IHS: Smartphones, Tablet Revenues to Exceed All CE

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Combined 2013 global factory revenues for smartphones and tablets are to grow larger than revenues for the entire CE market IHS forecasts-- a first in what the analyst says is a "dramatic sign" of rapidly changing consumer tastes.

IHS Mobile vs CE

According to IHS 2013 WW tablet and smartphone revenues will total $354.3 billion, 3% more than the $344.4bn factory revenue for the CE market covering anything from TVs and audio equipment to cameras, game consoles and home appliances.

As recently as 2012 the CE dwarfed mobile devices by 30%.

The undisputed driver for such dramatic growth is Apple-- as seen in the IHS chart (left), growth starts spiking from 2007 (year of the first iPhone launch) and 2010 (the first iPad launch).

"Consumer demand for smartphones and tablets has been flourishing in the past few years while sales growth for CE products has languished in the doldrums,” IHS says. “The fact that these two product categories are on their own able to generate more OEM factory revenue than the entire CE market illustrates the overwhelming popularity of smartphones and tablets.”

Meanwhile CE revenues are flat, with a CAGR for the 2007-2013 period of less than 1%. According to the analyst 14 of 20 CE categories show CAGR declines during the period while large categories (such as LCD TVs) see a gradual slowdown, with long-term contraction on the horizonn.

Go Combined Smartphone and Tablet Factory Revenue to Exceed Entire CE Market (IHS)