Superior Sound Needs Might Complement Home Entertainment Growth

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The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

Revenue in the home entertainment industry could reach almost $12 billion globally in 2021. By 2025, that figure could be closer to $17 billion, according to market research.

Multiroom music devices, remote controls dedicated to entertainment use, and streaming devices are all included in the research conducted by Hamburg, Germany-based data analysis company Statista.

Such figures could bode well for technology leader Wireless Speaker & Audio Association (WiSA), a consortium dedicated to providing superior wireless sound via intelligent devices. WiSA was founded by San Jose, California-based Summit Wireless Technologies Inc. WISA.

U.S. Dominates as Household Penetration Grows Globally

While it is the U.S. that dominates revenue in the home entertainment sector — approximately $3.3 billion in 2021 according to Statista data — other countries are also making big contributions. China accounts for $1.7 billion with a similar figure for the United Kingdom and Germany combined.

The projected increase in revenue stems from a growing penetration of global households set up for sophisticated home entertainment, Statista’s report says. While such household penetration amounts to an estimated 4.7% in 2021, that figure will increase to 11.2% in 2025, equivalent to 253.4 million users.

The Statista data highlights well-known companies in the multiroom music device category such as privately held Bose, Sony Corp. SONY, and Panasonic Corp. (TSE: 6752) PCRFY and also points to other competitors like Sonos SONO, established in 2002, and Klipsch Audio Technologies, a subsidiary of Voxx International VOXX.

WiSA, which partners with a number of consumer electronics manufacturers to integrate its technology with its products, actively markets Klipsch products. WiSA’s Amazon Storefront, for example, sells Klipsch subwoofers and speakers.

The smart speaker trend has already taken a “considerable share” of the home entertainment segment, according to the Statista report. “Companies have to adopt and integrate smart assistants,” it adds.

WiSA Says It Is Positioning Itself To Meet Growing Trends

The smart speaker trend is one among others that WiSA is aiming to exploit.

As well as the Amazon Storefront, the consortium partners with about 40 retailers in the U.S. to market its technology and how it all fits with the big consumer electronics manufacturers and their products.

As well as companies like Klipsch in the speaker space, it also works with arguably better-known players like Denmark’s Bang & Olufsen BGOUF. WiSA also has strategic partnerships with LG Innotek and Microsoft Corp.’s MSFT Xbox among others.

As the home entertainment sector grows over the next few years, WiSA states that it will be aiming to meet growing consumer expectations of what the company calls on its website the “ultimate immersion into movies, music, and e-sports.

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.