The consumer electronics (CE) industry is set to generate more than $165 billion in U.S. shipment revenues this year, a slight increase from 2009, according to the semi-annual industry forecast released by the Consumer Electronics Association.
CEA President and CEO Gary Shapiro announced the forecast in his opening remarks at the 2010 International CES technology trade show.
"2009 is a year none of us wish to repeat and now we look forward to 2010. There is light at the end of the tunnel and it is the bright light of innovation," said Shapiro.
"We are seeing more innovation at this show than at any show in our history. There are a record number of new exhibitors, more than 330, among the 2,500 companies showcasing the next generation of technology."
The CE industry will see positive growth in 2010 after a revenue dip in 2009. Total industry shipment revenue fell an estimated 7.8 percent in 2009.
The wireless handset category is on track to have a strong 2010, becoming the main revenue driver for the industry. Smartphones continue to lead the way, generating nearly $17 billion in shipment revenue and more than 52 million unit sales in 2010. Smartphones account for more than 30 percent of total wireless phone shipments, with that number increasing in the years ahead.
Sales of computers will also be a bright spot in 2010 driven by the popularity of netbooks. Netbook sales more than doubled in 2009 as the computer category showed stronger sales than forecasts predicted. In 2010, more than 30 million notebooks will be sold, generating more than $14 billion in revenue.
"Smartphones and netbooks are primed for strong growth as consumers continue to seek efficient, portable devices," said Steve Koenig, CEA's director of industry analysis.
"With more consumers seeking content anywhere, anytime, the demand for products facilitating these experiences will drive purchases going forward."
Blu-ray players will continue to grow after a solid 2009. Blu-ray unit sales increased 155 percent in 2009 with more than seven million units being sold, generating more than $1 billion in revenue. In 2010, unit sales are forecast to top 11.5 million and revenues to increase to $1.4 billion.
Television unit sales will climb to more than 37 million in 2010 but price drops will cause display revenue to decline slightly to $22 billion. Innovation in TV displays, such as 3D, Internet connectivity and OLED technology, will continue to grow and help maintain revenue in the display category. CEA projects sales of more than 4 million 3D television sets in 2010.