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High-end Entertainment Systems Market Projected to Nearly Double in Five Years

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Adoption of networking technologies will make installed home theaters and multiroom audio systems more affordable, opening up this market to more consumers at low-to-medium income levels, according to Parks Associates’ new report High-end Entertainment Systems: Analysis and Forecasts.

Total U.S. revenues for installed home theaters and multiroom audio systems will grow from $6 billion in 2007 to more than $11 billion by 2012, and analysts forecast the number of new installations to grow 67% over the same period, from 166,000 per year in 2007 to 277,000 by 2012.

“The high-end A/V market is in a major stage of transition,” said Bill Ablondi, Director, Home Systems Research, Parks Associates. “Digital content is approaching the performance and quality of analog media, with the added flexibility only digital content offers. Reduced costs coupled with advancements in wireless and powerline networking technologies are also growing the retrofit portion of the market, at a time when mid-market construction is slowing down. Soon PC-based systems from companies such as Dell, HP, and Cisco will compete for customers who traditionally purchased systems from JBL, Sony, and Yamaha.”

“Currently, the majority of high-end A/V customers are wealthy,” Ablondi said. “In addition, most installed entertainment systems are sold into new homes or homes going through a major renovation. This mix will change as builders, installers, and integrators become more accepting of ‘no-new-wires’ technologies.”

High-end Entertainment Systems: Analysis and Forecasts features surveys and research of principals in the home systems installation channel and updated forecasts for home theater, multiroom audio and media server systems, and home entertainment networks.

For more information, visit http://www.parksassociates.com

About Parks Associates:
Parks Associates is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, primary studies, consumer research, custom research, workshops, executive conferences, and annual service subscriptions.

The company’s expertise includes new media, digital entertainment and gaming, home networks, Internet and television services, digital health, mobile applications and services, consumer electronics, and home control systems and security.

Each year, Parks Associates co-hosts executive thought leadership conferences CONNECTIONS™ and CONNECTIONS™ Europe in partnership with the Consumer Electronics Association (CEA). In addition, Parks Associates produces the online publication Industry Insights in conjunction with the CONNECTIONS™ Conference series.

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