Down with Cable TV – Up with Online and DTV

November 16, 2008

Fot those thinking about saving money in an shrinking economy, lets check the alternatives.

Let go of your expensive cable TV subscription. Instead make a new combination for your viewing habits with online viewing and a live TV-set together with no cost per month digital-TV.

The thing is to question why in heaven you really need cable TV. It is on it´s way to become old fashioned. Also, it is fairly expensive. You are stuck with a limited selection of TV-channels, you need to set your watch to not miss out on your favorite show and it is really not very flexible. Convenient, yes, and a habit, yes, for now.

But think about it. If you unplugg your cable TV you will save at least $30 a month. Keep your internet connection for maybe $20 a month. Get a converterbox for digital TV and hook it up to your TV set and you will have acccess to local and national TV stations for news and local information. That is a one time cost of $60. (check your antenna though). In two months time you start to save money. And gain in flexibility.

Then log on to you tube, nbc.com, hulu, itunes and many more outlets of on-demand TV and video.

I can recommend an apple TV or maybe an Xbox that can provide you with movies and podcasts. Did you know that most of the newschannels that you can watch on your TV set are available as podcasts? It´s great. You dont need to set your watch to view the show and you skip commercials. I think podcasts are the biggest thing since TV came to earth. Also, it is fully loaded with new formats for niché TV. I use Itunes, Ipodtouch and an Apple TV to keep up in the news flow and get inspiration. I watch podcasts more than broadcasts. It is a relieve for anyone with kids (you decide when, where and what you view).

Also, there is more on your way. Youtube will release old movies and TV-shows from MGM. More people watched Saturday Night Live with Tina Fey as Sarah Palin online than as a broadcast, writes Mike Musgrove at Washingtonpost. That is a sign if any.

Now you can start deciding about your money and your habits. Crisis and change come with possibilities.

Best /Anders

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How will the economy affect the DTV transition

June 11, 2008

With every day passing by the gas price is up and the date for the DTV transition moving closer. With the economy in mind I wonder how the transition might be affected.  When the economy is up  we would not ask us this.  However, the pricetag a converterbox might be a great difference for consumers living on the margin. Concerns have been raised. Such as Best Buys CEO comment on the fact in January at CES 2008.

Also, part of comverterboxes are made of plastics, parts are being flown in or shipped from Asia to shelves or production facilities in the U.S.

Little has been reported about converterboxes in a economic perspective. Will prices increase and in that way surpass the NTIA coupons program and the worth of a coupon?

It would be interesting to learn more about the economic side of the transition for a consumer but with a broader perspective on the market, products and prices.

Will there be a choice for some to fill a tank with gas or buy a converterbox? I really hope not.

Anders Bjers


State Of The DTV Transition – Mixed But Going Forward

February 8, 2008

Yesterday was the big day for DTV stakeholders and officials. At the Best Buy meetup in D.C the NTIA:s DTV coupon was unveiled as a red “look-a-like” credit card that is worth $40 each.

Media is reporting about the event but with mixed results. It seams to me that even the stakeholders don’t really know for sure how many households that are really affected by the transitions.  Also,  the level of knowledge among consumers are unclear. Recent reports and surveys give varied results. Kim Hart at Washington Post writes, “consumers don’t know the transition is coming and have never heard about these converter boxes”. She also notes that this will be an interesting year.

U.S newsagency AFP writes about the event headlining it as “U.S gears up or the DTV switch” and cites FCC Chairman Martin saying ” more needs to be done” to inform the US consumers about the upcoming transition. AFP also sorts through some stats about the state of the transition as of now.

Media and bloggers love statistics and love when facts are unclear. Clear facts should be provided in sync among stakeholders, thats bascis Especially when they are on stage together. Wired blogger Bryan Gardiner picks up just that and keeps the ball of uncertainty rolling in his post.  Gardiner is citing Best Buys spokesperson Brian Lucas who comments on converter box sales, saying: “It’s a difficult situation because nobody has done this before. So, yes, there’s some uncertainty.”  My questions is – why don´t best buy send a team overseas to study sales and retailers efforts in Europe where actual transition has taken place. In Sweden for example the retailers really had a second Christmas season because of the transition. And during times of economic instability that shouldn’t be to bad. And I am firmly believing that consumer behaviour are just about the same in the U.S as in Europe. As well as retailers situation.

The Insignia converter box that Best buy will sell is a very simple box. Electronic house reporter Rachel Cericola writes about that box.

The Consumer Electronics Association, CEA, released new results from research that revealed the top sources consumers are using to learn about the transition. The prime source is television (72%), family and friends (39%) and the Internet (26%).  I think in any case this showes what important role the media itself will play to “move” the consumers into action.

I am astonished that either NAB or any of the stakeholders made a podcast or webbcast of yesterdays event. If there is anything important in a transition to do, it is to bring out unified messages. To bring down the level of uncertainty. I think this event was a great opportunity to spread the word from the top stakeholders to everyone involved in the mission. Also, it would be a great source for media to embed and pick up along with their own reporting. Even if the transition will be a hyper local event there will be few moments when the heads of the stakeholders share the stage together as they did yesterday.

