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Market Outlook for Digital Terrestrial TV

The worldwide DTT (Digital Terrestrial Television) receiver market will grow from 65 million units in 2007 to more than 350 million units in 2013, representing a compound annual growth rate of 32 percent.

Approximately 85 percent of units shipped in 2007 support digital television and digital set-top box markets, while 15 percent comprises other consumer electronics or PC applications, according to ABI Research.

DTT infrastructure was first established in Japan (ISDB) and Korea (T-DMB) -- and as a result, DTT receiver penetration in Japan is about 23 percent, while 34 percent of Korean households employ systems with DTT receivers.

"By 2013, the DMB-T/H system in China will have about 100 million users," says Steve Wilson, principal analyst for ABI Research. "China's national DVB standard GB20600-2006, also known as DMB-T/H, supports both fixed and mobile television applications."

The rollout of digital video broadcast has arrived in time for the 2008 Summer Olympics in China, with service deployed in nearly 30 cities. In the United States, DTT receiver penetration will reach nearly 100 percent of TV households, as the last bastions of standard definition and analog cable convert.

Moreover, broadcasters will adopt a mobile standard using ATSC (Advanced Television Standards Committee) frequencies -- as Samsung and LG present solutions to the industry.

While MediaFLO and DVB-H based mobile TV solutions certainly are earlier to market, broadcasters own a huge piece of spectrum that may otherwise sit idle. Other mobile operators are receiving support from companies that develop silicon solutions for handsets that sustain analog television distribution, especially in countries where the transition to digital is not expected until well into the next decade.

All in all, concludes Wilson, "the market opportunity for digital terrestrial receivers spans many consumer electronics devices. Many of the world's digital TV standards support mobile and portable applications, and digital receivers are capable of delivering this signal at a fraction of the size and power of previous technologies."

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