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January 26, 2010

Blu-Ray and Network Connectivity Making Rapid Entry in Disc Player/Recorder Market: In-Stat

By Raja Singh Chaudhary, TMCnet Contributor

In-Stat (News - Alert), a market intelligence firm that provides analytical inferences and predictions about the Mobile Internet and Digital Entertainment ecosystems based upon technical, market and end-user research and database models, has reportedly claimed that high-volume shipments of Blu-ray players, most of which feature network connectivity, are finally making inroads into the broader disc player and recorder market, in its newly launched research report that covers the worldwide market for DVD players and recorders.

Titled “Worldwide Blu-ray and DVD Player/Recorder Market” the report analyzes worldwide market for DVD players and recorders. The report primarily examines the market trends for Blu-ray and standard definition DVD, and presents forecasts of worldwide unit sales, revenue, and average selling prices of standard definition DVD recorders and players, and of Blu-ray recorders and players through the year 2013.

Giving a brief overview of DVD and Blu-ray technology, the study also includes brief profiles of some well known DVD and Blu-ray silicon providers such as Broadcom, ESS Technology, Magnum Semiconductors, Media Tek, NEC, Sigma Designs (News - Alert), Sunplus, and Zoran.

It suggests that the number of Blu-ray player shipments will still lag slightly behind the 90 million DVD player unit shipments, by the year 2013, although the Blu-ray player revenue will be at least four times more than the DVD player revenues, owing to the higher average selling prices of the former ones. Further, it says the shipments of network-enabled Blu-ray players/recorders will approach 80 million units by that time, although the high selling prices of these players still works as a barrier in mass adoption, as reportedly 18 percent of US survey respondents with at least some interest in purchasing a Blu-ray player complained about the issue.

According to Michelle Abraham, analyst at In-Stat, significant price drops of Blu-ray players drove unit shipments to triple in North America, in the year 2009. Abraham added that the cost differential between standard definition DVD and Blu-ray is becoming much smaller and new features such as IP/network connectivity are becoming increasingly important, and Blu-ray is finally starting to make significant advances market.

The market for Blu-ray recorders is dominated by Japan, while the largest revenues for Blu-ray players come from Europe, claims the report. It says the semiconductor providers such as Broadcom, NEC (News - Alert), MediaTek, Sunplus and Zoran offer support to the Blu-ray and DVD player/recorder market.

Recently, In-Stat had revealed in a research report that although touch screens, open OS and Internet access are all great, consumers want cellular handset vendors to make a better phone at first. In that report, Frank Dickson, In-Stat analyst had commented that in many cases vendors have been so focused on making complex camera phones, music phones or mobile Internet devices, they have lost sight of the fact that phone functionality is mediocre at best.

Raja Singh Chaudhary is a contributing editor for TMCnet. To read more of Raja's articles, please visit his columnist page.

Edited by Patrick Barnard

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