IoT, Smartphones Power Consumer Electronics Industry in 2016
Sales of consumer technology products, including wearables, smart home devices and drones, will show growth of 1.3 percent from last year, according to the CTA.The broader adoption of the Internet of things (IoT) and enthusiasm for emerging technology will drive the American consumer technology industry to $286.6 billion in retail revenues in 2016. According to figures released by the Consumer Technology Association (CTA), sales of burgeoning tech products, such as wearables, smart home devices and drones, will deliver an increase of 1.3 percent from last year's industry revenues. "We have only just scratched the surface of what IoT will become. IoT is a loose paradigm of physical objects becoming digitized, sensorized and connected," Shawn DuBravac, chief economist for the CTA, told eWEEK. "But what generally happens, is that once these objects are connected, they fall into other categories. Connected door locks become part of the smart home. Connected sports equipment becomes part of connected fitness. It's the everyday things that will undergo the most pronounced changes. IoT is emerging everywhere around the consumer." CTA projects unit shipments will reach 183 million in 2016, while revenues will reach $55 billion.
The report indicated that as tremendous innovations in smartphone hardware over the past few years have lengthened the replacement cycle, 2017 will be the first year smartphones see a slight decline in unit sales and revenue.