Greg Tarr On Feb 11 2013 - 1:00am

NPD: 4K TV Shipments To Reach 7M By 2015


SANTA CLARA, CALIF. — More than half a million 4K by 2K (Ultra High-Definition) TVs will ship worldwide in 2013, growing to more than 7 million by 2016, according to a report from NPD Group’s DisplaySearch unit.

The findings, which are part of the firm’s latest “Quarterly TV Design and Features Report” tracking TV manufacturers in their bid to convince consumers to transition to the next-generation display technology as they begin to upgrade older digital TV models.

As previously reported in TWICE, Sony, LG, Samsung, Sharp and others are all moving forward with new 4K Ultra HD TV models this year.

In addition to vertical integration by the major players, merchant panel suppliers such as AUO and Innolux are working with several manufacturers on 4K displays. Initial efforts in test broadcasting and standardization are also underway, the market research firm points out.

“The efforts throughout the supply chain for 4K by 2K have begun to align,” said Paul Gray, NPD DisplaySearch TV electronics research director. “Panel makers are producing 4K by 2K screen sizes ranging from 50 to 110 inches, and there is also a push to increase TV content. The availability of content is key to consumer adoption of 4K by 2K TVs, and TV manufacturers are anxious to prevent any potential delays that could stall adoption, as was the case with 3DTVs.”

Gray added, “As a result, investments are beginning to ensure that 4K by 2K content is readily available to consumers. Several announcements about proprietary 4K streaming and download services were made at CES — however, satellite and cable services from established providers will take some time.”

China is forecast to lead demand for 4K TVs, with shipments forecast to grow from 333,000 in 2013 to more than 2.6 million in 2016.

North America is forecast to follow, with just more than 2 million forecast to ship in 2016.

“Initially, we expect to see the highest 4K adoption in China, Japan and Western Europe, as these regions typically prefer the latest highly featured products,” noted Gray. “On the other hand, North American consumers are generally more likely to delay purchases of new technology, like 4K by 2K, until prices fall. However, because demand is heavily skewed towards large screens in this market, there is a significant opportunity.”

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