Increasing Telco TV deployments is driving the growth for IP set top boxes is growing. By 2010, the industry will reach 19 million units, up from 4.3 million in 2006, according to In-Stat. Even though new box vendors have entered the market within the past year, features like HD, DVR, and digital terrestrial tuners have not changed.
In-Stat believes the industry will see more definitive leaders emerging in IP set top boxes, though the leaders differ by geography. In-Stat cites the consolidation in 2006 as evidence. Motorola acquired Kreatel and Cisco integrated Scientific Atlanta with Linksys and KiSS.
Recent research by In-Stat found the following:
- DVB-T tuners will be integrated into many boxes for Europe.
- More vendors are offering integrated home networking technologies.
- Component prices will decline, allowing the Bill of Materials (BOM) for an SD H.264 decode-capable box to drop from over $100 in 2005 to $54 in 2010.
The research, IP Set Top Box Market: Done Waiting For H.264, covers the worldwide market for Internet Protocol set top boxes. The research contains five-year worldwide forecasts broken down by region for unit shipments, ASPs, revenues, HD box unit shipments, DVR box unit shipments, and DVB-T integrated box unit shipments. It also contains profiles of major set top box manufacturers and analysis of market drivers and barriers. The price is $3,495 (US).