Banyo High Definition Television (HDTV) Market Analysis


 


The company Banyo is interested in finding out more about the possible adoption process of High Definition Televisions (HDTVs). A market analysis is to be accomplish with a forecast of the demand for HDTV from period 1992 to 2006.


 


HDTV Background


HDTV involves a set of advanced technologies that arise out of a growing convergence between entertainment television and digital electronics. These new technologies include new types of advanced semiconductors, high-resolution displays, and digital recording and transmission technologies.


 


High-definition television (HDTV) is a television broadcasting system with a significantly higher resolution than traditional formats allow. This technology was first introduced in the USA during the 1990s, by the Digital Grand Alliance ( 1995).


 


HDTV differs from the current generation of televisions by doubling the horizontal and vertical resolution of video images, and by providing a wider screen and digital stereo sound. Wider screens and digital sound are included in the practical definition of HDTV because market studies indicated that these have strong appeal to consumers. The high definition part of HDTV is more important than wider screens and digital sound technologically, however, because adequate handling of high definition images requires a greater advance in technology.


 


Definition in television refers to the sharpness, or resolution, of the picture transmitted and received. Potential resolution is affected by the number of horizontal lines scanned onto the video screen, which is why one sees “number of lines” featured in advertisements for many new TV products. Actual vertical and horizontal resolution is measured directly using a test pattern to determine what degree of detail can be displayed on a TV monitor. Actual resolution may vary widely for monitors with the same number of scanning lines.


 


HDTV is the biggest breakthrough in broadcasting since color TV. It offers wider pictures with greater detail and the clarity of motion pictures. Compared to standard television (NTSC), the true HDTV image has twice the luminance definition – vertically and horizontally – and is twenty-five percent wider. Standard television aspect ratio is 4:3 (four units wide, three units high) – the HDTV aspect ratio is 16:9. The 16:9 ratio is much closer to the average wide-screen image shown in movie theaters. The biggest difference, and the greatest appeal of HDTV, is its clarity. True HDTV pictures are composed of 1080 active lines (1125 total) whereas current standard television pictures are composed of only 486 active lines (525 total). While it is possible to see the lines that make up standard television pictures, HDTV lines are not at all noticeable. The fine-grained HD picture contains five times more information than does the standard television picture and is accompanied by multi-channel, CD quality sound. The difference in video and sound quality is dramatic.


 


High-definition television (HDTV) offers a much better picture quality than standard television. HD’s greater clarity means the picture on screen is less blurred and less fuzzy. HD also brings other benefits – smoother motion, richer and more natural colors, surround sound and the chance for different equipment to work better together.


 


 


Pessimistic Scenarios


Pessimistic scenarios emphasize potential negative implications on the introduction of High Definition Television in the US. Japan’s previous experience with its aggressive promotion of HDTV standard for analogue systems indicates substantial risks involved: a premature bet on a standard that fails to succeed could very well produce a negative lock-in effect.


 


In addition, the US economy decline would adversely affect the sales of HDTV in the US. People having no confident with the presidential elections would likely to cause a decline in the economy. As a result a decline in the economy also would happen. When there is an economy decline, people are usually to spend less. People would spend wisely with what is more important than on HDTV.


In some ways government limitations like taxes could further decline the market performance of the introduction of HDTV since there would be less numbers of the product available for the market. Without the support also of the US government could lead to disastrous results of the introduction of HDTV in the US. Moreover, broadcasting companies may not be willing to invest on new technology.  US consumers also are uninterested with purchasing HDTV.


 


Furthermore, with the initial reaction of the Congress of the introduction of HDTV in the US by Japan could limit the introduction of these product in the US market since the government itself opposed the entrance of this product in the country.


 


Average Scenarios


US consumers accepted the new technology being introduced and there is a running change of old TV set to HDTV initially replacing the televisions set. In addition, US Congress considers the introduction of HDTV in the US market.


 


Optimistic Scenarios


Nearly half of all consumers plan to make their next television purchase a high-definition (HDTV) television set, according to a new consumer survey released by the Consumer Electronics Association (CEA) today. Consumers are looking for more quality entertainment which HDTV has answered.


 


Following the introduction of HDTV to the film industry, interest began to build in developing an HDTV system for commercial broadcasting. Such a system would have roughly double the number of vertical lines and horizontal lines when compared to conventional systems.


 


Government support such as funding to the manufacturer and the broadcast companies would boost the acceptance of the HDTV since companies are willing to invest due to government support.  


 


Forecast


According to (1989), the projected market will never take off if consumers are forced to buy one TV set to pick up conventional television broadcasts, another for high-definition broadcasts, and another for videotapes and perhaps still another for programs beamed directly from satellites.


 


However, , a pioneer of HDTV researcher, the coming of HDTV does present one opportunity for good old-fashioned American ingenuity, unencumbered by subtle maneuvering over standards, to regain a chunk of the TV business. He added that developing innovative flat-panel wall screens and projectors may offer the best new opportunities for American companies to get back into the television business ( 1989).


 


“HDTV is likely to develop slowly, because the new system will face a classic chicken-and-egg situation. According to , “there is no incentive to broadcast unless there are receivers and no incentive to buy receivers unless there are broadcasts.” A Commerce Department study suggests that only about I percent of households will have an HDTV set by 1998, but the numbers will then rise rapidly, to 25 percent by 2003 and 70 percent five years after that. Eventually, as highdefinition television grows, the old broadcast system will die a natural death, and HDTV will become simply TV. “(1989)


 


 



Credit:ivythesis.typepad.com


0 comments:

Post a Comment

 
Top