The 4K TV market will see a compound annual growth rate (CAGR) of 19.19% between 2022 and 2027, according to a new report from Technavio. After the period, the 4K market will be worth 183.45 billion - almost double where it is now. One of the main drivers in the adoption of 4K TVs is the rising popularity of large-display TVs. However, there are some challenges that the market needs to overcome.
Going back to the popularity aspect of large displays, Technavio reports that just five years ago, 40-inch TVs were the standard size. This is rising, though, because manufacturers now offer TVs in excess of 80 inches. Another reason people are buying 4K TVs is due to their smart features. People tend to buy new TVs every decade or so, this means some people may not have built-in smart features yet but want them.
The main key challenge to the growth of 4K TVs is expected to be the lack of 4K content. While these TVs can play 1080p and 720p content, consumers may be able to spend less money on a less sophisticated TV if they don’t think 4K is worth it. As time rolls on, this should become less of an issue as 4K-capable recording equipment comes down in price and more content is produced.
While over the whole period, a CAGR of 19.19% is certainly possible, in the short term figures could be lower. Many sectors, including semiconductors and smartphones, have seen falling revenues due to the poor economic situation.
Let us know in the comments if you’re planning to upgrade to a 4K TV soon. What do you think are the pros and cons right now?