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IHS: 'Smart TV' Household Penetration to Reach 50% by 2019

1 Feb, 2016 By: Erik Gruenwedel

No longer a novelty, Internet-enabled television (a.k.a smart TV) is projected to reach 50% household penetration in the United States, Western Europe and Japan by 2019 — driven by growth of over-the-top video and interest in 4K Ultra High-Definition, according to new data from IHS.

Smart TV household penetration in Japan has already reached 50% and will rise to 63% in 2019, followed by the United States at 57%. Among Western European countries, Germany and the United Kingdom are expected to reach 53% penetration in 2019, followed closely by France at 50%.

“Growing availability of 4K content from online video providers will … support this trend, as will the introduction of ultra-high-definition Blu-ray in 2016,” Hisakazu Torii, senior director of consumer device research for IHS Technology, said in a statement.

Although China is considered to be an emerging TV market, smart-TV household penetration is expected to reach 46% by 2019, which is higher than other emerging regions. Smart TV is an essential feature on TVs sold in China, because many Chinese consumers seek out online content services.

“With content providers and smart-device manufacturers, such as Alibaba, LeTV and Xiaomi, now entering the TV set market, Chinese consumers have more smart-TV choices than ever before,” Torii said. “Increased sales of 4K TVs will accelerate these trends in the Chinese market.”

Meanwhile, smart-TV household penetration in other emerging countries will remain low, due to a lack of online video content and insufficient infrastructure to deliver the required broadband Internet content to the home. For those reasons, smart-TV household penetration in Brazil and Russia will reach only 36% in 2019 and just 3% in India.

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