In the midst of such profound global and technological change, it can be tricky to ascertain exactly how well a sector is performing on a month-by-month, year-by-year basis. Reading Installation or walking the halls of the major trade shows can certainly give you a good impression of how innovative a given part of the industry is at any one time; what’s harder to discern is quite how much this is translating into sales.
In which context it’s cheering to learn from trade association and ISE co-owner AVIXA that pro audio is actually punching above its weight at present – albeit in a context of a less sunny outlook for pro AV per se. Sean Wargo, vice-president of industry insight at AVIXA, says: “While growth is slowing down for pro AV overall, pro audio is expected to outperform the total market. The current outlook for the core audio categories (speakers, microphones, headphones, and DSP/amps) shows around 5 percent growth annually from 2024 to 2026, compared to more like 3-4 percent in the broader industry. Arguably that describes a fairly healthy segment, particularly considering the general slower economic conditions.”
In fact, delving more deeply into the currents of pro audio reveals a sector that is proving remarkably resilient, both in terms of its performance across AV environments and its commitment to innovation. The widespread adoption of IP-based audio has certainly been an important contributor to the sector’s dynamism, while immersive audio also looks to be an increasingly significant driver of sales. But less obviously salient developments – such as more seamless integration between systems and a general improvement in the user experience – have played a major role, too.
In this overview, we’ll look at the overall state of pro audio in pro AV, touching on current market challenges, broader economic and geopolitical influences, the specific product and application areas that are performing most strongly, and the impact of ongoing standardisation initiatives.
UNKNOWN IMPACTS
Invited to nominate the issues of greatest concern to pro audio market stakeholders at present, Wargo responds: “Macro-economics is impacted by geo-politics. Overall supply chain is no longer an issue, other than the challenges created by tariff uncertainty, which prompt questions about how to more cost-effectively source [what you require]. Fortunately, audio is not as impacted as the display market given the lower level of production in China. There is some [impact] of course, but not to the degree that displays are.”
Instead, he adds, the larger issue here is “the hedge effect that may occur within the end-user buyer community as they try to adapt to higher prices in other areas or hit their own businesses as demand slows. This may contribute to less demand for all pro AV, audio included. Fortunately, our research shows that audio is a high priority across many of the buyer segments. It is just that uncertainty can have unknown impacts, particularly if the larger economies, like the US, tip into recession”.
Grant Youngman, senior market analyst – professional audio at Futuresource Consulting, also highlights uncertainty as the common theme of many current issues and events. “It certainly feels like this level of uncertainty has become the ‘new normal’ – at least for the next three and a half years!” he says. “The industry is no longer dealing with isolated events; we’re dealing with a complex mix of issues affecting the entire globe.”
For instance, he adds: “The various tariffs imposed are just one piece of a much broader challenge. When layered onto the Covid-era disruptions, subsequent economic instability and current global tensions – from Ukraine to the Red Sea – it becomes difficult to attribute market shifts to any single factor. To navigate this environment, manufacturers need to build resilience by diversifying supply chains, exploring regional production, and enhancing operational agility. Strategic forecasting and real-time insights are crucial.”
PRIZING PREMIUM
The latest Global Loudspeaker Market Report from Futuresource provides a wealth of insight into the somewhat complex nature of the pro audio market in 2025. After last year’s premium loudspeaker overview pointed to steady growth but a “divergence of fortune at the sector level”, the new report reveals that while unit shipments fell by 5 percent in 2024 to 10.3m, overall market value held firm at $3.9bn – suggesting that the industry is witnessing a shift towards higher margin, premium-led opportunities.
Asked whether this development was a surprise, Youngman replies: “We anticipated that premium loudspeakers would perform well with live entertainment making a comeback. But the sheer scale of their success – and the decline in demand for the other tiered products and in certain verticals – caught many by surprise. 2023, and moving into 2024, saw some huge names with global tours which utilised the most premium brands in the industry; plus, rental companies moved further towards premium products due to rider requirements and other factors which supported the increase in value.”
He is not alone in pinpointing live events as having contributed much to pro audio momentum emerging out of the pandemic era – and into the current one, where there is a pronounced cost of living crisis and most people’s incomes are not remotely keeping pace with inflation. (In the UK, the Institute for Emploment Studies recently reported that inflation outpaced wage growth by 2-3 percentage points annually between 2022 and 2024.)
“Consumers have shown great resilience thus far in getting out to be entertained,” notes Wargo. “This is shown in robust ticket sales and that revenue is translating into investments in audio systems to support. Growth here was over 8 percent in 2024 and expected to be close to 6 percent this year on what is already the largest area of spending for the core audio categories. This is a continuing aspect of the broader experience economy powering much of pro AV.”
But whilst the live resurgence has been fundamental, there are plenty of other factors in the mix. Youngman notes: “I don’t think it was solely due to the performance in live, though. It’s clear that during the pandemic/post-pandemic phases, brands that made deliberate, forward-thinking decisions to protect margins and position themselves for long-term recovery – rather than chasing short-term volume – are now reaping the benefits. This foresight enabled them to capitalise on the return of live performance and the growing appetite for immersive, premium audio experiences.”
Moreover, there are plenty of signs that the shift towards premium loudspeakers is influencing the wider pro-audio ecosystem, with growing investment in high-end amplification and DSP platforms in stadiums and theatres. Scalability is also a primary watchword as operators look to accommodate a broader range of productions, from stand-up comedy to immersive theatrical productions with huge casts.
“Amplifiers and DSPs are also on the [ones to watch list], primarily due to their central role – alongside loudspeakers – in delivering immersive and scalable installations,” says Youngman. “Current immersive technology is expanding beyond elite venues, like theatres, into museums and hospitality venues, creating significant demand for integrated solutions.”
ISE managing director Mike Blackman agrees: “Immersive audio continues to gain significant momentum across the pro audio landscape, evolving from a high-end niche into a fast-expanding segment with broader industry impact. Once primarily seen in premium installations such as flagship theatres, concert halls, and large-scale experiential events, immersive solutions are now becoming more attainable, both technically and financially.”
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