Anders Bjers


Stakeholders Unite Today at Best Buy Box Event In D.C

February 7, 2008

Today there is a grand get together at a local Best Buy Store in Washington D.C. The chief executives of the prime stakeholders are gathering to promote the “soon to come to a store near you” – DTV converter box. Few have seen any but many are asking where they are. Best Buy promises to get their boxes on shelfs on the 18th of February. However, it will only be one of a kind to choose from – Best Buys own brand Insignia. The box will cost $50-$70. The question is if other retailers will match Best Buys offer with a greater selection. And it is only a month ago that Best Buy Executives expressed concerns and even being nervous about not being able to get boxes on shelfs in time.

On stage today you will find: The U.S Commerce Secretary Mr Carlos Gutierrez, FCC chairman Kevin Martin, NAB president and CEO David K. Rehr, National Cable & Telecommunications Association, NCTA, president Kyle McSlarrow together with Consumer Electronics Association, CEA, vice president Jason Oxman and Best Buy senior VP Michael Vitelli. NTIA is represented by the Secretary of Commerce.

Some of the stakeholders that gathers today in D.C will also be the ones that consumers will hold accountable if something in the transition backfires. I think it is a great thing that they come together because it is easy to believe as one local paper put it that Congress has ordered broadcasters to shut down the analog transmissions and switch to digital. The facts is that many stakeholders are working together as never before to make this transition a smooth one. I hope the stakeholders can put a just as positive spin on the DTV transition as some superduper political contenders has done in their campaigns. After all, there are few national events to match a national transition to digital television. Be sure that this D-day will be greatly covered by news media.

Local newspapers are picking up the story about the transition in an increasing amount. Most of them put out the basic facts about the transition. Even if the confusion still seam to be great. I guess the primaries have put enough on peoples minds to care about little else.

The thing is that the market should be flooded this year with boxes to choose from and the prices should start to drop a bit. No one wants people to wait to the last few days before the actual transition. Even if you have to count somewhere around 5-10 percent who will do just that.

I get messages from people all over the US who is asking why the converter box coupons are “released” but no boxes in stores to be find anywhere. One lady even asked me to send her a box and attached her address. Well, it’s great that people put confidence in this blog but we do not sell converter boxes, yet…

But what I do offer is knowledge and experience. Or that might be spelled Hope to make the Change to DTV, in these primary times. Because it will be an astonishing difference – to the better. And I am talking TV now..

Yours truly

/ Anders Bjers


Exec Nervous About Supply Of DTV Converter boxes

January 9, 2008

At the Consumer Electronics Show (CES) in Las Vegas, Best Buy Inc.’s chief executive Brad Anderson is reported to be very nervous about the supply of converter boxes.Will the retailers meet the demand? In Bussiness Week Anderson looks at the possible lack of converter boxes in store saying: “I think it’s one of the biggest risks our industry has.”

Steve Eastman, VP at Target thought more the transition as a great marketing force and about his own business, saying “From a category standpoint, I think it’s great _ it’s getting people to talk a lot about HD
and what technology they have in their home,” he said according to Washington Post.

(Once again a proof that the “HDTV hype vs DTV transition needs” will be a challenge for under-informed consumers to figure out and relate to.)

In my mind this is one of the worst scenarios you can imagine. Consumers are pushed by infomercials and government sponsored information campaigns to act on a very specific alert, if they can’t fulfill that it is a very deep crisis that will put consumers trust at stake. And the whole transition as such!

I think the background is this:

Most of the converter boxes are manufactured overseas. Parts for converter boxes is a global commodity. Many other countries like U.K and other European countries are gearing up for transitions. That means many markets are competing for converter boxes to be delivered to the domestic consumers.

We experienced in Sweden some critical moments of supply shortages of converter systems for apartment buildings but never for consumers. Some components where flown in from China on passenger airlines and rushed to factories to be assembled in a rush. One of the reasons Sweden didn’t have dips in supply, is that Sweden has the same technical DTV standard as most other countries. US has picked a different version together with Japan and South Korea. That means in my mind, U.S will have a different position to be able to have supply from manufacturers general production lines. That also creates a shrinking market of supply for the U.S.

Also, the tests for converter boxes in Sweden,were changed and made slimmer during the transition to become faster and to a lower cost. At one point they were free to speed up the process and lower the threshold to enter the market.

Converter boxes that are to be sold in the U.S is the first generation of boxes. That will always mean more problems. Look at the first generation of Iphones for example. The difference is that it is easy to update the software in an Iphone. For an elderly consumer it is pure rocket science to download new software to their converter box manually. You have to do that if the box can’t make it automatically. And boxes will probably differ on this. NTIA should demand that boxes can update software automatically. Today that is not the case. It would probably increase the cost.

Boxes that are to be eligible for the converter box coupons must meet certain rules and, I think, must be tested before they enter the market. NTIA should make sure that the testing is made as easy and swift as possible so it doesn’t become a bottleneck that delays boxes to enter the market. Today no one have asked any questions about the procedures for testing and how the boxes are made.

This is one of the most important parts of a transition to keep track of. If there is a lack of boxes in stores consumers will become very very upset.

Anders Bjers