The MEA set top box (STB) market is expected to grow from US$ 1,328.2 million in 2019 to US$ 1,776.0 million by 2027; it is estimated to grow at a CAGR of 3.8 % from 2020 to 2027.
The increasing penetration of high definition channels among consumers and the growing adoption of satellite cable and smart TVs in MEA accelerate the MEA set top box (STB) market. Satellite TVs are among the most significant applications of set-top boxes. The implementation of show-recording facility that allows viewers to record their shows in real-time and view them later, depending on their convenience, is one of the key developments brought in satellite TVs. The MEA is one of the fastest growing market for set-top boxes. In addition to a booming direct-to-home satellite market, the MEA is approaching the completion of its cable TV system digitization goal. Further, the high demand for high-definition (HD) picture quality is also influencing the growth of the MEA set-top box market. HD set-top boxes are equipped with both HD channels and standard (SD) channels. The launch of smart TVs and HD channels, and incorporation of set top box with OTT platforms have led to a rise in digital TV watching, which, in turn, would fuel the growth of the market in the coming years..
In MEA, Saudi Arabia, the UAE, Egypt, Morocco, and Kuwait are the main countries facing the economic downturn due to the COVID-19 outbreak. It is becoming clear with the outbreak spreading across these countries that few can avoid its effects, posing major challenges for all sectors. The outbreak has led to more people staying indoors across the region, thereby, it has impacted the high adoption of home broadband for watching videos on-demand over local set-top box connection. For instance, 67% of UAE adults make more video calls during lockdown to communicate with friends and loved ones, 78% use social media more frequently, and 74% watch more TV and movies online. Due to lockdown measures on social events, the increased use of internet-reliant entertainment brought more demand for home broadbands. Moreover, the restriction on outdoor activities has also impacted the telecast of new content on television, which hindered the demand for satellite set-top box. Thus, the above-mentioned factors are expected to have adverse impact on the set-top box market owing to the outbreak of the pandemic.
Based on product, the MEA set top box (STB) market for the other segment is expected to grow faster during the forecast period. The other segment of product is further bifurcated into OTT, DTT, and other product types. OTT basically stands for over-the-top, initially named in reference to devices that goes “over” a cable box to provide the user access to the TV content. In OTT channels, content is delivered through an internet connection and not through a traditional cable/broadcast provider. The biggest difference between OTT and IPTV is the network. OTT content is regularly delivered over an open network, the internet, while IPTV is delivered over a closed, proprietary network, including a LAN or WAN. Digital terrestrial television is a technology for terrestrial television in which land-based (terrestrial) television stations broadcast television content by radio waves to televisions in consumers' residences in a digital format. DTT is received through a digital set-top box or integrated receiving device that decodes the signal received via a standard aerial antenna. The increasing demand of OTT and DTT platform due to their advantages such as self-customization is expected to escalate the MEA set top box (STB) market.
The overall MEA set top box (STB) market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining an overview and forecast for the MEA set top box (STB) market with respect to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. Participants of this process include industry expert such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the MEA set top box (STB) market. Advanced Digital Broadcast SA; Altech UEC; CommScope; COSHIP; Huawei Technologies Co., Ltd; Humax; Kaonmedia Co., Ltd.; Sagemcom; and Skyworth Group Co., Ltd. are among the players operating in the market.