New info from Strategy Analytics reports that Connected Home Audio Devices sales will top $1 billion this year. Total unit sales grew by 57% in 2010 to 3.3 million.
Total active, installed units was 7.4 million by the end of 2010, but there’s still plenty of room for growth in that number. The report summary reports that the total active installed base is expected to exceed 40 million units by 2015.
“While we now have plenty of electronic devices that can play music files and stream Internet audio content, a dedicated and easy-to-use Internet audio device still has its room in the home” says Jia Wu, Senior Analyst of Connected Home Devices at Strategy Analytics. “It is a niche market, but being equipped with touch screens and Internet capability, the new generation home audio devices appeal to a decent amount of consumers that love Internet radio programs and streaming music content.”
Typical customers are young and male, similar to buyers of other electronics products. Current pricing in the category of Connected Home Audio Devices is to high for it to become a mainstream product category, but growing competition in pricing should drive the price down and sales up.