Shipments of interactive displays in key Western European countries slowed in the second quarter of 2023, dropping 5.3% year-over-year. However, the long-term outlook remains positive according to research firm Omdia.
96,000 interactive display units were shipped in Western Europe in Q2’23, down from 102,000 in Q2’22. Italy saw the steepest decline, with shipments falling 27,000 units as government education technology initiatives faltered. Germany and France also saw drops, partly due to underwhelming digital classroom spending programs. In education, the post-pandemic rush to upgrade classrooms spurred interactive display adoption. The UK was an early leader in deploying the technology, with Germany now catching up thanks to major national digital education funding. Other major European markets have been slower on uptake.
Italy recently saw success with EU and national government digital education grants. But major opportunities remain in France and Spain where interactive display penetration lags the addressable market. France is a standout opportunity given the variance compared to the similarly-sized UK market. Lack of IT infrastructure and skills may pose challenges as seen in early German deployments.
Despite the temporary setback, Omdia forecasts a 5% compound annual growth rate for interactive display shipments in Western Europe from 2023-2027. Growth drivers include the ongoing, albeit slower, digitization of classrooms along with early adoption in corporate environments.
The corporate sector presents a major opportunity as enterprises embrace hybrid meeting room models requiring interactive displays. However, uncertainty around optimal office and meeting room layouts stalled investment. With large companies now deciding on hybrid policies, interactive display spending is poised to increase.
Given these limiting factors, Omdia believes the near-term boom years have passed. However, Western Europe still presents strong growth potential for interactive displays in both education and corporate environments.