Dolby Gearing for Double-Digit Revenue Growth as Ecosystems Expand, Says Analyst

Amazon-branded Fire TVs with Dolby Vision -- announced last week and marking the first time Fire TVs have included Vision -- are part of growing momentum for Dolby's Vision, Atmos and Cinema platforms that are setting the stage for “double-digit revenue growth," wrote Dougherty & Co. analyst Steven Frankel in a Thursday research note. “All year,” Dolby has been expanding its ecosystem, “adding new partners, new devices and more content,” said Frankel, saying the company is operating in a "virtuous circle as broader adoption drives the creation of more content, encourages existing hardware partners to bring technologies like Vision and Atmos to more devices and attracts new licensing partners." He highlighted a $330 starting price for the Dolby Vision Toshiba Fire TV models, the upcoming TiVo Edge for Cable that supports the HDR format and recently launched Lenovo laptops with Dolby Vision. Apple now supports Dolby Vision on smartphones, the iPad Pro, AppleTV 4K and the Mac, Frankel noted, while Atmos is supported on the Mac and AppleTV. Netflix and iTunes continue to expand Atmos and Vision titles, “with little HDR10+ content available other than on UHD Blu-ray discs,” he said. The Dark Crystal: Age of Resistance, an upcoming original Netflix series in 4K, will also have Dolby Vision and Dolby Atmos, he said.