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Strategy Analytics: DBS Market Offers GaAs Volume Growth but Limited Revenues

Business Wire, June 23, 2008

DVR and Interactive Functionality Pushing Up LNB Numbers

BOSTON -- Strategy Analytics' latest forecast, "GaAs Device Demand from Direct Broadcast Satellite Markets 2007-2012," projects healthy GaAs component demand through 2012, as direct broadcast satellite (DBS) platforms continue to implement digital video recorder capabilities that allow consumers to record content, pause live TV and skip advertisements. Demand will largely be derived from the LNB function where GaAs component volumes will increase at a CAAGR (compound annual average growth rate) of 12 percent through 2012.

The increasing popularity of personal video recorders (PVRs) / digital video recorders (DVRs) requires multiple tuners in the set-top box as well as multiple LNBs (low noise blocks) to deliver two or more content channels to the consumer and to implement functionality, such as the ability to record programs while viewing another channel.

"PVR/DVR functionality translates to multiple LNBs, thus GaAs will benefit from this trend as multiple components are used in LNBs," observes Asif Anwar. "However, while volumes will increase, low ASPs will counter revenue growth with CAAGR limited to 6 percent through 2012."

Stephen Entwistle, VP of the Strategic Technologies Practice added, "The same trends lead to multiple tuners in set-top boxes but silicon technologies dominate this market. We don't envisage any major shift trends limiting overall GaAs demand from this market."

About Strategy Analytics

Strategy Analytics, Inc. - a global research and consulting firm - provides timely insights and strategic business solutions to companies operating at the convergence of information, communications and entertainment technologies. With worldwide headquarters in Boston, MA, and principal offices in England, France and Germany, Strategy Analytics focuses on market opportunities and challenges in the areas of Automotive Electronics & Multimedia, Digital Consumer, Wireless Strategies and Enabling Technologies. For more information, see www.strategyanalytics.com

COPYRIGHT 2008 Business Wire
COPYRIGHT 2008 Gale, Cengage Learning
 

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