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Technology Stocks : C-Cube
CUBE 35.52+0.4%Jan 5 3:59 PM EST

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To: Stoctrash who wrote (16967)6/12/1997 5:58:00 PM
From: John Rieman   of 50808
 
Boardcast can't get DTV to the households without cable. This pannel says it will take longer.....................................

mediacentral.com

Study: Broadcasters Need Cable's Help for Digital TV

The launch of broadcast digital TV won't have an impact on cable's business, according to a new Yankee Group study titled "Digital TV: Only the Beginning."

The report notes that there are about 25 million broadcast-only households in the U.S. "Without cable, broadcasters begin with only one-third of the pie," said Bruce Leichtman, the Yankee Group's program manager. "And it's the least appetizing piece."

Other reasons why cable customers are more desirable, according to the study: 1) They watch more TV each day: 5.8 hours vs. 5.5 hours; 2) Cable households have more TV sets: 2.7 vs. 2.1; 3) More cable households say they're likely to buy a large-screen TV set in the next year.

But no consumer is likely to spend $1,500 to $2,000 on a digital TV set if it can't deliver programming offered by a local cable system, according to a group of industry experts who participated in A.T. Kearney's recent forum on digital TV.

That means that if the cable industry has a hard time financing the upgrade of its plant to digital, broadcasters will have nowhere to go with their new digital services, panelists said.

The forum also predicted that about 20 million U.S. homes will have digital TV as early as 2006 or 2008. In addition, the transition from analog to digital will last 15 or more years -- well beyond the Federal Communications Commission's 2006 date for broadcasters to return the analog spectrum.
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