Audio & Video Equipment Manufacturers

The 525 Audio and video equipment manufacturers in the US produce electronic audio and video equipment for home entertainment, motor vehicles, and public address and musical instrument amplification. Products include stereo equipment, speaker systems, televisions, household-type video cameras, jukeboxes, microphones, and amplifiers for musical instruments and public address systems. Large firms typically enjoy scale benefits, while small firms compete by offering specialty products.

Inventory Obsolescence

Rapidly evolving technology and fast product development cycles, which characterize the audio and video equipment manufacturing industry, can lead to inventory obsolescence.

Dependence on Foreign Contract Manufacturing

Although US firms play a significant role in the domestic audio and video manufacturing market, foreign production in countries with lower labor costs is the norm.

Sep 24, 2026 - Slow Tech Growth Challenges AV Makers

• Circana expects US consumer technology revenue to rise about 1% in 2026 and by less than 1% in both 2027 and 2028, pointing to a slow-growth environment for US audio and video equipment manufacturers as consumers become more selective about technology purchases. Higher selling prices could support revenue even if unit demand remains soft, but consumers’ focus on utility and long-term value may make discretionary upgrades harder to drive. Rising logistics expenses, component costs, and trade-policy uncertainty could also pressure production costs and margins. Manufacturers that pair meaningful innovation with practical benefits and longer product life may be better positioned to capture spending in a market where growth is increasingly concentrated in products that clearly demonstrate value.
• Computer and electronic products expanded in August 2026, broadly matching the overall manufacturing sector, which remained in growth at a 54.6 PMI, though momentum slowed, according to the latest ISM Manufacturing PMI report. The segment reported higher new orders, inventories, backlogs, and export orders, while customer inventories were too low, a positive signal for future production. However, production declined, employment was unchanged, supplier deliveries slowed, input prices increased, and imports fell. Overall, the segment showed solid demand but faced supply-chain strain and rising costs, making its August performance more mixed than the broader manufacturing expansion.
• AVIXA's May 2026 Pro AV Business Index points to a stable but cautious outlook for US audio and video equipment manufacturers, with modest demand growth tempered by economic uncertainty and cost pressures. The AV Sales Index rose to 53.1, indicating continued expansion as spending on corporate office remodels offset weaker new construction and softer higher education demand. North America outperformed international markets, with a preliminary Sales Index of 55.6, reflecting stronger regional demand. The AV Employment Index slipped to 53.3 but remained in expansion territory, signaling continued hiring despite labor shortages and hiring freezes. Manufacturers may benefit from steady commercial demand, but persistent inflation, tariffs, and customer budget constraints suggest growth will remain measured as buyers delay projects and focus spending on renovations rather than new installations.
• GoPro’s Q1 results highlight ongoing challenges for the US audio and video equipment manufacturing industry, particularly in discretionary consumer electronics. Revenue fell 26% year over year to $99 million, while camera unit sell-through dropped 29% to approximately 313,000 units, reflecting weak consumer demand. Retail-channel revenue declined 35%, and subscriber counts fell 8% to 2.26 million. The results suggest consumers remain cautious about big-ticket electronics purchases amid economic uncertainty. However, GoPro’s launch of its new MISSION 1 Series cameras and expansion into professional imaging, defense, and aerospace markets underscore how manufacturers are seeking growth beyond traditional consumer markets. The company’s strong performance in subscription and service revenue, which remained flat at $27 million despite declining hardware sales, also highlights the industry's increasing focus on recurring revenue streams to offset volatile hardware demand.

Industry size & Structure

The average US audio and video equipment manufacturer operates out of a single location, employs about 20 workers, and generates $9 million annually.

• The US audio and video equipment manufacturing industry consists of about 525 firms that employ about 10,487 workers and generate about $4.7 billion annually.
• The industry is concentrated; the top 50 companies account for 84% of industry revenue.
• Large firms are generally the US subsidiaries of foreign companies, which include Samsung, Sony, and LG Electronics. Multi-national conglomerates dominate the industry. Large US companies include Bose and GoPro.
• While television manufacturing is included in the industry, foreign-owned firms produce the vast majority of TVs sold in the US. TVs assembled in the US typically use parts from abroad.