By: The Quinnipiac University Economics Team, Christopher Longchamp
The consumer technology sector has been exploding recently, getting a lift from the recent holiday season as well, but many are asking where it will go next. A recent study from Deloitte Romania is investigating what problems consumers might run into in 2022.
The first major technological devices they see as likely being in very high demand are wearable health devices. Deloitte Romania projects that these devices could see an increase in sales up to 220 million devices in 2022. These devices could include anything from heart rate monitors, workout tracking devices, and many more. Deloitte Romania also expects to see the sales continue to increase to 440 million devices in 2024, nearly doubling physical sales in just two year’s time.
The second major market that could see increases in demand is the gaming market. Deloitte Romania believes that the gaming market could pass the mark of 900 million consoles sold in 2022. As demand continues increase in the gaming market, look for prices to increase as newer consoles come out, especially with the supply of devices and components for devices – namely chips and processors – remaining constrained, continuing the hit they have taken during the pandemic.
Lastly, the semiconductor shortage should continue into 2022 according to the company. The shortage has been continuing because of the increase in demand for the materials needed in their production coupled with a skyrocketing demand for their final usage. The shortage is not expected to be as bad as in 2021, but the market is not fully expected to recover for at least another couple of years. The final result then should be rapidly rising prices for chips and components which will also feed into higher final goods prices in these growing markets.