SOURCE: eMarketer

August 11, 2005 08:00 ET

Nearly 90% of All US Households to Have Digital TV by 2009

eMarketer Report Explores the Technologies and Dynamics That Will Change Broadcasting, Communications and Advertising Forever

NEW YORK, NY -- (MARKET WIRE) -- August 11, 2005 -- Digital TV is reshaping whole industries, and almost everything is about to change. Digital technology will ensure that TV broadcasting and its associated business models will undergo a massive change, the form of which will be governed by the consumer.

That's the outlook from eMarketer's new report, US Digital TV: Think Outside the Box, which forecasts that by the end of 2009, nearly 90% of all households will have digital TV, assuming that analog TV signals in the US will be switched off by the end of 2009. If a TV household has not subscribed to a digital TV service from a cable or satellite provider or purchased appropriate equipment, they will be unable to watch TV. With this TV-less threat looming, digital TV acceptance is expected to rise rapidly over the next five years.

The digitization of television signals is driving fundamental changes in the ways viewers receive TV content. From viewing clips on mobile phones or laptops, never before has the phrase 'think outside the box' been more apt than in the developing digital TV sector.

"Online entertainment is compelling because Internet users can access the content they want when they want it," says Ben Macklin, eMarketer senior analyst and the report's author. "The viewing experience on a PC is still far inferior to the TV, but bandwidth and technological improvements will inevitably solve these issues. So it's somewhat irrelevant to argue whether the PC or the TV will be the primary media hub in the future. It's the Internet that's the driver of change, and when you break things down to their component bits, as digital technology does, then the PC and TV will just be two of many nodes on which Internet users access the content, applications and services they want, when they want them."

eMarketer's US Digital TV report addresses key questions like:

--  Are DVRs set to go mainstream?
--  Why is VOD not proving to be the cash cow it was expected to be?
--  Will advertisers shift their spending online as DVR users skip more TV
    advertising?
--  What are the prospects for Telco TV?
--  How is broadband affecting the TV market?
--  And much more...
    
The US Digital TV Report aggregates the latest data from leading researchers -- CEA, Informa Media Group, In-Stat, Lyra Research, Magna Global Research, Myers Group, Strategy Analytics, US Census Bureau, Yankee Group and others -- with a wealth of eMarketer numbers, projections and analysis available nowhere else to give you the up-to-date information you need to make smart, savvy business decisions.

For more information on becoming an eMarketer Total Access customer, visit www.eMarketer.com.

About eMarketer

eMarketer is "the First Place to Look" for market research information related to e-business, online marketing and emerging technologies. eMarketer aggregates and analyzes e-business research from over 1,700 sources and brings it together in one place. This research is presented in analyst reports and the "eStat Database" -- the most comprehensive compilation of up-to-date e-business and online marketing statistics in the world. For more information, visit www.eMarketer.com.

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