Rising Popularity of 3D Content Drives the Global 3D TV MarketTuesday, July 17th, 2012
SAN JOSE, California — Global Industry Analysts (GIA) announces the release of a comprehensive global report on 3D TV markets. The global market for 3D TVs is projected to exceed 200 million units by 2018, primarily driven by increased consumer interest, falling prices of 3D TVs, and the introduction of 3D standards. Other growth drivers include soaring demand for digital media entertainment, growing penetration of high-bandwidth broadband services among households, and rapid proliferation of Internet enabled devices such as smart TVs, smartphones, and tablet PCs.
Television industry witnessed several revolutionary changes since the dawn of the new millennium, with ‘digitalization’ being the most prominent among these changes. Growing demand for high-quality audio and video content among viewers, keen desire among television broadcasters to allow more channels in same spectrum and that too at lower costs, and stringent government mandates ordering termination of all analog TV broadcasts, have been driving increased adoption of digital television, thereby driving market for 3D TVs. Though a niche segment of the broad digital media platforms, 3D TVs have evolved into one of the fastest growing television formats. Similar to smartphones, 3D TV technology is increasingly generating consumer interest. Major TV manufacturers including Samsung, LG, Sony, and Panasonic entered the 3D format in 2010 and launched several 3D TV models. The transition to 3D technology in the television sector is fast gaining popularity as compared to previous transitions from LCD to LED. As the process of creating and delivering 3D content is complex and a multi-tiered system, 3D standards are required for ensuring interoperability, promoting innovation, and optimizing product planning. Standardization is expected to play a key role in increasing the adoption of 3D TVs in the consumer sector.
Backed by major industry players including content owners, set manufacturers, broadcasters, and satellite and platform operators, 3D TV is projected to garner increasing share in the global television market. In the recent past, LCD TV panel manufacturers introduced advanced features in 3D technology such as direct-lit LED backlights and ultra-slim form factors. Such enhancements in TV panels are expected to stimulate replacement demand, thereby satisfying consumer preferences and creating a niche market segment. Apart from offering varying screen sizes starting from 32″, 3D technology is expected to decrease the total cost of ownership (TCO), along with offering more user friendly glasses. By 2015, passive 3D sets are projected to exceed active 3D shipments. Moreover, to intensify 3D TV purchase further, manufacturers are reducing prices in compliance with the feature mix prescribed by consumer preferences, which is also forecast to fuel demand for 3D TVs among price sensitive buyers.
Increasing bandwidth speeds, thanks to successful rollouts of fiber-based high-capacity broadband connections will additionally boost market prospects for 3D TVs, as high bandwidth network enables seamless transmission of high quality live television content over the Internet. Improvement in Quality of Service, reduction of deployment times, introduction of innovative service packages and competitive pricing will be critical for 3D TV to gain mass market adoption.
As stated by the new market research report on 3D TVs, the US represents the largest regional market for 3D TV in terms of shipment volumes. Asia-Pacific on the other hand is the fastest growing regional market for 3D TVs with shipment volume from the region waxing at a CAGR of about 122% over the analysis period. Growing consumer affluence, increasing penetration of internet enabled devices such as smartphones, connected TV sets, and Tablet PCs, fast improving broadband penetration levels and soaring demand for high-quality premium TV content are primary factors driving 3D TVs adoption in the region. Technology-wise, Passive Film Patterned Retarder (FPR) possess a competitive edge over Active Shutter-Glass (SG) in terms of price competitiveness, ease-of-use, lower cost of production, low image flickering, and lighter glasses. The global share of SG technology sets is projected to shrink by 2015.
Major players in the global marketplace include AU Optronics Corp., Chimei Innolux Corporation, Hyundai IT Corporation, LG Display Co. Ltd., LG Electronics, Inc., Panasonic Corporation, RealD Inc., Samsung Electronics Co. Ltd., Sharp Corporation, Sony Group, VIZIO Inc. among others.
The research report titled “3D TVs: A Global Strategic Business Report” announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, issues, company profiles, mergers, acquisitions and other strategic industry activities. The report provides annual sales estimates and projections in Thousands Units for 3D TVs for the years 2010 through 2018 for the following geographic markets – US, Canada, Japan, Europe, (France, Germany, UK, and Rest of Europe), Asia-Pacific (China and Rest of Asia-Pacific), Latin America, and Rest of World.