Top Trends in US Electronics for 2023

As we dive into 2023, the electronics industry in the United States is buzzing with new trends and innovations. From foldable devices to sustainable technology, this year promises to bring exciting changes to the gadgets and tech we use every day. Let’s explore the top trends shaping the US electronics market in 2023.

Key Takeaways

• Foldable devices are becoming more popular, with new designs and features making them a hot trend in 2023.
• Consumer robotics are advancing, bringing more smart robots into homes for various tasks.
• Biometrics technology is expanding, offering more secure and convenient ways to verify identity.
• AI is being integrated into mobile devices, making them smarter and more efficient.
• Sustainable technology is on the rise, with a focus on eco-friendly materials and energy-saving features.

Foldable Devices

Foldable devices are set to be the next big thing in consumer technology, with 2023 being a crucial year for their mainstream adoption. Although still niche now, Original Equipment Manufacturers (OEMs) are heavily investing in modern designs and new form factors, driving the growth of this category.

While Samsung has led the way with its Fold and Flip series, other big brands like Huawei, vivo, Motorola, and OPPO have also joined the foldable device trend, giving consumers more choices. The appeal of foldable devices is growing as people look for the convenience of a compact phone without giving up screen size.

ABI Research forecasts that shipments of foldable phones will reach 33.7 million units in 2023, with a strong Compound Annual Growth Rate (CAGR) of 77.9% between 2020 and 2025. This means shipments could hit around 68 million units by 2025. Although these devices are currently limited to certain regions, experts expect prices to drop over time, leading to higher demand and wider availability worldwide.

Consumer Robotics

The market for consumer robotics is growing fast. In 2023, shipments are expected to rise by 13.6% compared to 2022, with revenue increasing by 12%. This growth is driven by the home care robotics market, which is becoming more competitive. Overall, the market for consumer robotics and smart appliances is projected to reach 215 million units, an 18% increase from 2022. Revenue is also expected to grow by 9.6%, reaching $141.3 billion.

Recent advancements in technology are making robots better at interacting with their surroundings. These improvements mean robots can work more safely and efficiently. Some of the key uses for consumer robotics include:

• Optimizing space in homes and businesses
• Storing and using energy more efficiently
• Monitoring and ensuring safety in public areas

As robots become more advanced, they will offer new ways to innovate and improve our daily lives.

Biometrics Expansion

In 2023, there’s a growing interest in biometrics for electronic devices. This trend is driven by the need for quicker, easier, and more secure ways to unlock devices, authenticate payments, and control mobile apps. Familiar features like fingerprint authentication and facial recognition are becoming more common in smartphones and tablets. Companies are also developing new technologies like in-display fingerprint sensors and camera-based gesture recognition to stand out.

Here’s a look at the projected shipments of consumer devices with smart biometric features in 2023:

Note that these numbers only cover the most common biometric technologies. For example, wearables like smartwatches and activity trackers will see a total of 236.7 million units shipped with biometric features in 2023.

AI in Mobile Devices

Artificial Intelligence (AI) is rapidly advancing, transforming industries like healthcare, self-driving cars, manufacturing, and entertainment. In 2023, AI is set to be the game-changing technology of our time. Half of U.S. mobile users use voice search every day, showcasing the widespread adoption of AI in daily life.

In the smartphone domain, AI has revolutionized user experiences with features like voice assistants and smart photography. Leading chipset vendors, including Qualcomm and MediaTek, have introduced flagship models like Snapdragon 8 Gen 2 and Dimensity 9200, focusing on AI capabilities, such as enhanced cameras, immersive multimedia, gaming, and security. Smartphone manufacturers have partnered with these vendors to showcase the latest AI innovations in their devices throughout 2023.

AI is expected to see an annual growth rate of 37.3% from 2023 to 2030, indicating its increasing importance in mobile technology. Business professionals in the consumer technology world must embrace AI to leverage its potential, drive innovation, and gain a competitive edge.

Bluetooth in Consumer Devices

Bluetooth technology is becoming more common in smart homes, wearables, and other Internet of Things (IoT) applications. It is also growing in high-volume markets like wireless headsets and device accessories. Bluetooth-supported consumer device shipments continue to accelerate, reaching 4.7 billion annual shipments in 2022. Despite supply chain issues, this number is expected to surpass 5 billion in 2023, marking an 8.8% growth in sales year-over-year.

In smart homes, Bluetooth is expected to reach 685.5 million device shipments in 2023, a year-over-year growth of 24.5%. However, the biggest non-cellular Bluetooth market is home entertainment and connected home devices. This includes flat panel TVs, DVD/Blu-ray players, UHD Blu-ray players, gaming console controllers, and speakers. In total, home entertainment and connected home devices will account for 748 million Bluetooth shipments in 2023, or 14.7% of the total Bluetooth market.

Bluetooth innovations, including LE Audio and channel enhancements, are driving this growth. These advancements are making Bluetooth more efficient and versatile, meeting the increasing demand for better connectivity in consumer electronics.

Consumer AR/VR

The consumer Augmented Reality (AR) and Virtual Reality (VR) market is still finding its footing. The AR smart glasses market is in its early stages and needs more advanced technology, lower prices, and better content to attract consumers. However, 2023 is expected to bring significant growth with new device launches from Facebook, and possibly Apple and Google.

Gaming continues to be the biggest revenue driver for AR/VR. But other areas are also seeing growth:

• Tourism
• Mobile retail & marketing (e.g., virtual try-on)
• Education
• Social VR (including Facebook’s Horizon, VR Chat, and Rec Room)
• Sports and fitness (e.g., FitXR)
• Productivity/creativity apps (e.g., Facebook’s Infinite Office and the DJ app, Tribe XR)

In 2023, the augmented reality market size is expected to reach USD 71.2 billion by 2028, up from 25.1 billion in 2023, growing at a CAGR of 23.2% during this period. This growth is driven by advancements in technology and increasing applications across various sectors.

