Analyst firm iSuppli released new figures for the portable media player (PMP) industry yesterday, saying that it expects the market to double—in terms of units shipped—from 2005 to 2011.
Analyst firm iSuppli released new figures for the portable media player (PMP) industry yesterday, saying that it expects the market to double - in terms of units shipped - from 2005 to 2011.
This year alone, unit shipments are expected to reach 217 million, up 22 percent from 2006's 178 million, according to iSuppli. The research firm said that PMP/MP3 players now represent one of the fastest growing segments in the consumer electronics industry and that shipments are expected to rise to 269 million units, globally, by 2011.
Revenue is also expected to follow suit, increasing from $20.6 billion this year to $21.5 million in 2011, according to Chris Crotty, senior analyst for consumer electronics at iSuppli.
"A major driving factor behind this growth is the fact that PMP/MP3 players take advantage of the Internet more than other consumer electronics devices, giving users the ability to quickly and easily sample, acquire, and share media," he said in a statement Wednesday.
PMP shipments, in particular, are expected to grow faster than those of music-only MP3 players in the coming years due to increased consumer use of the Internet for video. That trend will continue as broadband connectivity and Internet usage rises during the next five years, iSuppli said.
By 2011, PMPs are expected to account for more than 66 percent of the combined PMP/MP3 unit shipments. In particular, Flash-based PMPs are expected to reach the 135 million unit mark by 2011, up from 47 million this year.
Crotty also attributed the rapid market expansion to the growing catalog of available content and component cost reductions that are now making players more affordable.
Copyright 2007 by Ziff Davis Media, Distributed by United Press International
Explore further: Theme parks: Comcast's under-the-radar growth driver