Streaming device shipments hit hard by inflation; Should bounce back in years to come – The Streamable

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Production of streaming devices is the latest industry to be hit by inflation, with S&P Global Market Intelligence reports estimating a 1.2% drop in shipments, bringing the total number of units down to 80 million in 2022.

S&P Kagan’s subsidiary media research group found that although demand for streaming saw a massive spike at the start of the pandemic, manufacturers are now struggling to keep up with supply which has drastically dried up in 2021. and 2022.

One of the main contributors to this supply chain issue has been the shortage of certain chips and components, which has severely affected the manufacturing of new hardware after the pandemic. This in turn prevents vendors from revising product lines and updating inventory, which brings market growth to a screeching halt.

Although the current market situation is far from ideal, Kagan remains confident that it will stabilize and develop further in 2023 and beyond. S&P’s analysis predicts a massive market surge that could push shipments of streaming media (SMD) devices to nearly 100 million units by 2026.

“The main challenge to a steeper growth curve for SMDs is the continued evolution of smart TV interfaces and processing power,” said Neil Barbour, research analyst at S&P Global Market Intelligence. “As smart TVs become more capable streamers, there is less demand for external hardware solutions. SMD vendors seem to recognize the threat and have actively sought partnerships to deploy their operating systems to smart TVs.

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