HDTV's Torrid Growth Brings Revenue Opportunity for All in the Video Ecosystem

Published by: Yankee Group

Published: Aug. 21, 2007 - 12 Pages

Table of Contents

I. Current State of the HDTV Market

II. The Role of the Service Provider in HDTV Adoption

Key Takeaways

The Battle for HD Content

III. HDTV Forecast

Key Forecast Assumptions

IV. Recommendations

V. Further Reading

Abstract

High-definition TV (HDTV) sales not only bring in revenue for consumer electronics (CE) manufacturers. They also enable pay-TV service providers (SPs) to increase ARPU by increasing monthly hardware and services fees while boosting the value of higher tier packages by adding HD movie channels. According to the Yankee Group Anywhere Consumer: 2007 US Penetration and Usage Survey, 18.9% of HD households spent more than $100 on pay TV while only 11% of standard-definition (SD) households spent the same amount. Although consumers are becoming more aware that simply owning an HDTV does not mean one receives HD service, most SPs still have an average of 40% of HDTV owners who are not signed up for HD service.

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