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Keeping Up with the Jones’s HDTV

June 27, 2007 | Author: Ibex Marketing

According to a press release from the Consumer Electronics Association (CEA), 30% of U.S. households have one or more HDTVs. The group also expects that this will increase to 36% as they forecast that 16 million new HDTVs will be bought in 2007. And more than one third of households with HDTVs have at least two.

Still, the CEA reports that more than half of the households that have HDTVs do not receive HDTV content. According to their survey, main reasons are that HDTV programming is too expensive, or the owners just aren’t interested in it.

Of those receiving HDTV content, two thirds get it through a cable company. 27% have satellite service, and just 8% get it for free over the air. An interesting development is that 3% get it over fiber optic (presumably from a telephone company such as Verizon) and 3% from the Internet. (Yes, these add up to more than 100%, because some households have multiple sources.)

It’s clear from these numbers that we’re well beyond the early adopter segment of the market, though we’re still short of the fat middle part of the market. It will take further price decreases before the average consumer will be willing to get rid of their old CRT picture tube — that is still working fine — and make the switch to a digital TV.