2000 DTV Product Sales To Date Surpass All Of 1999

Despite Delays By Some Broadcasters, Consumer Transition Moving Forward

24-Jul-00

According to figures released today by the Consumer Electronics Association (CEA), factory sales to dealers for digital television (DTV) displays for the month of June were 26,750, the biggest sales month to date for DTV. June figures brought DTV display sales for 2000 to 129,438, surpassing total display sales in 1999 (121,226). These figures include DTV and HDTV display monitors that require the addition of a set-top box to receive digital broadcasts as well as DTV and HDTV sets that include a DTV tuner. In addition, 17,671 stand alone set-top receivers have been sold to dealers since January 2000. ""These numbers demonstrate that despite limited broadcast programming and some who advocate delays in the broadcast community, consumers are buying DTV,"" said CEA President and CEO Gary Shapiro. ""Non-broadcast digital and high-definition content is available to consumers via satellite and, in some markets, via cable. And many consumers are simply opting to buy DTV and HDTV displays now - to enhance their analog TV and DVD experience."" To date, the majority of DTV factory sales have been DTV and HDTV displays that require the addition of a set-top box to receive digital broadcasts. In 1999, 17 percent of the total DTV products sold (including monitors, integrated sets and digital set-top receivers) were capable of receiving digital broadcasts. CEA expects this trend to continue as long as some broadcasters question the DTV standard or insist on using DTV primarily as a subscription data service.""Even as consumers enjoy non-broadcast digital and high-definition content from a variety of sources, some vocal broadcasters are dragging their feet, confusing consumers, and stalling the broadcast transition to DTV,"" said Shapiro. ""Broadcasters made a commitment to deliver DTV in return for the loan of valuable public spectrum. Further delays are a denial of the public trust. Lingering debates over the digital broadcast standard and efforts to accommodate new broadcast business models cannot be allowed to trump consumer interest in DTV.""Earlier this year, CEA released revised DTV sales projections to account for delays in the broadcast rollout and limited programming. According to the new projections, if broadcasters chose the ""fast lane"" to DTV and demonstrate 100 percent compliance with the Federal Communications Commission (FCC) rollout schedule while providing a high-percentage of digitally-originated content to consumers, DTV product penetration will reach 50 percent by 2006. If broadcasters take a ""middle of the road"" approach and have continued station conversion delays while providing 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. 2006 is the target date for return of the analog spectrum.The Consumer Electronics Association (CEA), a sector of the Electronic Industries Alliance (EIA), represents more than 600 U.S. 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 TechnologySM. All profits from CES are reinvested into industry services, including technical training and education, industry promotion, engineering standards development, market research and legislative advocacy.

Read More: