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Predictions for Digital Terrestrial TV Adoption

The Digital Terrestrial TV (DTT) Set Top Box (STB) market is poised to surpass $1 billion due to the analog signal cutoff date of Feb. 17, 2009 in the U.S., and prospects of a large Chinese market, reports In-Stat.

As DTT markets mature, the growth in uptake of DTT tuners will continue, aided primarily by increased consumption for second and third TVs.

"The prospects of turning off analog terrestrial broadcasts, coupled with ongoing marketing campaigns, are powerful motivating factors for consumers to adopt the digital platform," says Michael Inouye, In-Stat analyst.

In-Stat's study found the following:

- Europe continues to lead DTT, and could see significant digital penetration as analog cutoffs continue and commence.

- While HD TV, in the near term, will likely remain a niche market in most countries, events like the 2008 Olympics and a larger HD TV installed base could help spur its adoption.

- In North America, a residual market will likely exist in 2010 and 2011, but it will pale in comparison to that of 2008-2009.

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