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Q4 16:9 Front Projectors See Gain

3/12/2007 02:00:00 AM Eastern

PORTLAND, ORE. — Sales of entry home entertainment front projectors with a native widescreen aspect ratio, topped sales of 4:3 cross over models for the first time, in the fourth quarter of 2006, according to Quixel Research's "Front Projector Market Review for Q4 2006"

The report found that unit sales for 16:9 models rose 27 percent from the third quarter of 2006 to the fourth quarter 2006 and 39 percent from full year 2005 to 2006.

"In the fourth quarter 74 percent of the category was 16:9, which is quite a change from a year ago when 16:9 models made up barely half of the residential front projection category," stated Tamaryn Pratt, Quixel's principal. "In the past, the category didn't have a meaningful number of low cost 16:9 models available and consumers found value in 4:3 models. Now both 480p and 720p 16:9 models can be purchased for a little less than $1,000 and 4:3 models are becoming superfluous."

In the fourth quarter of 2006, more than half of the models sold in the under $1,000 price segment were 16:9, Quixel said. Additionally, almost half of the total residential front projection market unit sales were priced below $1,000 in both the third and fourth quarters of 2006.

On an overall basis, unit sales for the residential front projection market rose 9 percent from 2005 to 2006 and 2 percent from third quarter 2006 to fourth quarter 2006. Revenues were also up, increasing 2 percent from 2005 to 2006, or topping $657 million in 2006.

Looking forward, Quixel said it expects continued growth in the entry level segments as well as in the high-resolution segments in both 2007 and the longer term. Quixel forecasts that channel expansion in the total front-projector market will accelerate adoption, with unit sales topping 700,000 by 2010.

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