CEA shares concerns about disenfranchising consumers, but the data shows the number of consumers in this category has been exaggerated
Gary Shapiro, CEA President and CEO

"A hard deadline to end analog television broadcasts will bring needed certainty to the DTV transition," said Consumer Electronics Association (CEA) President and CEO Gary Shapiro in testimony delivered Tuesday before a congressional committee. Shapiro made his comments before a hearing held by the Senate Commerce Committee examining the transition to digital television (DTV).

Shapiro stated, "A hard deadline will provide a 'win-win' scenario for all stakeholders, allow manufacturers and retailers to label analog products and will foster innovation and strengthen our national security."

Shapiro also detailed the need for the rapid recovery of the 700 MHz spectrum currently being occupied by broadcasters. "The prompt recovery of this spectrum will produce massive public interest and economic benefits. The analog TV broadcast spectrum is ideal for advanced wireless broadband applications. A hard deadline will spur innovators to come up with a broad range of new wireless services, giving unprecedented access to rural and underserved areas," said Shapiro.

"CEA shares concerns about disenfranchising consumers, but the data shows the number of consumers in this category has been exaggerated," Shapiro reported.

Shapiro pointed to CEA's newest survey that found nearly 110 million American homes with at least one TV, almost 87 percent are receiving local and national broadcast programming via cable or satellite. Furthermore, only 32.7 million (or 11.5 percent) of the 285 million television sets are used to view over the air television programming (OTA). Shapiro noted, "The simple fact is: while an analog broadcasting cut-off is important for our nation, it will have only a small practical impact on the viewing habits of the vast majority of Americans."

With CEA's primary goal to make the DTV transition as consumer friendly as possible, Shapiro commented on his concern over proposals to accelerate digital tuner deadlines. CEA manufacturer members relied on the government's set schedule. Aggressively accelerating the mandate for 13 to 24 inch sets and other TV reception devices (such as VCRs, DVD and DVRs) would suddenly and dramatically increase the price of the most affordable small-screen TV sets, or force manufacturers to not produce those models rather than be in noncompliance.

"CEA believes that March 2007 is the earliest possible date, consistent with the integration of digital reception capability into 13 to 24 inch sets and other devices having an analog tuner. This date would fall within our industry's 18 to 24 month product cycle, allow time for economies of scale to develop and prices to come down - ensuring the smoothest possible transition for consumers," said Shapiro.

In conclusion, Shapiro applauded the committee for its efforts. "Setting a realistic and certain date for the end of analog broadcasting and the recovery of the analog spectrum for new purposes is the right thing to do," he said. "Meanwhile, we will continue our unprecedented efforts to educate consumers about digital television. I pledge CEA's continuing commitment to working with this committee and other stakeholders to ensure the most speedy and consumer friendly transition, and a prompt return of the analog broadcast spectrum."

In a statement issued yesterday, U.S. Rep. Joe Barton, R-Texas, chairman of the House Energy and Commerce Committee, said  ""It is clear there is a growing consensus in Congress for a hard deadline to end the digital television transition. Establishing a firm deadline will help ensure that police and firefighters meet their critical communications needs, that consumers receive the benefits of next-generation wireless broadband services, and that Congress further reduces the deficit. I am fully committed to working with the Senate to set a hard deadline this year."