Take-Up of 4K TVs to Surpass 10 Percent in North America by 2018

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SCOTTSDALE: While the Asia Pacific, and China notably, is expected to lead the 4K TV market, North America is poised to be the first region to eclipse 5-percent penetration, in 2017, and 10-percent, by the end of 2018, according to ABI Research.

Even though there is still limited 4K content, the declining prices of 4K TVs is expected to facilitate the expansion through normal upgrade cycles. Pricing remains the most critical factor of 4K TV adoption, however OTT services like Sony's Video Unlimited 4K service and display features will help early adopters bridge the content gap and raise the valuation of 4K as a feature.

New products that support 4K are set to hit the market soon, including the upcoming next generation consoles from Microsoft and Sony.

Senior analyst Michael Inouye commented, “Despite a very limited installed base there have already been a number of 4K trials from broadcasters, pay TV operators, and satellite operators. While many point to the 2014 FIFA World Cup in Brazil and Sochi Winter Olympics as highlights for 4K, these events will have a minimal impact on 4K adoption—it’s simply too early.”

Practice director Sam Rosen added, “Unlike 3D, which required awkward glasses, 4K has the legs to become an industry norm. This isn’t a sprint, however, and it will take time for the necessary infrastructure, installed base of devices, and content to come together before 4K becomes an integral part of how the typical TV household consumes video content. We expect this could start to happen as early as 2018 in some regions. In the meantime, many consumers will have 4K panels without 4K content, or 4K game consoles without a 4K display, and will claim a superior 4K experience even though the technical merits are not quantifiable.”