DIGITAL COLOR REVENUES $121BILL BY 2008

[Anonymous]

Digital Color Revenues Forecast To Reach $121 Billion by 2008

I.T. Strategies forecasts that worldwide ink jet (both narrow and wide format) and color electrophotography (EP) together generated revenues from sales of hardware, media and chemistry of $71 billion in 2003. By 2008, total digital color revenues are forecast to reach more than $121 billion, a CAGR of 11 percent. Chemistry (ink and toner) with revenues of almost $33 billion made up almost half of all revenues in 2003. By 2008, revenues from chemistry are expected to be almost $68 billion, representing about 56% of the market. Hardware revenues will drop from 35% ($24.7 billion) in 2003, to 20% ($23.6 billion) in 2008, reflecting the continuing rapid decline in hardware pricing.

Total Digital Color Market: Ink
Jet vs. EP

In 2003, ink jet revenues made up just
over 50% of total digital color revenues. By 2008, the percentage is expected to
drop to 46% as color EP grows by taking more share from monochrome EP printer
and copier applications. EP revenue is expected to continue to be the largest
revenue driver in the digital color printing market. This reflects the effect of
page volume increases and the corresponding increases in media and chemistry
revenues as monochrome laser printers and copiers are replaced by color laser
printers and MFP products.
According to Mark Hanley, President of I.T.
Strategies, “The growth in the color market is faster than I.T. Strategies had
anticipated in earlier forecasts primarily due to acceleration in acquisitions
of low-cost, color EP desktop printers.”

This acceleration has benefited
in particular HP, Canon, Konica Minolta, Okidata, and other leading desktop
color laser vendors

[Author]

March 27, 2005 at 10:13 AM