In a notable although not terribly surprising development, connected TV (CTV) devices are selling like hotcakes this holiday season and will set a new sales record this quarter, according to a new research report.
The report, produced by Strategy Analytics, projects that global sales of CTV devices will surpass 111 million units in Q4, up 32% from the Q3 total and 6% from the year-ago figure. That will lift sales for all of 2020 to 315.6 million units, also up 6% from last year and the highest annual total yet.
As might be expected, Strategy Analytics researchers credit the continuing surge in CTV device sales at least in part to the impact of the COVID-19 pandemic, which is now prompting another wave of lockdowns across the planet. But they also credit strong holiday demand for new electronic products like media streamers, smart TVs and video-game consoles.
"Demand for smart TVs, streamers and consoles has held up remarkably well after a year of such enormous challenges," Chirag Upadhyay, Analyst, Connected Home Devices, for Strategy Analytics said in a written statement. "Supply chain issues were overcome relatively quickly, and consumers have demonstrated that they are keen to stay up-to-date with the latest technologies in order to get the best possible video and TV streaming experience."
Game consoles are leading the way, with sales up a projected 150% this quarter, according to the report. That increase comes after both the PlayStation 5 and Xbox Series X hit retail and online stores this year.
Media streaming devices are also performing strongly, with sales projected to soar 42% from Q3 totals. Meanwhile, smart TV set sales are expected to rise 9% from the previous quarter.
Breaking the numbers down by the major players, Strategy Analytics predicts that Amazon will be the leading vendor in Q4, with sales of 12.8 million CTV devices. Samsung and Sony are expected to follow closely behind with about 12 million devices apiece, while LG and Nintendo are projected to sell nearly 7 million units.
Thanks to this surge, Strategy Analytics predicts there will be 1.3 billion CTV devices in use worldwide by the end of the year.
— Alan Breznick, Cable/Video Practice Leader, Light Reading