Earlier this month, AVIXA announced the results of its annual IOTA (Industry Outlook and Trends Analysis) survey, which mixes the results of field surveys and aggregated data, to provide an overview of the evolution of the Systems Integration market.
Nothing new (unfortunately): the AVIXA IOTA survey showed a drop of 17% recorded globally by the sector due to the pandemic, and sadly it had to also revise its forecasts. If in mid-2020 2021 was hailed as the year of recovery (see our report on the IOTA survey of 2020), unfortunately this is only true today for some regions, those that adopted stricter restrictive measures at the beginning of the pandemic and therefore today have accumulated greater momentum and further felt the gap between Asia and, in particular, old Europe.
The EMEA region has suffered the most from the pandemic, recording a drop in spending on AV products and services of nearly 20%, compared to – 16.1% for the APAC region and -16.7% for the Americas, where the USA is the driving force. But it's not all as bleak as it appears at first glance: the 232 billion global spending forecast for 2021 will increase at an annual growth rate of 7.2%, to reach a global spending on products and services of 329 billion dollars in 2026.
So, patience is the answer? In the meantime, it should be kept in mind that the fastest growing sectors (and maintained, even during 2020) were obviously Collaboration, with 43.5 billion USD in 2021, which will reach 50 in 2026. Following is Digital Signage, which will go from 32 billion in 2021 to 44.7 in 2026, encouraged by the progressive reduction in display prices, and supported by the sale of Media servers, the main product category in the segment.
As expected, opposing this is the events and entertainment market, which recorded a decline of almost 50% in revenues, and for which a slower recovery is also expected, also due to the individual reluctance that people show to participate in events in person: in 2026 it will reach 30 billion USD for entertainment, and a little more than that for live events.
“In early 2020 there was a lot of optimism that initial closures and other measures would help most regions weather the worst of the pandemic, thus allowing economies to rebound and AV professionals to benefit. Although true in parts of Asia, this has not been the case in much of the world, so professional AV fared worse than our initial predictions.” explained Sean Wargo, Senior Director of Market Intelligence, AVIXA. "The good news is that we are now seeing a significant recovery, so strong growth dominates our revised estimates for the future”. We’re keeping our fingers crossed, and our minds awake.
To learn more about the 2021 AV Industry Outlook and Trends Analysis (IOTA), visit www.avixa.org/IOTA.
This post is also available in: Italian