China is On Course to Supply 50% of World’s Digital STB Demand
20 July 2005??
China supplied 35% of the worldwide digital set-top box market (including the Chinese market) in 2004, and more than 50% of all worldwide digital set-top boxes are forecast to be produced in China by 2010, according to the latest report from IMS Research entitled The Chinese Market for Digital Set-Top Boxes.
This study reveals that China produced more than 17 million digital set-top boxes in 2004, which accounted for around 35% of the total worldwide market (including China). This figure has already made China the largest digital set-top box production base in the world. The production volume of digital set-top boxes in China is forecast to grow at a 21% CAGR over the next five years to reach 56 million units in 2010. This means that over 56% of worldwide digital set-top box supply in 2010 is envisioned to come from China.
“In 2004, more than 50% of the digital set-top boxes produced in China were destined for export markets” commented Ann Yi-Yen Bird, the report author at IMS Research. “Despite high growth predicted for the domestic digital set-top box market, the proportion of total Chinese production output for export markets is forecast to maintain at above 50% over the next five years ” continued Bird. Currently, the majority of digital STBs produced in China are basic satellite boxes. As deployments of digital cable TV, digital terrestrial TV and IPTV in both China and the rest of the world intensify, the proportions of digital cable, digital terrestrial and IP set-top boxes within total Chinese digital STB production are expected to increase over the next five years.
This information is presented in IMS Research’s recently published report The Chinese Market for Digital Set-Top Boxes – 2005 Edition. This report examines the market for, and production of, digital set-top boxes in China. It presents IMS Research’s considered view of the way that the industry will develop over the next five years.