CTA mid-year report pegs 2019 on-demand music revenue at $8 billion

The Consumer Technology Assocation released its latest projections, anticipating that 2019 will see $401 billion in retail revenue for consumer technologies in the United States. The report suggested that growth in streaming services, AI-enabled devices, and in-vehicle technology would be key in driving that 2.2% on-year increase.

The prediction estimated that total consumer spending on software and streaming services would grow 14% to $75.6 billion. That figure includes music, video, and gaming platforms. CTA said that on-demand music’s revenue would likely surpass $8 billion this year. The projected 33% growth in revenue would be bolstered by increased interest in related hardware such as wireless earbuds and smart speakers. CTA predicted that smart speakers would see continued growth in 2019. The report estimated 35.2 million units sold for $3 billion in revenue.

These results generally pushed the industries ahead compared with the CTA report┬áreleased at the beginning of the year. The group’s update from January 2019 had set predictions of 36.6 million units sold for smart speakers and $7.7 billion for on-demand music streaming revenue.

The prediction also bodes well for any upcoming missives from the RIAA. The trade group reported that total streaming revenue in 2018 reached $7.4 billion, with subscriptions responsible for $5.4 billion.

Anna Washenko