Increased Quality and Lower Prices Raise Mass Market Appeal for Digital Cameras, IDC Says.

Worldwide Digital Camera Sales Will Approach 4.7 Million Units in 1999.

PRNewsWire: Later years of modest success performing express tasks in niche markets, digital cameras are on the verge of a mass-marketplace explosion. According to new research from International Information Corporation (IDC), in one case-common inhibitors are breaking downwards, opening the door for a new set of consumer applications that volition drive worldwide digital camera shipments to 4.7 million in 1999 and an astounding 22 million by 2003.

"With falling prices, increasing quality and resolution, and new applications, digital cameras have begun to attract the attention of the boilerplate consumer,'' said Kevin Kane, enquiry analyst with IDC's Digital Cameras and Scanners program. "The next several years will be key in determining what part digital cameras will play in leisure and business budgets and activities worldwide.''

Prices for digital cameras have been in a sharp decline over the past twelvemonth, and IDC believes the toll of owning these devices will keep to fall. "The main factors in the steep cost subtract are improvements in manufacturing capabilities and the development of economies-of-scale as well as the decreasing price of components such equally sensors and retention,'' Kane said.

Because of the falling prices, digital camera shipments will increase at a chemical compound annual growth rate (CAGR) of 48% through 2003 while revenues earn a slower 25% CAGR. IDC expects the worldwide market will total $6.4 billion in 2003.

IDC segments the overall digital camera market into soft brandish cameras, basic point-and-shoot cameras, photo-quality point-and-shoot cameras, professional mobile cameras, and pre-press, portrait studio cameras. The photo-quality bespeak-and-shoot segment is the impetus backside the overall market's growth. "Small and medium-sized business owners oft purchase these cameras for work but make use of them at abode besides. Every bit a result, more loftier- quality digital cameras are making it to the consumer market than e'er earlier,'' Kane said.

According to IDC, digital photographic camera apply is more prevalent in the U.S. and Nippon than in other worldwide markets. The two markets, however, await for very different traits in these products. U.South. users value simplicity in photographic camera design while the Japanese prefer compact, feature-rich devices.

IDC's report, Worldwide Digital Camera Marketplace Review and Forecast, 1997-2003 (IDC #B99S2172), provides a comprehensive view of the market place at every level of toll and functionality. IDC splits the marketplace into v segments and examines each thoroughly. The study presents market place forecasts past engineering and region (U.S., Nippon, Asia/Pacific [excluding Japan], Western Europe, ROW). It discusses key trends and competitive dynamics. To order a copy of the written report, contact Sue Beauregard at 1-800-343-4952, ext. 4774 or at sbeauregard@idc.com.