Rich Fiscus
21 Jan 2008 22:45
If the results of a recent study by the Association of Public Television Stations is to be believed there are tougher times ahead for television broadcasters in the U.S. According to the study only about 5% of the 21 million people who currently count on Over The Air (OTA) broadcasts for television viewing plan to either subscribe to a satellite or Cable Television service or purchase one of the converter boxes that will soon be available for converting digital TV (DTV) to a format an old fashioned analog TV can handle.
Broadcasters already losing revenue because of the increased use of DVRs, reducing advertising dollars from sponsors who don't want to pay to have their commercials skipped. The possibility of losing 10 million viewers outright can't be an appealing thought.
Of the remaining respondents, only 12% indicated plans to subscribe to a pay service to prepare for the February 2009 digital transition, while 43% said they plan to buy a converter and continue to watch OTA TV. "This data indicates that free, over-the-air television may be set for a big comeback," APTS president and CEO John Lawson said. "Many people see broadcasting as a dinosaur technology, but we broadcasters have the opportunity to reposition it as 'wireless TV' and reach new audiences."
Somewhat more telling is the confusion about why the conversion is needed at all. As we've reported over the last few months, U.S. government agencies have come under increasing attack, even from their own Government Accountability Office (GAO), who have accused the FCC of lacking any sort of organized plan to prepare the public for the big event. More than 75% of the people surveyed didn't even understand what the purpose of the transition is.
"It appears that the government's positive message regarding the reasons for the transition has fallen on deaf ears," Lawson said.