Skip to main content

HDTV Anticlimax in the German Marketplace

The closure of two German HDTV channels has cast a shadow over European hopes for a rapid transition to High Definition Television, according to analysis published by the Strategy Analytics Broadband Network Strategies service.

Their report entitled "HDTV Channels Shut Down: A Sign of Things to Come?" concludes that Europe's television providers should concentrate their resources initially on building pay television rather than advertising based business models in order to reach the critical mass of HD content and receivers necessary to make HDTV a self-sustaining business.

ProSiebenSat1, one of Germany's leading commercial television broadcasters, closed its two HDTV channels on February 15th after concluding that audience figures were insufficient to justify their continued transmission. The decision leaves Germany with only a handful of HD channels, most of them only available to pay TV subscribers.

"It was always highly ambitious to expect advertising revenues alone to support HD channels in the early years," comments David Mercer, Principal Analyst. "Significant audiences cannot be built until the market has been seeded with millions of HD receivers -- and this was always going to take a number of years."

The report finds that only 5 percent of Europeans who currently own an HD-Ready TV are, in fact, watching HDTV channels. In spite of these early difficulties, the report concludes that the number of European HDTV subscribers will grow steadily towards 3.5 million by the end of 2008.

By 2012, Strategy Analytics predicts that 20 percent of all European households will be watching HD channels.

Popular posts from this blog

Contact Centers Transform with AI Intelligence

The contact center industry stands at a pivotal moment. What began as simple call routing systems has evolved into sophisticated customer experience platforms that leverage artificial intelligence (AI), rich messaging capabilities, and omnichannel communications. The shift from traditional Contact Center-as-a-Service (CCaaS) to conversational messaging platforms represents more than just technological advancement; it's a fundamental reimagining of how businesses connect with their customers. Today's customers demand personalized interactions across their preferred channels, whether that's voice, SMS or emerging platforms like Rich Communication Services (RCS). They expect immediate responses, contextual understanding, and the ability to switch between channels without losing conversation history. Intelligent CCaaS Market Development The results tell a compelling story of market evolution and opportunity. According to the Juniper Research latest market study, the global CCa...