There will be at least five connected media devices in every household in the world by 2019, according to Merrick Kingston – principal analyst at IHS.
The world’s mature hardware market will still be the USA by 2019, with more than 10 devices per household – but other markets will still see strong growth.
‘Screened’ devices (those with displays) had a share of more than 60% of the connected device market at end-2014. Kingston expects this figure to rise to 75% by 2019.
Smartphones have had, and will continue to have, a massive impact on the connected device market. The smartphone base will more than double over the forecast period, from 2.6 billion in 2014 to 5.9 billion in 2019. The smartphone:tablet ratio will increase from 5:1 to 9:1.
At the same time, smart TV platforms will become less fragmented – a process that has already begun. Samsung’s smart TV platform remains the one to beat, with an installed base of 63 million units worldwide – more than double second-place LG’s 29 million.
However, more brands are gravitating towards Android TV, with Sony and Philips having recently signed on. Panasonic appears to be banking on Firefox OS, Samsung relying on its own Tizen and LG on WebOS. These trends mark the start of consolidation in the market.
The highest levels of competition have moved to the digital media adapter space, said Kingston. These include products like Apple TV – the world’s single-largest DMA platform at the end of 2014, with 25 million installed – as well as Roku, Chromecast and Fire TV. These products have bases of 13 million, 10 million and 5 million, respectively.
Apple TV is facing an uncertain future, with Roku growing quickly, and Chromecast propelled by its low price point. Amazon, meanwhile, has positioned the Fire TV as an add-on to its Prime business.
