[opendtv] Re: PR: I want my DTV

  • From: "John Willkie" <johnwillkie@xxxxxxxxxx>
  • To: <opendtv@xxxxxxxxxxxxx>
  • Date: Wed, 30 Jun 2004 17:25:13 -0700

Why are you surprised?  I mean, aren't DVD players more prevalent (and
cheaper) than DTV transmitters?  Isn't analog TV available everywhere there
are DTV transmitters, save Berlin?  Isn't there an established base of
analog TV sets?  Don't DVD players work with digital and analog sets?  Hell,
something like 90% of the world's DTV transmitters are in operation in the

Then, one has to consider the source.  IDC.

To me, these types of arguments sound as relevant as reporting in the late
1960's that "hippie rock and roll stations" were driving more of the
adoption of FM radios in cars than was the availability of "elevator music"
stations.  The end result is that FM in cars is almost universal, and the
medium is so commercialized and heavily formatted that it's almost useless
for music.

John Willkie

-----Original Message-----
From: opendtv-bounce@xxxxxxxxxxxxx
[mailto:opendtv-bounce@xxxxxxxxxxxxx]On Behalf Of Craig Birkmaier
Sent: Wednesday, June 30, 2004 6:12 AM
To: OpenDTV Mail List
Subject: [opendtv] PR: I want my DTV

According to the following report, it is DVD, NOT=20
HDTV that is driving the adoption of new digital=20
television displays in most areas of the world...


I Want My DTV/ Global Digital Television Market=20
to Reach Sales of $70 Billion in 2008, IDC Says

June 30, 2004 12:00am
Source: Business Wire

  Business Wire: FRAMINGHAM, Mass.--(BUSINESS=20
WIRE)--June 29, 2004--The incredible popularity=20
of DVD players, coupled with the increasing=20
interest in "sexy" plasma and LCD displays, is=20
driving consumer adoption of digital televisions=20
around the world. Combine that with governments=20
pushing for change as they look to reap the=20
rewards of repurposing the analog spectrum and=20
you've got a market poised to reach sales of $70=20
billion in 2008.

  According to new research from IDC, the=20
evolutionary shift from analog to digital TV is=20
in full swing, but consumers' overall awareness=20
and understanding of DTV remains low.=20
High-definition television (HDTV) - a subset of=20
the overall DTV market - will eventually have a=20
dramatic impact on consumer education and=20
adoption of digital TV in certain parts of the=20
world. "For the most part, terms such as aspect=20
ratios and resolution do not resonate with the=20
average consumer," said Danielle Levitas,=20
director of consumer research at IDC. "As=20
consumers become exposed to the crisp, vivid=20
images and overall cinematic experience of HD,=20
they will begin to see a compelling reason to=20
replace their otherwise functioning analog=20
solutions. This move is well underway as the=20
selection of DTVs and HDTVs in retail continues=20
to swell."

  Although a global phenomenon, penetration of=20
DTVs into specific regions will vary greatly. In=20
the United States, cable providers have a=20
capacity advantage over satellite providers in=20
terms of carrying local HD channels. In Japan,=20
the mountainous topology has positioned satellite=20
as a critical driver for HD access. At this=20
point, HDTV content delivery, and therefore HD=20
set adoption, is essentially limited to=20
Australia, Canada, Japan, South Korea, and the=20
United States for the foreseeable future. Digital=20
TV in other parts of the world will continue to=20
be driven by advances in flat-panel displays and=20
the red-hot DVD market, which has seen global=20
shipments reach approximately 200 million since=20
being introduced in 1997, and is expected to grow=20
a third larger this year.

  Other highlights from IDC's research include the following:

  -- Global sales for all TVs will grow from 170=20
million in 2003 to 196 million in 2008, as=20
consumers begin to replace their analog sets.=20
This represents approximately $61 billion in=20
2003, growing to $86 billion in 2008.

  -- In 2003, 7.1% of global TV shipments were=20
digital; this year the percentage will climb to=20
more than 12%, and by 2008, 60% will be digital.

  -- Less than 20% of U.S. DTV households are watching HD content.

  -- Traditional electronics retailers are where=20
the majority of CE and DTV sales are made, but=20
new channels including club stores, online/direct=20
sellers, and discount retailers are playing an=20
increasing role, driving down average prices and=20
squeezing gross margins.

  -- The most common television screen size in=20
homes is 27 inches today; however, DTVs have a=20
larger average size because most sets sold to=20
date have been large-screen TVs. We expect the=20
average size of digital TVs to grow over the next=20
few years, then begin to decline as consumers buy=20
smaller screen DTVs to replace the analog TVs in=20
secondary locations.

  This study, Worldwide and U.S. Digital TV=20
2004-2008 Forecast: Its Time Has Come (IDC=20
#31263) forecasts unit and revenue sales of=20
digital televisions (DTVs) worldwide and in the=20
United States. The study forecasts the worldwide=20
and U.S. DTV market by display technology and=20
screen size. Also included are worldwide=20
forecasts of 4:3 versus 16:9 DTVs by display=20
technology and, for the U.S. market, a forecast=20
of DTVs that are DTV-ready versus integrated vs.=20
digital cable ready by screen size. Digital TV=20
set and HDTV reception penetration for the U.S.=20
and survey data is also included.

  To purchase this study, call IDC Sales at 508-988-7988 or email

  About IDC

  IDC is the premier global market intelligence=20
and advisory firm in the information technology=20
and telecommunications industries. We analyze and=20
predict technology trends so that our clients can=20
make strategic, fact-based decisions on IT=20
purchases and business strategy. Over 700 IDC=20
analysts in 50 countries provide local expertise=20
and insights on technology markets. Business=20
executives and IT managers have relied for 40=20
years on our advice to make decisions that=20
contribute to the success of their organizations.

  IDC is a division of IDG, the world's leading=20
technology media, research, and events company.=20
Additional information can be found at=20

  All product and company names may be trademarks=20
or registered trademarks of their respective=20

CONTACT: IDC Danielle Levitas, 650-962-6487=20
dlevitas@xxxxxxx or Patrick Gorman, 508-935-4369=20
Customize your Business Wire news & multimedia to=20
match your needs. Get breaking news from=20
companies and organizations worldwide. Logon for=20
=46REE today at www.BusinessWire.com. .end=20
(paragraph)<<Business Wire -- 06/29/04>>

<< Copyright =A92004 Business Wire >>

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