The consumer electronics industry will see a very slight drop in U.S. revenues in 2009, according to the CEA, which announced the forecast at CES.
After a final total of $172 billion of revenue in 2008, the industry will total $171 billion in 2009, a drop of 0.6 percent.
Gary Shapiro, president and CEO of the CEA, announced the results of the “U.S. Consumer Electronics Sales and Forecasts 2004-2009 (January 2009)” at his opening remarks at CES.
“The CE industry is resilient but not immune from the business cycle. In a tough economy our products offer high value for entertainment and an entry point for entrepreneurs creating new businesses,” Shapiro said.
“Innovation will kickstart the economy. The 2009 International CES is a cause for optimism with some 20,000 new products and 300 new exhibitors.”
Revenue Drivers: DTV, Gaming and Blu-ray
The CEA points to three growth areas for the industry: digital TVs, gaming, and Blu-ray.
With DTV transition happening in February, the total number of displays expected to be shipped will approach 35 million—15 percent of total industry shipment dollars. That’s up 6 percent from 2008.
The CEA expects LCD TVs to make up 77 percent of total TV shipments.
Gaming is expected to see an 11 percent growth in 2009, totaling nearly $22 billion in revenue. Software will drive the market, hitting nearly $15 billion—an increase of 18 percent.
Blu-ray revenue is expected to surpass $1.2 billion, according to the report.
The report also singles out smartphones as a growth area, with an expected revenue increase of nearly 20 percent to $13.6 billion. The smartphone category will total more than 60 percent of all handset revenues.
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