Lowered expectations greet HDTV

Television Digest with Consumer Electronics, Jan 12, 1998

DTV made its "commercial debut today" at CES, Shapiro said, although details of debut typically were somewhat foggy. Move than dozen manufacturers introduced DTV products at show, but most said they were far from final prototypes and only handful were willing to talk about price, delivery dates, marketing plans. Those that did discuss prices suggested sets would approach $10,000, although ranges were wide.

"We need to set the right expectations" about DTV, said Jolm Brieseh, pres.-Sony Consumer Audio/Video. He told reporters that it's "virtually impossible to accurately define the potential of DTV" and said that price "is bound to have an impact on initial sales." Briesch said it would "easily be 10 years or inore before the transition is complete" to DTV, and Shapiro said analog sets will remain in use "for decades."

Despite that, DTV "is a killer product," Shapiro said: "Consumers want the biggest and best picture they can get." CEMA Chmn. Robert Borchardt of Recoton said he "strongly believe[s] that the digital age will invigorate the consumer electronics industry" because it's "a thrilling product." Problem, he said, is that industry has created environment where consumers simp on price rather than quality.

DTV won't be overnight success for variety of reasons, Briesch said, including: (1) Amount of cross-industry cooperation needed. (2) Costs of providing programming. (3) Consumer problems including re-installing TV antennas to receive DTV broadcasts.

Gore's satellite-delivered speech at opening session was surprise, and marked first time that President or Vice President has addressed CES. Speech was meant to highlight govt. plan to award Environmental Protection Agency "Energy Star" label to DTV sets that reduce energy consumption. Gore said Energy Star sets use 75% less energy than traditional sets, and if all sets were converted to Energy Star it would reduce pollution by amount equivalent; to that generated by one million cars.

CEMA members, meanwhile, have agreed on final definition of what constitutes HDTV set, Shapiro announced. Agreement spells out what level of video definition and other requirements set must meet in order to be marketed as HDTV.