We forecast the consumer electronics market - defined as computing devices, mobile handsets and video, audio and gaming products - will grow by -.- to a value of USD---.-bn. This, however, masks BMI s view for depreciation from an average of CNY-.-/USD in ---- to CNY-.-/USD in ----, and we expect the market will register more robust growth of -.- in local currency terms in ----. ...While not saturated to the extent of developed markets, China has relatively high penetration across most device categories considering income levels, and this precludes rapid growth. There is also a regional dimension to the saturation trend, with high income coastal areas highly almost to the level of developed markets globally, and as such there will be stronger growth in demand for computers and smartphones in rural areas and tier-three to tier-six cities. These device markets are however becoming more saturated and as vendors compete for market share there is risk of price erosion, meaning coastal ...There is also a regional dimension to the saturation trend, with high income coastal areas highly almost to the level of developed markets globally, and as such there will be stronger growth in demand for computers and smartphones in rural areas and tier-three to tier-six cities. These device markets are however becoming more saturated and as vendors compete for market share there is risk of price erosion, meaning coastal
...Computer Hardware Sales: USD--.-bn in ---- to USD--.-bn in ----, a compound annual growth rate (CAGR) of -.- in US dollar terms. Market maturity means growth will be slower than the decade to ----, but rising incomes has upside for vendors to focus on higher price and margin PCs in the retail market. AV Sales: USD--.-bn in ---- to USD--.-bn in ----, a CAGR of -.- . The AV segment is expected to underperform as digital camera and mp- demand continues to fall, but smart and Ultra-HD TV sets will provide a more positive upgrade dynamic for the largest component of the market. Handset Sales: USD---.-bn in ---- to USD---.-bn in ----, a CAGR of -.- . ...Handset Sales: USD---.-bn in ---- to USD---.-bn in ----, a CAGR of -.- . Smartphone market saturation meant growth began to decelerate since ---- but we expect handset sales to be the outperforming segment as shift towards flagships/premium smartphones raises the average selling price slightly over ---------.
...Moves by Tencent, Baidu and Alibaba to create smart device ecosystems could see a greater part of the mobile value chain accrue to Chinese firms. AV upgrades through Smart TV sets, as well as UHD sets later in the forecast period. ...
