Countdown To Digital TV: T-minus (almost) one year

rca-digital-tv-adapter.jpgThe Digital TV Deadline Is Approaching: February 17, 2009!

Mark your calendar. February 17, 2009. Just a little over a year away. On that day, analog TV goes digital—and millions of U.S.consumers will have to be ready for the government-mandated switch to digital TV from the archaic (and highly inefficient) analog system. The Feds say the upgrade will free large portions of broadcast bands for law enforcement and public safety, which is critically needed.

Consumers will be rewarded with a sharper, more vibrant picture, so this is actually good news—except you’ll have to scrap your old TV for a new digital version. On Feb. 17, 2009, some 1,760 stations will stop sending analog signals and begin broadcasting in digital format exclusively. However, some community-based broadcasting will remain available in analog.
So, if you’re one of those who still use antennas to pick up a signal, you’ll have to buy a new digital TV, get an analog-to-digital converter, or buy a subscription to a cable or satellite TV service.
Be not afraid. Digital TV is better…

Some 13.5 million U.S. households, or 12% of the total, will have to make similar decisions in the next 12 months, which will undoubtedly fuel a surge in sales of digital TVs, converters, or subscription services. This is welcome news for the consumer electronics industry, which is bracing for a recession—a time when consumers will be scutinizing discretional purchases. “Most things that you’d go into an electronics store for can wait,” says Arnie Berman, chief technology strategist at Cowen and Co., “But there’s a deadline associated with this. It’s unprecedented. If people don’t do something, they won’t be able to watch television.”
Good News: The Government will subsidize the migration.

Uncle Sam to the rescue! Here’s some good news: Subsidies will help spark sales of the converter boxes that translate digital signals back into analog signals for old TVs. The National Telecommunications and Information Administration (NTIA) is giving away as many as two $40 coupons per household to buy government certified converters. Among those approved by NTIA are devices from EchoStar, Philips, which owns the Magnavox brand, and Venture Electronics, which distributes RCA-branded machines. The NTIA received requests for 2 million coupons the first week it started accepting requests.

Converter box models will be on retailers’ shelves soon. By mid-February, a variety of boxes will go on sale in some 15,000 U.S. retail stores. The Consumer Electronics Association (CEA) estimates manufacturers will sell 25 million converter boxes, typically for $50 to $70 apiece, during the transition. Households that have several TVs will have to buy multiple boxes.

Source: BusinessWeek

Image Source: DTVFacts.com

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