Market Introduction
A set-top box (STB), also referred to colloquially as a cable box, is an information system that typically includes a TV tuner input and shows the output of a TV set and an external signal source, converting the source signal into material in a format that can then be shown on a TV screen or other display device. They are found in, among other applications of, cable television, satellite television, and over-the-air television networks. A device that connects to your TV makes it possible for you to use a telephone line or cable to access the Internet and exchange electronic mail on your TV. Since technical standards were introduced, open digital television (ODT) has been in service for four or five years, as digital terrestrial television (DTT) is known in Argentina. With almost universal government support, the introduction of the system took place at a frenzied rate, and the results are impressive: 82 percent of the country's population has coverage, there are 15 national as well as local signals, and customers have shown a great deal of acceptance of DTT. Despite the delays, considering that the analog switch-off is due to take place in 2019, a high degree of coverage has been achieved. Argentina's penetration level is twice as high as that of Brazil, which has a coverage rate of 46.8% and an analog switch-off planned for 2018. Thus, above-mentioned factors are expected to influence the adoption of set-top box across the region, thereby contributing to the growth of the market.
Furthermore, in case of COVID-19, Brazil has the largest number of cases, followed by Ecuador, Chile, Peru, and Argentina amongst others. The COVID-19 pandemic has led to the closure of all economic activities across the region, in order to combat the spread of the virus. This has led to the increase in unemployment across the country thereby impacting the spending capacity of the country on television cable connections. The unemployment rate rose from 11.0 percent in the fourth quarter of 2019 to 12.2 percent in the first quarter of 2020, according to the official statistics agency IBGE, reaching 12.9 million people. Operators revealed they would provide free previews for premium networks in the early days of the coronavirus outbreak, as a way to persuade viewers to stay at home and minimize churn. Since free forecasts have ended, along with rising unemployment pressures and lower wages, cord-cutting is expected to intensify in the coming months as the pandemic and quarantine steps affect an economy that is still emerging from recession. Thus, the above-mentioned factors are expected to negatively impact the set top box market over the years owing to the outbreak of the pandemic.
Market Overview and Dynamics
The SAM set top box (STB) market is expected to grow from US$ 963.8 million in 2019 to US$ 1,248.6 million by 2027; it is estimated to grow at a CAGR of 3.4 % from 2020 to 2027. Burgeoning technological transformations in set-top box (STB) is expected to drive the SAM set top box (STB) market. Technological advancements have led to the introduction of a wide variety of STBs exhibiting different characteristics. This has eventually led to fierce rivalry among the set-top box providers. Digital video capture is one of the most desired functionality of set-top boxes as it allows audiences to record their favorite shows and watch them later as per their convenience. A standalone set-top box that allows viewers to transmit and record TV programs is an over-the-air digital video recorder (DVR) system. Apart from DVRs, subscription-based TV service providers also sell STBs to consumers. Companies are integrating features such as voice command with the help of technologies such as natural language processing (NLP) to simplify searching channels and shows. Interactive features such as video-on-demand and electronic program guide are also increasingly being incorporated in satellite STB units. In addition to basic features, the set-top box units also include a range of interactive and multimedia facilities directly via a consumer television device, such as internet browsing, email, and instant messaging. The DVR feature is also included in cable and satellite set-top boxes, enabling viewers to enjoy content at their convenience. Using MPEG-4.10 (H.264) and SMPTE 421 M (VC-1) allows more content sources and decreases the risk of early product obsolescence. Thus, the abovementioned technological advancements are contributing to the growth of the SAM set top box (STB) market.
Key Market Segments
In terms of product, the cable segment accounted for the largest share of the SAM set top box (STB) market in 2019. In terms of content quality, the standard definition (SD) segment held a larger market share of the SAM set top box (STB) market in 2019.
Major Sources and Companies Listed
A few major primary and secondary sources referred to for preparing this report on the SAM set top box (STB) market are company websites, annual reports, financial reports, national government documents, and statistical database, among others. Major companies listed in the report are Advanced Digital Broadcast SA; Altech UEC; CommScope; Huawei Technologies Co., Ltd; Humax; Kaonmedia Co., Ltd.; Sagemcom; Skyworth Group Co., Ltd.
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SAM Set Top Box (STB) Market Segmentation
SAM Set Top Box (STB) Market - By Product
SAM Set Top Box (STB) Market - By Content Quality
SAM Set Top Box (STB) Market - By Country
SAM Set Top Box (STB) Market - Company Profiles