Consumer Electronics Show kicks off with positive industry growth forecast
January 6, 2013 - 4:13 pm
Before attendees at the world-beating Consumer Electronics Show in Las Vegas get to see Samsung's new, bendable screens or the tiny cubes that measure spatial proximity, the sponsor wanted to make a few things clear.
In a tailored gray suit and white button-down shirt, Shawn DuBravac, chief economist and senior director of research for the Consumer Electronics Association, kicked off the 2013 International CES with his state of the industry report at the Mandalay Bay Convention Center.
Expect the coming three years to be filled with "fundamental shifts in voice interaction" as technologies build on their languages database. And even though there's been a lot of talk recently about ultra-HD screens, DuBravac warned not to expect to see the technology in every home on the block any time soon.
"We're not expecting this to be a technology that ramps very quickly," DuBravac said.
More than 10 companies are launching ultra-HD sets at this year's CES, but ultra-HD should comprise only about 2 percent of the market by 2016.
The 2013 CES, which is not open to the general public, is expected to attract an estimated 156,000 attendees to the Las Vegas Convention Center this week, about the same as last year's show. More than 3,100 consumer electronics companies will display 20,000 products through Friday. The consumer electronics industry is a $206 billion industry, and the show is worth an estimated $197.3 million in nongaming economic impact to the city, according to the Las Vegas Convention and Visitors Authority.
Overall, global tech spending is expected to increase 4 percent in 2013, with growth led by emerging markets at 9 percent, up from 3 percent in 2012.
Emerging markets driving the growth include China, India and Brazil. Mature market growth is flat, at 1 percent, up from minus 4 percent in 2012. North America, specifically, is projected to grow 3 percent in 2013, up from 1 percent in 2012.
At Sunday's news conference, DuBravac said the industry is moving into a post-smartphone era as users spend more time on their devices doing almost everything but talking.
As an illustration, he pointed to Apple's "Hello" ads, which promoted the first iPhone with pictures of famous movie stars answering their home telephones. The ad ended with an iPhone ringing and the word "hello" popping up on the screen.
Today, ads for smartphones barely mention telephone features.
Apps, and how you interact with them, have taken center stage, as well as the speed your phone can access the Internet and how much data you can access.
"We are quickly becoming digital omnivores," DuBravac said.
DuBravac added that smartphones are now in more than 52 percent of U.S. households, and there was broad adoption and broad penetration of tablets within the past year.
By the end of 2012, tablets could be found in 40 percent of U.S. households, up from 20 percent at the first of the year.
"The smartphone is becoming, literally, the viewfinder for your digital life," DuBravac said.
And as CES 2013 gets rolling, DuBravac said it's going to be the "largest app event in the world."
Why? Because, DuBravac said, we are in the age of algorithms.
People are using apps and their resulting data for everything from measuring stress levels and counting calories to tracking their spending.
"In the age of algorithms, data is the new currency," DuBravac said.
Contact reporter Laura Carroll at lcarroll@reviewjournal.com or 702-380-4588. Follow @lscvegas on Twitter.