Samsung Leading in Flat-Panel TVs and Nintendo for Gaming in Race for Connected Home Dominance

SCOTTSDALE, Ariz. — The latest release of ABI Research’s “Connected Home Devices Market Data” shows that for the category of flat-panel TVs (including LCD, LED and plasma) Samsung held the largest market share of almost 20% in the first three quarters of 2010. (Complete figures for 4Q-2010 have not yet been finalized.) LG posted the second-highest share, roughly five percentage points less than Samsung’s.

According to industry analyst Michael Inouye, “Flat-panel television unit shipments were up overall; plasma did remarkably well and LED growth continued, but consumers continued to be relatively sensitive to price despite new features such as Internet connectivity and 3D.”

The story for game consoles and portable game player shipments was quite different, however: 2010 shipments for both categories declined from 2009 (roughly -3% for consoles and -30% for portable game players). Both major portable game players – Nintendo’s DS and Sony’s PSP – saw significant quarter-to-quarter fluctuations.

That doesn’t mean that consumers are suddenly tired of gaming. Practice director Jason Blackwell believes that, “There was likely some impact from mobile gaming, but right now a big part of these declining numbers can be attributed to consumers waiting for the next generation of equipment.”

Nintendo’s 3DS is already on the market in Japan, and is coming out this month in Europe and North America. Sony has announced that its NGP (Next Generation Portable) will be available later in 2011.

Some declines in game consoles can also be attributed to the maturity of current products. Nintendo has sold almost 85 million Wiis (through 2010); further, the Wii is under increasing price pressure from its competitors, who also launched motion-controlled peripherals; nor does it support HD or contain a Blu-ray player as the PS3 does. Wii shipments nonetheless easily outstripped those of its rivals.

“Connected Home Devices Market Data” contains market forecast data for LCD and PDP shipments, revenues and ASP by region. Similar data are given for DVD players, DVD recorders, Blu-ray players and recorders, standalone PVRs, game consoles, and portable game consoles, portable audio and video players, cameras, SLRs and camcorders.

It is part of ABI Research’s Connected Home Research Service.