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In analyzing the present and future markets for radios, audio reproduction equipment, televisions, reproduced and intelligent video equipment and other electronic entertainment systems, they point to a number of factors which led to an almost l09o annual growth for the home entertainment industry between I 967 and 1981, including a steady increase in consumer affluence and spending, favorable demographic trends and declining equipment prices resulting from technological advances and increased competition. Sales of entertainment equipment rose from under $4 billion in 1967 to more than $13.5 billion in 1981. Predicasts expects the market to further expand to $17.5 billion by I 985, and to nearly $30 billion by the mid-1990s.

Television, an in-home novelty just 30 yeas ago, has long been, is now, and will continue to be the largest home entertainment market segment. Total sets in use will increase from about I 50 million in 198 I

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