Set-Top Box Market Size

Global Set-Top Box (STB) Market Overview:

Set-Top Box (STB) Market Size was valued at USD 15.22 billion in 2023. The Set-Top Box market industry is projected to grow from USD 16.31 Billion in 2024 to USD 26.54 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.27% during the forecast period (2024 - 2032).

Increased health concerns and challenges have led to more expensive operations, and more bariatric proceduresare the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Set-Top Box (STB) Market Trends

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  Technological Advancements are driving the market growth

  
  

The set-top boxes (STB) market is expected to grow robustly. Rising flexibility in subscription models and growing demand for smart TVs with dynamic content are likely to fuel the market's growth. Smart TVs are expected to offer even more choices to users with additional access to services such as Netflix, YouTube, and other streaming services. Moreover, emerging subscription models in the market are expected to provide more choices, with an increasing number of them moving toward pay-per-channel models. This is apparent in countries such as the U.S., where services such as HBO are highly demanded. Recent regulations in India empowered set-top-box providers to compete better with dynamic content from the Internet, allowing more competition and more choices for consumers. These trends are expected to increase the market CAGR for the set-top boxes market.

Additionally, increasing demand for TV sets in retail outlets may increase the use of set-top box products. Furthermore, cases of epidemics such as the current outbreak of COVID-19, which forced people to stay in their homes, have increased the use of online video and may further intensify the demand for STB products. In addition, the increasing consumer acceptance of digital STBs that are more efficient than analog STBs has created a need for new products based on digital technology.

Moreover, the growing e-commerce sector has made it easier to supply electronic products. Nevertheless, government regulations regarding the limited bandwidth usage of high-volume speakers are expected to hamper the growth of set-top box (STB) market revenue.

Demand for High-Quality Sound and High-Resolution Video Quality to Fuel Market Growth Digital growth in television networks and advancements in digital broadcasting technologies are key drivers of the set-top boxes market. Users increasingly seek seamless, high-quality video streaming and good services such as channel package subscriptions, HD channels, and interactive videos. Additionally, the widespread adoption of set-top boxes has been witnessed recently.

Set-Top Box (STB) Market Segment Insights:

Set-Top Box (STB) Product Type Insights

Based on product type, the Set-Top Box (STB) Market segmentation includes internet protocol TV, digital terrestrial television, satellite, cable, over-the-top content, and others. The over-the-top content segment dominated the market, the ongoing technological advancements allowing broadcasters to deliver improved sound quality and high-resolution picture quality. Over-The-Top Content platforms offer enhanced features, including simplified payment methods, reduced time-to-content, and accessible time-shifted viewing. A significant surge in viewership across OTT platforms, such as Amazon Prime Video, Hulu, Disney+, and Netflix, is further contributing to the segment growth.

The cable STBs segment is expected to capture a significant volume share by 2030, owing to increased adoption across emerging economies of the Asia Pacific. Government mandates for cable digitization and benefits, such as increased channel carrying capacity offered by cable TV, are further driving the product demand. Having realized that cable TV remains the most popular platform, several cable service providers are improving their technology and service offerings. However, the adoption of cable TV has been dwindling over the past few years, in line with the shifting consumer preference toward technologically advanced content viewing platforms.

Set-Top Box (STB) Content Quality Insights

The Set-Top Box (STB) Market segmentation based on content quality includes high definition, standard definition, and 4K. The high definition segment dominated the industry in 2022. It accounted for the largest revenue share of more than 93.00%, owing to increased demand driven by accessibility to a wider variety of channels than its 4K counterpart. These STBs are gradually replacing conventional SD boxes as they offer improved sound and picture quality and exclusive channels. In addition, increased sales of smart TVs have also increased the demand for these STBs, thereby increasing segment growth. The 4K and above segment is projected to grow substantially between 2023 and 2030, owing to increased demand for high-resolution content and sharp picture quality offered by these STBs. Moreover, favorable regulatory scenarios encouraging the installation of STBs and large-scale digitization programs across various countries are expected to drive segment growth. In the U.S., government authorities, such as the Federal Communications Commission (FCC), are pursuing favorable initiatives to support third-party STB manufacturers, thereby creating new growth opportunities for the manufacturers of 4K STBs.

Figure 1: Set-Top Box (STB) Market by Content Quality, 2022 & 2032 (USD billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Set-Top Box (STB) Service Insights

The Set-Top Box (STB) Market segmentation based on service includes managed and interaction services. The interaction services segment dominated the industry in 2022 because People are getting more inclined towards the Internet. The interaction services have been sub-segmented into video on demand, high-speed internet television, and video conferencing. At the same time, the managed services are further bifurcated into testing, repairing, and screening.

March 2020: Videocon D2H launched a voice-enabled and Internet-enabled Android set-top box with Alexa kit, which uses Android 9 operating software and has OTT access.

December 2019: Tata Sky launched Tata Sky Binge+, an android enabled DTH set-top box offering Android features with 4K quality content. This new model uses the Android 9 version and is powered by a 1.8GHz Broadcom BCM72604 B processor

Set-Top Box (STB) End-User Insights

The Set-Top Box (STB) Market segmentation based on end-user includes commercial and residential. The residential segment is expected to hold the largest market share owing to the increasing demand for television sets among households and residencies, which will likely increase the consumption of STB products.

