The global set-top box market was worth a total US$4.6 billion (€3.5 billion) in the fourth quarter of last year, up 3% on the previous quarter, according to Infonetics Research.
The figure, which accounted for IP, cable, satellite and DTT set-tops, came amid overall revenue growth in the market of almost 10% last year.
Infonetics predicted that the global set-top box market would hit US$26 billion in 2017, an increase to its long-term forecast due to updated shipment guidance from vendors and the addition of cable and satellite video gateway and media player forecasts.
“Contrary to popular opinion, the set-top box market is alive and well. Set-top box revenue grew almost 10% in 2012, a considerable rebound from a year ago, and will remain healthy in the near term as operators in China, India, and Latin America add digital services,” said Julien Blin, directing analyst, consumer electronics and mobile broadband, Infonetics.
“Video gateways and media players will be the real standouts moving forward, as North American and European cable and satellite providers transition away from digital set-top boxes,” Blin added.
Infonetics predicts that video gateways will grow from 1% of total cable and satellite set-top box shipments in 2012 to 16% by 2017 and said it expects to see strong double- and triple-digit annual growth in media player shipments every year at least through then.