Starting the HDTV Business: Solving the Confusion and Launching HDTV Around the World
Summary
Dale Cripps argues that cost-focused compromises in the DTV transition risk alienating consumers by sacrificing picture quality. He proposes a shared-risk satellite-based pioneering venture to establish an HDTV installed base before broadcasters, cable, and DBS providers enter the market.
Solving the Confusion And Launching HDTV Around the World
Starting the HDTV Business
by
Dale E. Cripps
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Recent discussions around the world are focused to non-HDTV aspects of the DTV
standard (s) and transition. Cost, rather than performance, is directing the
thinking of many decision makers. The appeal to the all-important consumer may be
lost with this compromise in quality. As a result a most dangerous phase of the
digital transition has arrived.
Considering CostsÑMacro or Micro? While cost is important, the cost in macro terms must also be considered. The most costly decision is one which minimizes quality of the new digital signal in order to contain early transition costs. While appealing to traditional signal providers such a strategy cannot excite the consumers. Without the consumer engaged, the transition process must end poorly. Pioneering HDTV Signals The pioneering task for HDTV can be shifted from the backs of the terrestrial broadcasters and to a new global shared risk satellite-based venture. Former National Association of Broadcasters vice-president, John Abel, stated that it would be better for someone other than broadcasters to do the pioneering work for HDTV. The broadcasters, he added, are strong and will enter the marketplace with digital signals after an installed base of receivers is established by the pioneer. The pioneering HDTV signal provider must have programming fitted to the new medium if all potential attraction to the new service is to be achieved. Both Hollywood productions and national and international events offer this program fit. Investors in a pioneering signal provider will be those seeking to minimize their own digital transition cost. Broadcasters, cable, DBS services, and manufacturers are the most likely to join in this for-profit venture. Already negative results are occurring as confused buyers are postponing decisions to acquire HDTV production and receiving equipment until clarity is brought to the commercial launching of the industry. A Proposal A shared risk venture for executing the pioneering work for HDTV is proposed. This pioneering service provides high-definition signals first from satellite and deployed finally by all appropriate signal delivery means to homes throughout the world. Dale Cripps
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