Digital streaming device sales slow traditional STB growth

Streaming video devices – particularly dongles like Google’s Chromecast, Roku’s HDMI sticks and Amazon’s Fire TV Stick are forecast to see the highest unit growth of all the digital media adapters.

IHS reports that, overall, unit shipments of set-top boxes (STBs) worldwide improved 2% sequentially in the first quarter of 2015, and were up 3% from the year-ago first quarter.

 “We expect unit shipments of set-top boxes to improve in 2015, but price competition for higher-end devices and growth among less expensive boxes for emerging markets will bring revenue down for the year,” said Jeff Heynen, research director for broadband access and pay TV at IHS.

IHS forecasts that more than 27 million HDMI dongles will be sold in 2019, even as sales of cable STBs globally slow. Cable STB sales fell 2% worldwide in 1Q15, to $1.5 billion, and a slowdown of sales in North America pushed global satellite STB revenue down 3% in 1Q15 from the prior quarter

The global STB market — including IP/cable/satellite/DTT STBs, OTT media servers, and HDMI dongles — totaled $4.2 billion in 1Q15, slipping 3% from 4Q14.

Stay tuned.

Jim O’Neill is Editor of Videomind and Principal Analyst at Brightcove. You can follow him on Twitter @JimONeillMedia and on LinkedIn