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Shipments Up, Revenues Decline, in Some MPEG IC Markets


SCOTTSDALE, Ariz., July 19, 2006 - Markets for MPEG video ICs continue to grow in unit terms according to In-Stat ( The consumer market for MPEG encoders and codecs in DVD recorders and PC-TV tuners, in particular, are driving increases in unit shipments, the high-tech market research firm says. However, in the case of MPEG decoders for DVD players and online network receivers, declining Average Selling Prices (ASPs) are bringing down revenue.

“There are more and more markets for MPEG video encoding and decoding functions,” says Michelle Abraham, In-Stat analyst. “While some of these will remain small, others, like mobile handsets, offer large unit opportunities.”

A recent report by In-Stat found the following:

* H.264 decoder ICs are being used in both mobile applications and line-powered devices.
* STMicroelectronics is again the largest supplier of MPEG decoder ICs in the Online Networks segment.
* In the DVD recorder market, IC solutions are integrating more functions, which helps keep prices stable. Revenue in this segment will grow to US$778 million in 2010.

Recent In-Stat research, MPEG Video ICs: Transitioning to H.264 (#IN0602964MI), covers the market for MPEG video ICs. It contains 2005 unit and revenue share, as well as five-year forecasts for the following MPEG video IC categories:

* Consumer MPEG-2 Encoder ICs
* MPEG-1 Decoder ICs
* MPEG Decoder ICs for DVD Players
* MP@ML MPEG Decoder ICs for Online Networks
* MPEG-2 MP@HL Decoder ICs
* MPEG-4 ICs for Mobile Applications
* H.264 Decoder ICs for Line-Powered Applications

This research is part of In-Stat’s Multimedia & Interface Technologies Service, which identifies and forecasts key interface technologies and multimedia semiconductors. It examines competitors, industry agendas, market shares, technology platforms, semiconductor technology and shipments. Technology penetration within a myriad of end equipment markets is explored. Supply and demand-side insights are combined to examine these dynamic, evolving technologies.

For more information on this report, please visit: or contact Erin McKeighan at 480-609-4551 or The report price is $3,495 (US).

In related research, In-Stat found that, mobile TV broadcast subscribers worldwide will reach 102 million by the end of 2010, a giant leap from 3.4 million in 2006. Recognizing that using cellular networks to deliver content that millions want to watch simultaneously requires much greater bandwidth than is currently available, carriers are turning to mobile TV broadcast networks, which have a much lower cost per bit for video delivery. Recent In-Stat research, “Mobile TV Broadcasting Now Out of the Gate” (#IN0603200MBS), covers the burgeoning worldwide market for mobile TV services. For more information on this research, please visit:

To purchase this research, or for more information, please contact Erin McKeighan at 480-609-4551; The price is $3,495 U.S. Dollars.


* Title: MPEG Video ICs: Transitioning to H.264
* Service: Multimedia & Interface Technologies
* Product Number: IN0602964MI
* Publication Date: July 2006
* Number of Pages: 57
* Price: $3,495 U.S. Dollars
* Abstract, Table of Contents, Figures & Tables
* Members Only Access: Full text HTML , PDF

Market Research from In-Stat

In-Stat offers a broad range of information resources and analytical assets to technology vendors, service providers, technology professionals, and market specialists worldwide. The company stands alone in its ability to integrate both supply-side and demand-side research methodologies into a single comprehensive view of technology markets and products. This capability relies on a unique ability to cover the entire value chain from engineering-level technology, through equipment, infrastructure, services and end-users.

In-Stat is a strategic segment of the $8 billion Reed Elsevier global information network, with access to an expansive worldwide electronic network, extensive technology databases and well-informed personnel. In-Stat analysts gain exceptional insight into geographic market places and specific technologies within markets such as electronics, cable and wireless. As a member of Reed Business Information, In-Stat is a division of the largest business-to-business publisher in the U.S.


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