Set-Top Box (STB) Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World.The Asia-Pacific set-top box (STB) market area will dominate this market, owing to the rising consumption of media and entertainment content, especially among the middle-class population in the Region. Rising consumer demand for technologically advanced solutions providing high quality, functionality, and affordable pricing is creating lucrative opportunities for the industry and will boost the market growth in this Region. Moreover, China’s set-top box (STB) market held the largest market share, and the Indian set-top box (STB) market was the fastest-growing market in the Asia-Pacific region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Set-Top Box (STB) Market SHARE BY REGION 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe's set-top box (STB) market accounts for the second-largest market share due to theincreased health concerns, and challenges have led to more expensive operations. Further, the German set-top box (STB) market held the largest market share, and the UK set-top box (STB) market was the fastest-growing market in the European Region.

The North America set-top box (STB) market is expected to grow at the fastest CAGR from 2023 to 2030. This is because the regional market is relatively saturated as most of the households already have such devices installed. It is a prominent hub for emerging Internet-based STBs, such as IPTV and OTT, featuring customizable configurations and high-quality video and sound content transmission.

Set-Top Box (STB) Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development to expand their product lines, which will help the set-top box (STB)market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Set-Top Box (STB) industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturer’s uses in the global Set-Top Box (STB) industry to benefit clients and increase the market sector. In recent years, the Set-Top Box (STB) industry has offered some of the most significant advantages to the IT industry. Major players in the set-top box (STB) market, including EchoStar Corporation, Samsung Group, Apple Inc., ARRIS International PLC., Sagemcom SAS, Kaonmedia Co. Ltd, Vishay InterTechnology Inc., Google LLC, and others, are attempting to increase market demand by investing in research and development operations.

TCL Technology is a Chinese electronics company headquartered in Huizhou, Guangdong Province. It designs, develops, manufactures, and sells consumer products, including television sets, mobile phones, air conditioners, washing machines, refrigerators, and small electrical appliances. TCL announced the launch of new five and 6-series TVs. These TVs were made available for pre-sale in the United States, followed by a launch in Canada. TCL Series 5 and 6 televisions with hands-free voice control leverage Google Assistant to search over 700,000 movies and TV episodes, answer questions, and manage smart home devices, among other tasks.

Roku, Inc. is an American publicly traded company based in San Jose, California, United States, that manufactures a variety of digital media players for video streaming. Roku has an advertising business and licenses its hardware and software to other companies. Roku, Inc. announced partnering with Sharp to bring Sharp Roku TV models to US customers. According to the partnership, Sharp Roku TV models will come integrated with Roku OS, providing the customers with a customizable home screen, compatibility with the three major voice ecosystems, and access to many channels, including over 200 live TV channels.

Key Companies in the set-top box (STB) market include

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  EchoStar Corporation

  
  


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  Samsung Group

  
  


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  Apple Inc.

  
  


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  ARRIS International PLC.

  
  


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  Sagemcom SAS

  
  


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  Kaonmedia Co.Ltd

  
  


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  Vishay InterTechnology Inc.

  
  


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  Google LLC

  
  

Set-Top Box (STB) Industry Developments

August 2021: Evoca chose Commscope to provide subscribers with the recent generation of Android TV-powered set-top boxes with built-in dual multimode ATSC 3.0 and ATSC 1.0 tuners. This technology combination is being made accessible to the entire public. Moreover, it enables the service provider to use its broadcast network and offer American clients a sophisticated TV viewing experience.

August 2021: The "Made in India set-top boxes," created in collaboration with Technicolor Connected Home and Flextronics, were introduced by Tata Sky. The mass production of high-tech boxes developed for Tata Sky by Technicolor Connected Home started in Chennai, in collaboration with Flextronics, in June 2021.

July 2021: Technicolor Connected Home integrated Google's far-field voice technology into its latest generation of STBs (set-top boxes), enabling users to change channels, search for content, and be more hands-free with Google Assistant. Integrating Google Assistant and Technicolor Connected Home STBs paves the way for consumers to effectively manage home security automation, smart speakers, and other IoT applications.

Set-Top Box (STB) Market Segmentation:

Set-Top Box (STB) Type Outlook

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  Internet Protocol TV

  
  


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  Digital Terrestrial Television

  
  


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  Satellite

  
  


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  Cable

  
  


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  Over-The-Top Content

  
  


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  and Others

  
  

Set-Top Box (STB) Content Quality Outlook

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  High Definition

  
  


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  Standard Definition and 4K

  
  

Set-Top Box (STB) Service Outlook

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  Managed Services

  
  


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  Interaction Services

  
  

Set-Top Box (STB) End-User Outlook

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  Commercial

  
  


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  Residential

  
  

Set-Top Box (STB) Regional Outlook

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  North America

  
  
  
  
  • US
  
  
  • Canada
  
  
  
  

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  Europe

  
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  

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  Asia-Pacific

  
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  

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  Rest of the World

  
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America