Pre-CES 2026 Outlook: US Consumer Tech Industry Poised for Continued Growth Despite Economic Headwinds

LAS VEGAS, January 4, 2026 — In the run-up to the Consumer Electronics Show (CES) 2026, the Consumer Technology Association (CTA) has released its latest U.S. Consumer Technology Industry Forecast, projecting the sector will reach $565 billion in revenue in 2026 — a robust 3.7% year-over-year increase — even as tariff pressures and broader economic uncertainty persist.

Unveiled during CTA’s Tech Trends to Watch session at Media Days ahead of the official CES opening on January 6, the forecast underscores the resilience and adaptability of the technology industry at a pivotal time. It reflects how companies are navigating a complex landscape of shifting supply chains and consumer cost pressures, while still advancing innovation across hardware, software and services.

“Even as tariffs and broader economic pressures intensify, Americans continue to invest in technology that improves productivity, connectivity, and quality of life,” said Gary Shapiro, CTA’s Executive Chair and CEO. “But the impact of economic uncertainty is becoming more visible as companies move through pre-tariff inventories and face tougher cost decisions heading into 2026.”

Key Takeaways from the CTA Industry Forecast

Steady Revenue Growth: The U.S. consumer technology market is forecast to generate $565 billion in 2026, with overall industry growth of 3.7% despite economic headwinds.

Hardware and Services Expansion: Hardware revenues are expected to grow by 3.4%, while consumer spending on software and services is projected to rise 4.2%, reaching nearly $194 billion — highlighting a sustained shift toward software-driven value and subscription-oriented services.

Unit Shipments Moderating: Unit shipments are forecast to grow more modestly at 0.7% in 2026, reflecting broader market saturation and evolving customer priorities.

Market Forces at Play: Consumers are increasingly seeking technologies that offer premium features, AI-enabled experiences and flexible financing options, signaling a growing preference for value-enhancing solutions.

Trends Shaping CES 2026 and Beyond

According to CTA’s forecast presentation, three major forces are expected to define the consumer technology landscape — and feature prominently throughout CES 2026:

Intelligent Transformation: Artificial intelligence (AI) is increasingly embedded across devices, platforms and services, enabling smarter systems and more personalized user experiences.

Longevity Technologies: Innovations in digital health, remote care and wellness tech are accelerating, driven by growing consumer demand for tools that support healthier, longer lives.

Engineering Tomorrow: Continued investment in electrification, mobility, energy management and infrastructure modernization is laying the groundwork for future technological advancements.

These themes — AI everywhere, health tech evolution and next-gen infrastructure — are expected to resonate across product launches, keynotes and exhibitor showcases when CES 2026 officially opens.

A Broader Context for CES Coverage

CES — owned and produced by the Consumer Technology Association — takes place January 6–9, 2026, in Las Vegas and brings together thousands of global innovators, media, and thought leaders to shape the future of technology. As CES continues to grow in scale and influence, ABT’s coverage will highlight the most impactful developments from the show floor, executive keynotes and expert discussions — with insights into how the industry is adapting to economic realities while pushing the frontier of innovation.

Stay tuned for more AsiaBizToday reports from CES 2026 with exclusive stories, interviews and video dispatches from the heart of the world’s most powerful technology event.

Photo Caption: (From L to R): Gary Shapiro, Executive Chair and CEO, CTA, John T Kelley, Vice President, CES and Show Director, CTA, Kinsey Fabrizio, President, CTA.