The global consumer electronics market, which has faced significant challenges in recent years, is poised for a major recovery.
Despite a steep $10 billion decline in revenue since its peak in 2021, industry experts predict that the market will rebound and reach a remarkable $1 trillion in sales by 2026.
According to data from Stocklytics.com, the consumer electronics sector has been buffeted by rising inflation and shifting consumer priorities, leading to substantial drops in spending. A $42 billion decline in 2022 and a projected $6 billion dip by the end of 2024 have dampened growth. However, after years of contraction, the industry is now poised for moderate, steady expansion over the next five years.
Figures from Statista suggest that global consumer electronics sales will hit $977.5 billion in 2025, with the $1 trillion milestone expected to be reached in 2026. By 2029, the market is forecast to grow by another 10%, reaching nearly $1.1 trillion. Over the same period, the sales volume is set to increase, with total units sold rising from 8.2 million to more than 9 million. The average price of consumer electronics is also expected to climb by 6%, reaching $121.7 per unit by the end of the decade.
Key market segments are driving this recovery, with smartphones, gaming equipment, and streaming devices leading the charge. According to Statista, smartphone sales are projected to grow by 8%, reaching $521 billion by 2026 and nearly $580 billion by 2029. The gaming sector will see similar growth, with sales expected to increase by 12%, reaching $38.3 billion by 2029. However, it is the streaming devices category that is set to see the most significant growth. Consumers are expected to spend nearly $17 billion on smart TVs, streaming boxes, and video players by 2029—a 40% increase compared to current levels.
While these key product categories will experience the strongest growth, other sectors such as computing, drones, and television equipment are expected to see more modest gains, with revenues rising by 12%, 11%, and 9%, respectively, over the same period.
Despite the challenges, the consumer electronics market is showing clear signs of resilience, setting the stage for a strong recovery as consumers return to spending and new technological innovations continue to drive demand.
