Hellerstein & Associates

A Telecommunications and Technology Research Group

2400 Virginia Ave., NW Ste 1023C Washington, DC 20037 (202) 333-6517 Judith@jhellerstein.com www.jhellerstein.com



Date: August 13, 1998

Contact: Judith Hellerstein

(202) 333-6517, Judith@jhellerstein.com

Digital TV Spurs Boom Market for Telecom and Cable Equipment Manufacturers

Washington, DC. -- Digital Television (DTV) will be a major driver for fiber rich network architectures and will boost the bottom line of the leading telecom, cable, and network equipment vendors. This finding is one of many in THE NEW TELEVISION 2: DIGITAL TELEVISION, HDTV and the FUTURE of DIGITAL VIDEO NETWORKS, a new report written by Judith Hellerstein for Communications Industry Researchers (CIR), a market research and consulting firm based in Charlottesville, VA.

The report found that High Definition (HDTV) remains a speculative technology adopted by only a few countries as one of the new DTV standards. Standard Definition (SDTV), however, has a much brighter future as it appears to have become the DTV standard of choice as countries transition from analog to digital TV. This movement from analog to digital and the eventual shutoff of the analog spectrum has necessitated a new generation of TVs and set-top boxes. Hellerstein & Associates believes that the bandwidth requirements for DTV and digital video necesitate a full upgrade of the Cable TV infrastructure with two-way hybrid fiber coaxial (HFC) networks.

THE NEW TELEVISION 2 discusses in depth how xDSL, HFC, FTTC, and other related technologies are being adopted to meet the needs of high quality video transmission for the coming DTV era. The report predicts that DTV's adoption by consumers will result in phone companies making another attempt at entering the TV distribution and content business as they face direct competition from cable operators, competitive local exchange providers, and broadcasters for the bandwidth needs of all consumers. This rush by telcos to speed up deployment of access technologies will create a boom market for equipment vendors, especially those who specialize in xDSL, Fiber-to-the-Curb (FTTC), digital video, and other bandwidth related technologies.

The report highlights some of the new opportunities for a successful transition to DTV and to delivering digital video worldwide and provides insight into the implications of these trends for broadcasters, cable TV operators, satellite providers, wireless cable operators, the computer industry, among other providers. The report also provides insight into the strategies of these providers for implementing digital TV and digital video into the marketplace as well as illustrating potential stumbling blocks that could delay competition or implementation of the new DTV standard.

THE NEW TELEVISION 2 includes detailed profiles of the DTV/HDTV of the leading operators, service providers, and equipment vendors. Ten-year forecasts of global DTV/HDTV equipment sales cover both set-top manufacturers and equipment, customer premises equipment, and network equipment used by the service providers.

The report's Table of Contents and a brief Executive Summary are available on the Hellerstein & Associates <http://www.jhellerstein.com> and CIR websites <http://www.cir-inc.com>. Further information on this study can be obtained from Robert Nolan at (617) 923-7611 or rob@cir-inc.com. The report is priced at $4,000 and is available in HTML, Microsoft Word and Adobe Acrobat formats at an additional charge.

Hellerstein & Associates provides companies with a competitive edge through competitive intelligence, market analysis and regulatory analysis of the telecommunications and technology marketplace. The firm specializes in report writing an in-depth investigations into the economic issues critical to competition in the communications and technology marketplace.