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SNL Kagan: Global STB shipments to top 250m

Findings from media and communications sector financial intelligence specialist SNL Kagan suggest that global set-top box (STB) shipments maintained elevated levels in 2015, buoyed by demand in emerging markets such as China and India. Worldwide STB shipments are on track to reach 253.1 million in 2015, up marginally from 248.6 million in 2014, as the global multichannel market swelled to an estimated 959 million subscribers, according to SNL Kagan estimates for global volumes.

Highlights from the SNL Kagan report:

  • Worldwide cable STB unit shipments are forecast to reach almost 75 million units in 2015, roughly the same total that shipped in 2014. With many of the world’s largest cable TV markets approaching saturation, or experiencing increasing competition from other pay TV platforms, demand for cable STBs is expected to be flat in the near-term.
  • Satellite STB unit shipments continue to be the largest market segment, on track to account for 47 per cent of all global STB unit shipments in 2015.
  • The market for IP (Internet Protocol) STBs is also projected to remain relatively flat over the next few years, as growing demand for IP STBs in Europe and Asia is offset by declining demand in North America.
  • Shipments of DVR (Digital Video Recorder)-enabled STB products trended lower in 2015. Select service providers are reducing their DVR product purchases due to cost concerns, and other are introducing cloud DVR services, which can obviate the need for an installed DVR-enabled STB.
  • HD (High Definition)-enabled STBs are forecast to account for 76 per cent of all global STB unit shipments in 2015, which means there are still more than 60 million SD STBs shipped.
  • Despite higher volumes, product revenues are forecast to also continue decreasing. By 2019, STB product revenues are projected to be $14.55 billion, down from $17.50 billion at year-end 2015.

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