Smart TV Market size is projected to grow considerably over 2021-2027, as a result of the rising consumption of online content due to high internet usage worldwide. Over the past years, countries across the globe have been witnessing a massive spike in the number of internet users. The Democratic Republic of Congo, for instance, recorded a hike of 9 million users between 2019-2020, facilitated by significant investments from organizations and firms like Facebook to boost internet connectivity development in Africa.
Smart TV is an Internet-enabled TV equipped with advanced features and applications than conventional TVs, thus eliminating the need for a separate set-top box. This type of television includes paid and free streaming apps such as YouTube, Amazon Prime, and Netflix. Moreover, it has a browser for general web surfing and enables the execution of games and other applications, hence leading to the considerable adoption of smart TV devices.
Rapid technological advancements, alongside the digital transformation of the broadcasting industry, are among the major factors fostering smart TV market trends. Escalating adoption of IoT has resulted in a substantial rise in demand for smart connected devices that use UHD (ultra-high-definition) screens. Furthermore, the growing number of connected device users across the globe and remarkable smart TV features will add impetus to the industry expansion over the estimated timeline.
In terms of segmentation by resolution, the 4K UHD TV segment is expected to hold a considerable share by 2027, which can be credited to the mounting deployment of smart entertainment products with high resolution. The segmental expansion will also be boosted by the myriad benefits of using UHD TVs with 4k resolution, such as their delivery of superior definition images, and availability in large screen sizes of more than 50 inches.
On the regional front, the Asia Pacific smart TV market is set to emerge as a lucrative revenue pocket in the upcoming years. This is attributable to the numerous collaboration deals entered between smart TV manufacturers and OTT content & device providers to enhance the product features. They aim to cater to the accelerating demand for smart TV as a preferred mainstream product in developing countries like India.
Global smart TV market share is bolstered by the presence of key industry participants such as TCL Technology, Hitachi Ltd., Westinghouse Electric Corporation (ViacomCBS), Haier Group Corporation, Insignia Systems, Inc., Vizio Inc, Panasonic Corporation, Apple Inc., Samsung Electronics, Koninklijke Philips N.V., Sony Corporation, and LG Electronics, among others. These firms are incorporating strategies such as new product launches to broaden their presence and gain a competitive advantage across the global market.
For instance, in April 2021, Xiaomi announced plans to launch a new smart TV known as Mi QLED TV with 4K resolution in India, with an objective to cater to the growing product demand from Indian consumers and expand its global footprint. Meanwhile, TCL unveiled its intention to launch a P series of Android 11-based smart TV in India with enhanced features such as Dolby Vision & Dolby Atmos support, as a part of its global 1st approach.
The outbreak of the deadly COVID-19 disease has resulted in an unprecedented global health crisis. Several countries have implemented internal movement restrictions to curb the spread of the virus, creating an impact on business flow and supply chains. Electronics production suffered to some extent across key manufacturing hubs. These factors may limit the expansion of the smart TV industry over the short term.
The entertainment companies are, however, focusing on exploring new ways to adapt to the new digital landscape during the pandemic. The industry is witnessing a drastic increase in digital content consumption, with platforms such as Netflix and Amazon Prime Video registering a spike in viewership worldwide. Strong focus on online content delivery, coupled with the gradual ease of COVID restrictions, are anticipated to increase the popularity of various smart TV brands globally and in turn, accelerate smart TV market outlook in years to come.