Can DTT in Europe rise from the ashes?
Music Industry News - as it happens
Source: Mi2N - July 7, 2002
Digital terrestrial TV (DTT) has suffered from a combination of poor
marketing, halfhearted government support, and poor targeting of services,
states a new Yankee Group Report, "ITV Update, Part 1: DTT Down, But Is It
The report, which analyzes the recent turmoil in the UK, Spain, and Sweden,
says, "This last flaw has been driven by a split focus on high-end
functionality and low-end programming by DTT operators and technology
However, DTT isn't finished, according to report author Scott Smith who
says, "While DTT's problems seem massive at the moment, strategies are
redirected to encourage households that are less technologically advanced to
adopt simple, low-cost DTT.
"A redistribution of licenses is now underway, but we see this followed by a
rationalization of programming costs, and an increased role for the public
sector in set-top box distribution. The key strategy for the DTT market
will be to begin at the beginning--create a simple DTT product that
consumers can afford, then enable a clear upgrade path that gives consumers
real control over their viewing choices, not pitching a complex interactive
service at mid-market households."
The Report concludes that analog signal cutoffs will be pushed out several
years because of "current problems," and that, "national governments are
unlikely to manage a fresh restart of industry development".
Yankee Group adds that it expects "concerned regulators" to take short-term
political opportunities to let new operators step in and try to repeat past
DTT scenarios, but with, "more logical distribution of STBs and licenses".
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