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High dynamic range (HDR) TV shipments are poised for steep growth in the coming years, IHS Markit forecasts show.According to IHS, HDR TV shipments are set to reach 4 million units this year, growing to more than 30 million by 2020.
Meanwhile, IHS states that the HDR-compatible TV market (defined as being compatible with basic HDR formats, however utilising standard dynamic range displays), is set to be as much as four times larger.
“By 2020, IHS Markit expects that nearly all of the 112 million 4K TVs shipped worldwide will be compatible with HDR, but only 30 per cent will have true HDR performance capabilities,” IHS states.
Worldwide 4K TV demand is continuing to grow even though total TV shipments will decline slightly this year, with IHS noting that “lack of unit volume growth in the total market and continuous price erosion, especially for categories like 4K, is a concern for TV manufacturers and retailers”.
New display technology such as HDR contains promise for improving average selling prices and profits, however “only if the technology and its benefits are communicated well to consumers”.
“As with many new technologies in the TV market, the ability to introduce them to consumers in a way that communicates the value is crucial to achieving lasting premiums and profits,” Paul Gagnon, IHS Technology director of TV sets research, commented.
“In the case of HDR, only some sets have enhanced display performance that can allow the consumer to see the benefit, while the rest will have little discernible difference to consumers, who may become confused about the value of HDR as a result.”
IHS states that standard dynamic range TVs “will shrink rapidly as a segment within the 4K TV market, but remain the only choice for HD and 1080p resolution TVs, as HDR benefits are featured primarily with 4K content”.
“The 4K TV market is growing quickly from 55 million units in 2016 to more than 100 million units by 2019, achieving 100 per cent share of 50″-and-larger TV shipments by 2019,” IHS states.
“As with many new TV technologies like 4K, HDR is featured in larger screen sizes where the additional costs are supported by larger premiums. More than 80 per cent of HDR TV shipments will come from 50″-and-larger screen sizes.”
