DTV Sales Still Strong

1-May-00

Factory-to-dealer sales of digital television (DTV) displays and sets reached their highest monthly total in March, making the first quarter of 2000 the best quarter yet for DTV sales, according to figures released by the Consumer Electronics Association (CEA). Monthly DTV display and unit sales in March were 24,332, up seven percent over February sales and 343 percent over March 1999 sales. This brings total sales since the introduction of DTV (in August of 1998) to 202,586 units. CEA also released first quarter sales figures for stand-alone digital set-top receivers. Since January, 11,796 set-top receivers have been sold to dealers. These products can be connected to DTV monitors to receive DTV programming. In 1999, unit sales of set-top decoders reached 21,992.""DTV sales are still strong and we've had our best month - and best quarter - yet. Consumer interest in this technology is strong and introductory sales have demonstrated that they want the best picture and sound technology has to offer,"" said Gary Shapiro, President and CEO of CEA. ""Moving forward, sales of integrated sets and set-top receivers will continue to reflect the amount of available programming. Broadcasters and other content providers play a critical role in the rate of DTV adoption.""CEA recently released revised DTV sales projections, emphasizing the link between available broadcast programming and sales of DTV receivers. The long-range projections are based on three programming rollout scenarios. According to CEA, if broadcasters choose the ""fast lane"" to DTV and demonstrate 100 percent compliance with the Federal Communications Commission's (FCC) rollout schedule while providing a high percentage of digitally-originated content to consumers, DTV product penetration could reach 50 percent by 2006. If broadcasters take a ""middle of the road"" approach and experience continued station conversion delays while providing consumers with a high-percentage of up-converted analog content, DTV product penetration will be no more than 30 percent by 2006. Finally, if broadcasters choose the ""off ramp"" on the road to DTV - characterized by non-HDTV business models and delays related to reopening the DTV standard, DTV product penetration will only be 15 percent by 2006. For more information on the consumer DTV transition, contact CEA or go to www.DTVweb.org.The Consumer Electronics Association (CEA), a sector of the Electronic Industries Alliance (EIA), represents more than 600 US companies involved in the development, manufacturing and distribution of audio, video, mobile electronics, communications, information technology, multimedia and accessory products, as well as related services, that are sold through consumer channels. Combined, these companies account for more than $60 billion in annual sales.CEA also sponsors and manages the International CES - Your Source for Workstyle and Lifestyle Technology. All profits from CES are reinvested into industry services, including technical training and education, industry promotion, engineering standards development, market research and legislative advocacy.

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