2000 DTV Product Sales Surge In Third Quarter, Surpassing 350,000

6-Nov-00

According to figures released by the Consumer Electronics Association (CEA), factory sales to dealers for digital television (DTV) displays during the first nine months of 2000 were 368,947, nearly seven times the number of displays sold during the same period in 1999. Third quarter unit sales demonstrated continued monthly growth, with significant spikes in August (70,917) and September (79,818). In August and again in September, monthly unit sales alone surpassed combined sales for the first nine months of 1999 (53,415). These figures include DTV display monitors that require the addition of a set-top box to receive digital broadcasts as well as DTV sets that include a DTV tuner. In addition, 25,855 stand alone set-top receivers have been sold to dealers since January 2000. Consumer enthusiasm for DTV was also evidenced in the new research released by CEA. CEA Market Research recently surveyed DTV owners (with the help of HDTV Magazine) and general consumers about DTV. The results demonstrate that consumer satisfaction with the technology is high and interest is growing. Specifically, CEA found DTV owners to be overwhelmingly pleased with their product. Nearly nine in ten owners said that if they had to do it all over again they would still purchase DTV. The consumers surveyed also expressed high satisfaction with the quality of the technology purchased, but disappointment with limited content availability.According to the results of the general consumer research conducted by CEA, great strides have been made over the past two years in educating consumers about digital television. The results demonstrated an increasing awareness of DTV terminology and greater familiarity with digital television as a whole.""These numbers and the results of our research demonstrate that the consumer DTV transition is thriving. Consumers are buying DTV products now, despite their concerns about limited broadcast programming,"" said CEA President and CEO Gary Shapiro. ""When you consider the long-term success of the technology, robust DTV sales and high consumer satisfaction are the indicators that matter."" DTV comes from and will come from a myriad of sources - pre-recorded DVD, satellite, cable and the Internet. The point is, consumers want and will get their DTV.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 broadcast standard or insist on using DTV primarily as a subscription data service. However if we start to see alternative delivery mediums, such as cable and satellite increase their HDTV delivery and content, this number will begin to increase.Earlier this year, CEA released revised DTV sales projections to account for delays in the broadcast rollout and limited programming. CEA Market Research forecasts unit sales of DTV displays to reach 425,000 in 2000.  Source: CEA