Tight Capital Complicates DTT Set Top Market

SCOTTSDALE, Ariz. — The global credit crunch could endanger many large digital terrestrial TV deployment projects, which require large amounts of financed capital, reports In-Stat. This could cause delays in DTT conversion programs worldwide, with consumers purchasing fewer set top boxes (STBs) as a result.

“Another scenario, however, is more upbeat for the STB market,” says Gerry Kaufhold, In-Stat analyst. “The economic slowdown could spur governments to fund the DTT transition at an accelerated rate to stimulate the economy. By auctioning off the analog spectrum, governments would receive income. Converting analog spectrum for other uses will also spur new innovation and opportunity.”

Recent research by In-Stat found the following:

• Total DTT STB unit shipments will peak at 44 million in 2009.
• Standard Definition DTT Set Top Box unit shipments will peak in 2011.
• The Component Value of Standard Definition DTT Set Top Boxes will reach nearly $500 million in 2011.
• The European DTT STB Market Value will peak in 2011 at $1.6 billion.

Recent In-Stat research, Digital Terrestrial TV Set Top Boxes 2009: Analog Shut Off Fuels Worldwide Market (#IN0904066ME), covers the worldwide market for digital terrestrial TV set top boxes. It includes:

• Worldwide and regional forecasts for standard definition and HD STB shipments, revenue, bill of materials and component revenue through 2013.
• Country-level unit/revenue shipment detail for major countries in Europe, North America and Asia.
• Analog shut off timetable by country.
• Regional analysis of the status of DTT by major country.
• Examination of semiconductors and components used in DTT STBs.