Asia-Pacific is expected to surpass the dominating revenue share of North America in the foreseeable future as the region is on the verge of a serious transition from analog to digital broadcasting.
As the world transitions from analog content to digital broadcasting, broadcast switchers have an important role to play. A remarkable demand for broadcast switchers is perceived in the developing countries of India, Japan, Africa, Ukraine, and Russia amongst others as they are working toward changing their content and conforming to ITU guidelines.
Increasing usage of social media, YouTube, video streaming channels, live video games, seminars, sports events and web broadcasting need advanced broadcast switchers that help to capture data from multiple sources and also enable broadcasters to switch between multiple cameras, game consoles, and computers in real time. Advancement of broadcast technology creates new opportunities for broadcasting equipment manufacturers.
Globally, broadcast switchers play an important role in live events and smoothen the live HD video telecasting across multiple channels to improve viewers’ experience across multiple devices. The opportunity in the global broadcast switchers market is estimated at USD 2.47 billion by 2024, rising from USD 1.6 billion in 2017. The market is expected to expand at a strong CAGR of 6.1 percent. The complicated issues of broadcasting ultra-high definition (UHD) and high-definition (HD) is the foremost reason why users and service providers are adopting broadcast switchers. Moreover, changing television-viewing preferences are also expected to create new demand. The growth in this market is also being supplemented by the stiffening competition between production houses that has translated into a need for improved production automation technologies for broadcasting content on television. The broadcast switchers market is also being augmented by the rise in the number of sports events being streamed live, which require excellent automation for transmitting seamless visuals.
However, this substantial growth in demand for broadcast switchers is mainly down to the evolution of analog broadcasting to digital broadcasting. The strict ITU regulations along with the increasing awareness of the digital advancements in the broadcasting sector such as quick accessibility, myriad channels, and convenient storage are anticipated to drive market growth.
Factors Driving the Growth
Sports Broadcasting to Surpass All Application Segments
The historical analysis of the market indicates that the studio production segment was the largest application segment in the overall market. The unique ability of the segment with adaptation to HD and SD content has made it a popular choice amongst business owners. The new production segment and sports broadcasting are likely to make their presence felt in the global market as viewers demand live broadcasts of important events.
Emerging Economies to Surpass Established Nations in Market Share
Numerous countries are now transitioning from analog to digital broadcasting. This transition offers a significant boost to growth opportunities across the broadcast switchers market. This expanding trend-switch to digital content in wide untapped markets of developing regions is expected to contribute considerably to the development of the global broadcast switchers market in the coming years. The developing regions are expected to surpass the share of developed economies, such as Japan, the United States of America and Western Europe.
North America will continue its dominance in the overall market due to an influx of HD channels. Furthermore, remarkable growth in studio production and sports broadcasting is also anticipated to play a crucial role in the rise of this geographical segment. However, it is anticipated that Asia-Pacific will surpass the revenue share of North America in the foreseeable future as the region is on the verge of a serious transition from analog to digital broadcasting.
High Cost Remains a Concern
Broadcast switchers require huge investment in equipment, which can pose a significant hindrance in the overall market growth. Expensive nature of creating a sound infrastructure with camera control units, light equipment cables, encoders, convertors, and on-field audio recorders will possibly create a major barrier in the development of broadcast switchers market. This rising investment cost on equipment will have an adverse effect on the medium to small-sized businesses. Moreover, cross-platform accessibility of television is also posing a threat in widespread adoption of broadcast switchers across the world.
Players in the Competitive Market
The prominent market players in the competitive market landscape of the global broadcast switchers market are now concentrating on developing 4K resolution broadcast switchers based on IP. A remarkable trend among several key players is their effort toward providing services with respect to the arising demand in developing countries.
In the coming years, the insurmountable penetration high-definition televisions sets will propel the use of these switchers. Several companies in the market are looking at developing IP-based 4K resolutions broadcast switchers to tap the unmet demand for high-quality content in the market. In addition to this, these players will also strive to cater to the varied and unique demands of developing countries to win bigger shares in the overall market dynamics. An outlook of the global broadcast switchers market shows that the companies need to closely monitor the expanding demand from the developing nations where the rising popularity of using the multiscreen platform will propel the sales of 4K, HD, and IP-based broadcast switchers.