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Report: Cable Set-Top Box Shipments to Decline 8% This Year

24 Aug, 2010 By: Erik Gruenwedel

Global shipments of cable set-top boxes are projected to fall this year for the first time since 2002 despite regional areas of growth, according to a new report.

Scottsdale, Ariz.-based research firm In-Stat said worldwide unit shipments are expected to decline to 44.1 million, down 8% from 47.9 million units last year.

Notable exceptions include regional markets in Europe where demand for high-definition (HD) cable set-top boxes is fueling growth, and Latin America, where the shift from analog cable TV to digital cable TV is spurring unit shipment growth.

In-Stat said shipments of less expensive digital terminal adaptors (DTA) is expected to blossom, with unit shipments topping 7 million this year. A DTA converts an incoming digital signal into an analog signal for older TV units.

“Even in a soft year, the cable set-top box market continues to offer solid growth opportunities for cable set top box manufacturers,” said Mike Paxton, principal analyst with In-Stat. “This is particularly true if manufacturers target emerging regional markets or if they focus on high-margin product categories like HD or PVR-enabled cable set-top boxes.”

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