CEA Pushes for Digital Programming

The wearisome chicken-or-egg debate over the rollout of digital television went another round last week, as television manufacturers appealed to the Federal Communications Commission to require more digital programming from broadcasters.

The manufacturers, all members of the Consumer Electronics Association, made their demands in a letter to FCC chairman William Kennard. In an October speech at New York's Museum of Television and Radio, Kennard said he would ask manufacturers to make all television receivers with screens larger than 13" capable of receiving digital signals by January of 2003. That suggestion provoked protests from manufacturers worried that such a requirement would add $200 or more to the price of every new television, and commit the manufacturers to a production schedule that may not be justifiable in view of the lack of available programming.

Kennard also stated that he would consider pushing for more digital programming—a proposal that has been resisted by broadcasters, who cite high production costs and a small audience for such programming. Neither side in the controversy wants to fully commit unless the other does—hence, the stalemate. When plans for the launch of digital television were finalized four years ago, broadcasters were given 6MHz of bandwidth at no charge, as "seed" to develop programming for the new format. However, because the market for digital programming is small, and there has been an exploding market for wireless communication devices, many broadcasters have hedged on their commitments to DTV. Most digital television equipment purchased to date has been for use in home theater systems with DVD players as their primary signal source. A complicating factor: TV makers and broadcast engineers are still wrangling over the supposedly flawed 8-VSB terrestrial transmission technique mandated by the FCC.

The CEA has long maintained that programming must be there before consumers will buy into the new technology. "An ample supply of compelling and easy-to-acquire content is necessary to sell hardware," CEA president Gary Shapiro said in the letter to Kennard. "We would suggest that the commission insist all broadcast networks commit to a growing number of high definition and digital TV programming hours." Most major stations that have completed their DTV installations offer some digital programming, but not enough to make the format attractive to large numbers of consumers. A few prime-time DTV programs are broadcast by CBS.

According to FCC guidelines, broadcasters must switch from NTSC analog to digital transmission when 85% of the TV market is capable of receiving the signals, or by January 1, 2006, whichever comes first. After the transition to DTV, all 1600 television broadcasters in the US are supposed to surrender their analog channels, which will then be sold on the open market.

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