One exciting area to watch is the work environment in the metaverse. Companies like Microsoft and Nvidia are already developing platforms for more immersive meeting environments where people can talk, brainstorm, and co-create together.

Sustainable Technology

In 2023, sustainable technology has become a major focus in the electronics industry. Companies are increasingly adopting circularity technologies and programs to reduce waste and promote recycling. This shift is not just limited to consumer electronics but extends to industrial and manufacturing markets as well. The goal is to create a more sustainable future by integrating eco-friendly practices across various sectors.

One of the key areas of development is in smart energy solutions for enterprises and industries. These technologies aim to optimize energy use and reduce carbon footprints. Additionally, smart urban infrastructure is being developed to support sustainable living in cities. This includes everything from energy-efficient buildings to advanced waste management systems.

The rise of the Internet of Things (IoT) is also playing a significant role in promoting sustainability. IoT devices can monitor and manage energy use, water consumption, and other resources in real-time, making it easier to implement sustainable practices. As these technologies continue to evolve, they offer promising solutions for a more sustainable future.

According to the McKinsey Technology Trends Outlook 2024, the two trends that stood out in 2023 were generative AI and electrification and renewables. This highlights the growing importance of sustainable technology in the current landscape.

Smartphones

The smartphone market in 2023 is seeing significant growth, especially in the high-end and 5G segments. Despite supply chain issues, high-end and 5G smartphones have remained resilient. The affordability of 5G devices, combined with consumer interest in faster internet speeds, new designs like foldable phones, and better processing power, will drive smartphone growth beyond 2023.

AI has transformed how we use smartphones. Features like voice assistants and smart photography are now common. Leading chipset makers, such as Qualcomm and MediaTek, have released top models like Snapdragon 8 Gen 2 and Dimensity 9200. These focus on AI features, including better cameras, immersive multimedia, gaming, and security. Smartphone brands are working with these companies to bring the latest AI tech to their devices this year.

Biometric features like fingerprint and facial recognition are now standard in many smartphones and tablets. Companies are also developing new tech like in-display fingerprint sensors and camera-based gesture recognition. However, more complex technologies like vein recognition, iris scanning, and voice recognition are not as widely adopted yet.

Here is a table showing the shipment numbers for different biometric technologies in 2023:

Cable and Satellite TV

Cable TV subscriptions have been on the decline every year since 2017, and 2023 will be no different. ABI Research forecasts that cable TV subscriptions will decrease by -0.03% Year-over-Year (YoY) compared to 2022, totaling 495.5 million subscriptions worldwide. Satellite TV will fare no better, with subscriptions declining by -0.1% YoY, totaling 239.3 million for the year 2023.

The mature pay TV markets of North America and Western Europe have already been on a slow downward trend for years now, but unfavorable macroeconomic conditions only exacerbate this issue on a global scale. In the face of emerging inflationary pressures, rising interest rates, and fear of a pending recession, consumer behavior continues to lean toward “cord-cutting” to avoid long-term contracts. Helping ignite this consumer trend is the ever-increasing data throughputs available for home use, which makes alternative TV streaming services attainable for more people.

Healthcare Monitoring Applications

Healthcare monitoring applications are evolving rapidly, offering new ways to keep track of health. Many of the latest advances in remote monitoring for digital healthcare revolve around non-invasive devices and innovative technologies that reduce patient care costs. These tools help doctors and patients stay connected, even when they are far apart.

Key Trends

1. Non-invasive Devices: These gadgets can monitor vital signs without needing to break the skin. This makes it easier and safer for patients to keep track of their health.
2. Remote Monitoring: Patients can now use apps and devices to send their health data to doctors in real-time. This helps in quick diagnosis and treatment.
3. Cost Reduction: New technologies are making healthcare more affordable by cutting down on hospital visits and long-term care costs.

Benefits

• Better patient outcomes
• Easier access to healthcare
• Lower healthcare costs

Future Outlook

The future of healthcare monitoring looks promising with continuous advancements in technology. We can expect even more innovative technologies that will make healthcare monitoring easier and more effective.

Conclusion

In 2023, the landscape of US electronics is undergoing significant changes. From the rise of foldable devices to the growing importance of sustainable technology, the trends are shaping the future of consumer electronics. As companies continue to innovate and adapt to shifting consumer preferences, we can expect to see even more exciting developments in the coming years. Staying informed about these trends will be crucial for anyone looking to stay ahead in the ever-evolving world of technology.

Frequently Asked Questions

What are foldable devices?

Foldable devices are gadgets like phones or tablets that have screens which can fold. They offer a larger display when unfolded and are compact when folded.

How are consumer robotics changing in 2023?

In 2023, consumer robots are getting smarter and more helpful. They can do tasks like cleaning, security, and even companionship.

What is biometrics expansion?

Biometrics expansion means using more ways to identify people, like fingerprints, face recognition, and even voice. This tech is becoming more common in devices.

How is AI used in mobile devices?

AI in mobile devices helps with things like taking better photos, understanding voice commands, and even predicting what you want to do next.

Why is Bluetooth important in consumer devices?

Bluetooth lets devices connect wirelessly. It’s important for things like headphones, speakers, and even smart home gadgets to communicate without cables.

What is sustainable technology?

Sustainable technology focuses on making gadgets in ways that are better for the environment, like using recycled materials and creating less waste.