Mitsubishi Strategy & DTV Tuner Debate
Dear Gary: This letter is addressed to Mitsubishi’s Bob Perry, and pertains to Mitsubishi’s strategy with respect to the DTV tuner debate. I have cc’d bperry@bigscreen.mea.com, MWasinger@bigscreen.mea.com, Ken99@comcast.net, hdtvnew@pioneer.net, mark@hd.net, gshapiro@ce.org, and yourself at editorgary@widescreenreview.com Dear Mr. Perry: There has been much debate in the past few weeks regarding the implementation of Chairman Powell’s DTV transition plan. At the crux of the issue has been the DTV tuner mandate. From the outset of the digital television transition, Mitsubishi has been one of the few (if not the only) consumer electronics manufacturer to put forth a clear, consistent and consumer-friendly strategy for getting HDTV sets into the marketplace. Early in my research, it became evident that MDEA is at the forefront of this new technology. Aggressive product development and deployment to the marketplace of high quality HD-ready displays has kept MDEA way ahead of the competition. Your most notable achievement has been the introduction of integrated HDTVs with digital tuners, IEEE 1394, 5C copy protection, and HAVi software capabilities. It is these features that have made my HDTV buying decision a no-brainer (I am a proud owner of your 73-inch Integrated HDTV set). It is evident that MDEA has a long-standing approach that focuses on value-added product features that benefit the consumer. As such, it is disturbing and perplexing to me (as the consumer) that the consumer electronics community (as represented by CEA) is staging strong opposition to Chairman Powell's DTV plan. Most intelligent consumers (like myself) who have a basic understanding and appreciation for the capabilities that digital television has to offer, will undoubtedly be in favor of having integrated DTV tuners. The benefits to the consumer and to the overall DTV transition are numerous. I am fortunate that I live in the Baltimore-Washington corridor, which provides access to over a dozen digital stations on the air (thus making this the HDTV capitol of the world). I have demonstrated to all my friends and family the great enhancements (with my Mitsubishi TV) that digital broadcasts have to offer. Most people end up being totally blown-away by the incredible picture quality of a standard (unconverted) digital TV signal! That is before I show them what a real HDTV picture looks like. There are two PBS stations in the area (WETA and WMPT) that broadcast in HDTV continuously, 24 hours a day. One only needs to tune to one of these stations (and Mark Cuban’s HDNet channel) and I see jaws hit the floor! The only problem that this creates is that it sets consumer expectations very high. It is then up to the consumer electronics manufacturers to build their HDTV products to meet these high expectations. Then there are people like Mark Cuban who are forging ahead to ensure that there is plenty of HD programming to display on your HDTV sets. The bottom-line though, is that we need to get everyone on the same page. Broadcasters have a very critical role in this transition, and it makes sense to give consumers what they want. The DTV tuner mandate that the FCC is considering is one way to ensure that consumers are able to get the full benefits that DTV has to offer. It is apparent from your new 2003 lineup of integrated HDTVs that Mitsubishi already meets (and EXCEEDS) the requirements of Chairman Powell’s plan. Thus, I strongly urge you to voice your customer’s interest on this issue and make it known to the FCC and to the lawmakers that the industry will (and in your case—ALREADY HAS) meet these integrated DTV tuner requirements. MDEA is in the fortunate position of being a key driver in this digital TV revolution. It is very evident that your work at developing integrated HDTV solutions has paid huge dividends and has convinced a lot of consumers (and some nay-sayers), that they should expect nothing less from their investments. Bottom line—consumers want HDTV now! No more excuses. You have always been a vocal proponent of consumer rights. I hope that this is still the case. I’ve cast my vote on this issue by buying your products. The best thing for the DTV transition would be to see a full line of Mitsubishi integrated, IEEE 1394/5C; HAVi enabled displays and set-top boxes. I also want to mention that I enjoyed your recent article in Widescreen Review that showed the numerous benefits that IEEE 1394/5C has over DVI. It is very reassuring that you are listening to your customers! Thanks and good luck.
Kenny Dykstra, Ellicott City, Maryland
Consumer Electronics Association President Gary Shapiro Comments:
Nice and well-thought out letter to Mr. Perry. I agree with all your comments and analysis except your assertion that government should require a DTV tuner in every set. Think of the Wal-Mart shopper who today can get a 19-inch analog set for a couple hundred dollars having to buy in 2006 the same set with the incremental cost of a digital tuner. I imagine the minimum price of a TV set will raise significantly, and that will disenfranchise many Americans. Also, it’s not clear to me what will happen to the market for tuners. Bottom line: consumers, not the government, should determine what is in the TV set they buy. HDNet’s Mark Cuban Comments: It’s nice that you are trying to protect the flock, Gary (Shapiro). But you know, as well as I do, that it’s not 200 bucks, AND the price is falling, AND it will become a chipset quickly, AND you know, as well as I do, that there are lots of superfluous features in sets today that could easily be left out and replaced by the tuners. Good news is that Zenith and Mits are leading the way for inclusive sets, and we are leading the way in providing over-the-air content, along with the majors. What you might set your sights on, Gary, is understanding what the return rates for digital sets without tuners are. In talking to retailers, people are coming into stores, seeing HDNet and other signals, and then not being able to get it at home are bringing the sets back. That costs a lot more than 200 bucks per set.
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