The first quarter of 2016 presented mix results for TV makers as global shipments drooped, but 4K TV shipments surged
Worldwide TV shipments in the period fell 2%, to 49.1 million units while the global 4K TV market surged 99% year-over-year, according to IHS’s TV Sets Market Tracker.
Noting that categories such as 4K are critical to the stability of revenue and profits for global TV brands, 4K TVs shipments reached 9.3 million units, or 19% of all units shipped.
Additionally, the average TV screen size globally increased to a new high of 40.6-inches.
Demand for big screen TVs (55-inches and larger) were particularly strong in China – up nearly 80% in Q1 -- thanks to declining prices that fueled consumer upgrade activity, IHS said.
Large-screen TV shipments in China rose from 2.1 million units in the first quarter of 2015 to reach 3.8 million units in the first quarter of this year, the firm said, adding that nearly two-thirds of big-screen TV shipments in China in Q1 were 4K models.
IHS said 4K TV prices for 55-inch and larger sizes declined more than 36% year over year, with some brands offering 65-inch 4K sets for less than $900, below the average global price of more than $1,700. Additionally, the average screen size of TV shipments in China also reached a new high of nearly 45-inches in Q1.
“North America has traditionally been viewed as the key region for large-screen TV growth, owing to the region’s long history of leading global average sizes,” said Paul Gagnon, director of TV sets research for IHS, in a statement. “However, in recent years China has surpassed North America in terms of average TV size, and the country has enjoyed much stronger growth in the 55-inch-and-larger category in the past year, even surpassing North America’s share of large-screen TVs.”