Apple TV set for competition, growth

Apple’s seeming ‘hobby’ the Apple TV may be on the edge of a market explosion, reading between the lines of the latest InStat report.

The report looks at the global digital set top box market, which the analysts expect to see hit a growth spike as digital television services explode.

InStat reckons the digital set top box market has been one of the fastest growing market segments in the CE business over the past decade, and 2007 was no exception, the analyst firm explained.

Interest is growing through trong demand for Free-to-Air satellite service, coupled with the expanding availability of digital cable TV and IPTV services. All these factors fueled a record-setting number of digital set top box unit shipments last year.

When it comes to the IPTV segment Apple is currently involved in, the company must face competition from Netflix, TiVo, Microsoft and others on the hardware side.

On software, services like YouTube, Blinxx and others all offer different ways to reach market. And the BBC’s purported plan to launch its own set top box indicate more competition ahead, while Google clearly intends ‘monetising’ its content distribution systems at some future point.

Highlights:

– Worldwide digital set top box unit shipments reached 143 million in 2007, up sharply from 121 million in 2006.

– Satellite set top box unit shipments accounted for just over 50% of all global digital set top box unit shipments last year, while digital cable set top boxes made up 29% of total unit shipments.

– Worldwide digital set top box product revenues hit $14 billion in 2007, an increase of $3 billion over 2006 revenues.

– The market for semiconductor components inside digital set top boxes also grew significantly last year. The total value of semiconductors embedded in digital set top boxes increased to $7.7 billion in 2007.

If you enjoyed this post, make sure you subscribe to my RSS feed!

2 thoughts on “Apple TV set for competition, growth

Leave a Reply

Your email address will not be published. Required fields are marked *