As the pandemic fades into the rearview, the commercial integration industry is clearly back. The latest data from AVIXA shows the industry beating forecasts and keeping pace with the record revenues of 2022 in Q4. That said, the systems being installed now have a distinctly different flavor. As 2024 rolls in, market shifts are going to cause a surge in demand for certain solutions in the commercial integration space.
Trend #1: Audio Everywhere
The demand for refreshed office spaces is particularly strong — research from Resume Builder finds that 90% of companies anticipate returning to some form of in-person work by the end of this year. People don’t want to return to a silent space; our dealers are reporting they’re putting distributed audio into more projects than ever before, using audio for ambiance and privacy. In 2024, no commercial application will be complete without a 70V sound system.
Rising Demands
As a result, it’s a perfect time for dealers to update your audio solution portfolio. You’ll need new solutions to meet an emerging set of unusual demands. In 2024, we’re anticipating higher demand for:
- Pendant/mounted 70V speakers: A lot of these sound systems are going into existing spaces, where you won’t always be able to use architectural speakers — they need high-quality pendant, wall-, and floor-mounted options to sneak speakers into retrofits with minimal architectural disruptions.
- Speakers designed for sound isolation: With 70V audio systems going into spaces like corporate offices and educational facilities, preventing sound “bleed-through” is essential. Integrators need solutions that deliver power and quality — but only in the intended coverage area. As a bonus, excellent sound isolation characteristics tend to limit vibrations that can damage delicate architectural materials.
- Budget-conscious speaker options: As the hospitality industry returns to full steam, dealers are outfitting more new and retrofit 70V systems in bars and restaurants. These music-forward projects always require about twice as many speakers as the owners anticipate. Having some cost-conscious speaker options is a must for these price-sensitive customers.
- Integrated DSPs: In any application, from classrooms to bars to church sanctuaries, a DSP can help tailor the audio system response to suit the needs of the application and the acoustic properties of the space. We’re seeing high demand for amplifiers with built-in DSP capabilities, simplifying overall system design while helping to ensure a satisfactory result for the client.
Trend #2: USB-C Gets to Work
No connector has ever carried as much hype — or frustration — as USB-C. Last year, however, the standard hit a few key milestones that make it safe to assume the USB-C sunrise is finally dawning. Specifically, Apple released the iPhone 15. As with any Apple release, there was the usual amount of pomp and circumstance, but with one key differentiator: the new phones all have USB-C ports.
While their rivals at Android have embraced USB-C for years, Apple’s hand was forced ever so slightly — the European Union (EU) passed a law requiring all phones sold in the EU to have a USB-C connection by the end of 2024.
Apple’s shift is creating bigger opportunities across the industry. Future Market Insights predicts the USB-C market will expand by nearly 24% by 2033.
Unique Opportunities With USB-C
For commercial integrators in 2024, USB-C represents a unique opportunity to provide solutions that bid farewell to many previous headaches:
- Simplicity All Around: USB-C has been called the “Swiss Army Knife of Cables” because of its ability to handle a wide array of tasks across numerous devices. We expect to see more integrators embracing USB-C as a solution over legacy connectors, particularly for conference room applications. With fewer wires and adapters, this simplified approach to integration also begets ease of use for the consumer who knows starting meetings promptly and without technical difficulties are paramount for success.
- Future-Readiness: USB-C transmits data at a higher rate, giving it a leg up in the 4K video space. We expect to see more commercial integrators preaching the long-term benefits of USB-C, alongside an expected rise in demand for complimentary extension products.
Trend #3: Fiber Cable Cloudburst
If USB-C adoption is the new dawn for commercial integrators this year, then widespread fiber cable usage is its own cloudburst. Facilitated by a perfect storm of circumstances creating demand, including more people returning to offices and schools and rising data bandwidth demands, Grand View Research reports an expected revenue forecast for the industry of $14.93 billion by 2030, or about 7% growth over the next decade.
In the past, fiber could be prohibitively expensive to produce and install. But, thanks to lower production costs, more manufacturers are in on the game and fiber cabling is in the mainstream this year.
Commercial integrators can pass on these cost savings to the end user while creating new avenues of growth. Falling fiber costs will allow integrators to build winning bids for big projects, including large-scale campus installations where long-distance transmission without signal loss is required, healthcare facilities where fiber is the only solution for life-saving communications, and government facilities where security is the highest priority.
Concluding Thoughts
As technology matures, consumer expectations will continue to shift. Integrators need to be ready to supply next-gen infrastructure to supply ever-increasing bandwidth requirements, whether it be through USB-C adoption or fiber cabling’s evolving versatility. Simultaneously, integrators will need to expand their lineup of 70-volt products to meet the needs of a rising number of diverse audio projects. Between infrastructure and audio upgrades, there are plenty of core AV upgrade opportunities for integrators this year.
Mark Corbin is president, Vanco International.