To: check737 who wrote (3007 ) 4/6/1999 12:54:00 PM From: Frank Walker Respond to of 5927
Some research I found at skyreport.com - indicates huge growth expected in cable TV and satellite TV set-top box market, for which ATI makes graphics chips. - ILG --------------------------------------- Set-Top Boxes To Topple IDTV According to research from Strategy Analytics, set-top boxes will dominate the home entertainment center in the future, relegating the TV set to the role of a "dumb monitor." The firm, in research titled "Set-top Boxes and Dumb Monitors - The Impact of IDTV On the TV Receiver Industry," forecasts that by 2005, only 6 percent of U.S. households will own an IDTV (Integrated Digital TV set) compared to 63 percent with digital set-top boxes. In Europe, IDTV will hardly gain a foothold. Because of the need for technology and service upgrades, such as new software, storage devices, or faster modems, buyers of Integrated Digital (IDTV) TV sets could be left with expensive and obsolete products. The cheaper, flexible option is to buy a set-top box that can be replaced at minimal cost when upgraded services are introduced. According to the report, TV manufacturers have pursued an "integration strategy" - incorporating new content platforms in order to add value to the TV receiver. Examples include VCRs, PCs, pay TV decoders and disc players. But these policies have nearly always failed, the firm states. "The strategies of TV manufacturers have reflected their needs rather than the needs of the marketplace," says David Mercer, Interactive Home Service director with Strategy Analytics. "The TV set has effectively been a dumb monitor for many years, and the arrival of digital will not change this."