6 MILLION burn-risk laptop cables
Right in the middle of Burning Mains Man week
Apple's iWatch? They cannae do it ... they don't have the POWER
Analyst predicts fanbois will have to wait until next year
Reg man looks through a Glass, darkly: Google's toy ploy or killer tech specs?
Tip: Put the shades on and you'll look less of a spanner
HUGE iPAD? Maybe. HUGE ADVERTS? That's for SURE
Noo! Hand not big enough! Don't look at meee!
AMD unveils 'single purpose' graphics card for PC gamers and NO ONE else
Chip maker claims the Radeon R9 285 is 'best in its class'
prev story

Whitepapers

Top 10 endpoint backup mistakes
Avoid the ten endpoint backup mistakes to ensure that your critical corporate data is protected and end user productivity is improved.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Backing up distributed data
Eliminating the redundant use of bandwidth and storage capacity and application consolidation in the modern data center.
The essential guide to IT transformation
ServiceNow discusses three IT transformations that can help CIOs automate IT services to transform IT and the enterprise
Next gen security for virtualised datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.