The North America set top box (STB) market is expected to grow from US$ 4,556.5 million in 2019 to US$ 5,112.1 million by 2027; it is estimated to grow at a CAGR of 1.6 % from 2020 to 2027.
Government regulations mandating the installation of set-top boxes and digitalization of cable TV, deployment of free OS-based devices by STB vendors, and analog switch-off transition in emerging countries are the prime factors accelerating the growth of the North America set top box (STB) market. However, there are several drawbacks associated with analogue systems. For example, it is difficult to determine the number of households using cable services and only local cable operators—who also work as bill collection agents—are aware of the actual figure. Broadcasters first transmit the signals via satellite; then, multi-system operators download these signals into their devices. After this, multi-system providers transmit these signals to local cable operators, and cable operators are eventually responsible for transferring these signals directly to consumers’ home via a variety of channels using co-axial cables. The inability of governments to monitor the exact number of consumers using cable TVs at home is the most significant drawback faced by current analog signals, and in this case, digitization enables them to know the exact amount of cable consumption. Owing to the use of digital signals, set-top boxes offer a better viewing experience and help prevent broadcasting of illegal channels. Thus, the stringent government regulations across North American countries for the digitalization of cable TVs are fueling the growth of the North America set top box (STB) market.
Countries in North America, especially the US, are adversely affected due to the COVID-19 outbreak. North America have the highest acceptance and development rate of emerging technologies owing to the favorable government policies to boost innovation and reinforce infrastructure capabilities. Therefore, any hindrance on industries hampers region's economic development. Amid the COVID-19 crisis, millions of Americans watch TVs as a primary source of news, information, and entertainment. Cable news network viewing rose by 73% versus the same week in 2019. This rise tends to be powered by viewing, with increases of 102 percent and nearly 82 percent compared to the same week in 2019. This has created a huge demand for the set-top boxes across the region. However, owing the nation-wide lockdown across major economies such as the US and Canada in the region, the manufacturing of the same has being negatively impacted. Moreover, the supply chain of the set-top box market has also been restricted from both local and international players, which has also restrained the growth of the North America set top market.
Based on content quality, the North America set top box (STB) market for the 4K segment is expected to grow faster during the forecast period. 4K resolution is known as Ultra High Definition or UHD. With this resolution, a lot of new TVs or monitors of all sizes are available in the market. 4K packs in around four times since many pixels as full-HD, and therefore that much sharper with more detail when it comes to picture quality. 4K or Ultra-HD is a screen resolution, along with the pixel count of around 4,000-pixel mark on the horizontal side—it is usually 3840x2160 pixels for most TVs. A few advantages of 4K quality such as ultra-high quality, better image depth, more detailing, and better color resolution are expected to increase its demand in coming years, which would drive the growth of the North America set top box (STB) market during forecast period.
The overall North America 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 North America 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 experts 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 North America set top box (STB) market. Advanced Digital Broadcast SA; Altech UEC; CommScope; COSHIP; Huawei Technologies Co., Ltd; Humax; Kaonmedia Co., Ltd.; Sagemcom; Skyworth Group Co., Ltd.; and Technicolor SA are among the players operating in the market.