| Contacts: | Jeff Joseph tel: 703 907-7664 e-mail: jjoseph@CE.org |
Megan Pollock tel: 703-907-7668 e-mail: mpollock@CE.org |
CEA's SHAPIRO CLARIFIES MYTHS PERPETUATED BY THE BROADCASTERS IN LETTER TO BARTON
Assures Continued Industry Support
| Arlington, Virginia | 5/13/2005 |
The following letter was sent from Gary Shapiro, president and CEO of the Consumer Electronics Association (CEA), to Congressman Joe Barton (R-TX) in response to ongoing communication about the state of the digital television (DTV) transition:
"Dear Chairman Barton,
Yesterday, the National Association of Broadcasters (NAB) sent you a letter which perpetuates certain myths about the broadcast industry and the digital television (DTV) transition.
In the interest of ensuring a rapid and consumer-friendly end to the DTV transition, we wish to set the record straight.
Myth:
The indefinite maintenance of analog broadcasting is critical for public safety.
Fact:
As Tuesday's evacuation of the White House and U.S. Capitol reminds us, the gravest threat to our safety is another national calamity like we suffered on September 11, 2001. Again, we are reminded that the 700 MHz spectrum band held by the broadcasters will be necessary to allow a swift and effective response by police, firefighters, and other first responders.
For this reason, the Association of Public Safety Communications Officials (APCO) recently sent you a letter decrying "NAB's cavalier dismissal of public safety needs". APCO implored you to set a hard analog cutoff date, explaining that, "the security of our homeland and the lives and property of our citizens as well as our responders are at stake".
Myth:
Broadcasters are not profiting from the DTV transition.
Fact:
The greatest transfer of public to private wealth in history was the "loan" of additional spectrum to the broadcasters-an arrangement that the Wall Street Journal described as, "a multibillion dollar handout for wealthy TV station owners". With their intransigence over a hard deadline, NAB now seeks to transform the loan into a permanent gift.
Myth:
19% of all U.S. homes rely exclusively on over-the-air broadcast.
Fact:
NAB's numbers are undercut by figures provided by its own members and the Federal Communications Commission (FCC). In recent FCC filings, Sinclair Broadcasting estimates 13% over-the-air reliance, and Capitol Broadcasting puts the figure at 13-17%. The Walt Disney Company places the percentages at 9.1% in New York, and 15.3 percent in Los Angeles. The FCC's most recent estimate is 14.86 percent. In any event, the rapid increase in subscriber households makes the trend line clear and the NAB numbers wishful rather than real.
NAB can shuffle its numbers, but it cannot escape the facts: over-the-air broadcast is the choice of a small and rapidly declining minority of American households. At the same time, of course, we encourage Congress to explore ways to minimize any adverse effects of an analog cut off.
Myth:
Every television not hooked up to cable or satellite is used to receive over-the-air broadcasts.
Fact:
NAB implies that every TV set not hooked up to cable or satellite in subscriber homes is used for OTA reception. The fact is that in cable and satellite homes, unconnected sets are primarily reserved for use with VCRs, DVD players, and/or video game systems.
Myth:
TV set manufacturers are resisting phased-in tuner mandate rules.
Fact:
CEA's petition at the FCC would accelerate the tuner mandate deadline for 25-inch to 36-inch sets by four months-resulting in 4 million more tuners sold than under the current mandate timeline.
Myth:
1,500 broadcast stations are on the air with digital and high definition programming.
Fact: According to FCC's latest figures, as of April 7, 2005 (almost three years after the May 1, 2002 deadline for commercial DTV broadcast stations) only 35.5 percent of commercial DTV broadcast stations are on the air with a full power DTV signal. The majority (52 percent) are on the air with low power signals that fail to replicate the stations' analog service area; and 12.5 percent have no DTV signal at all.
In other words, eight years into the broadcast DTV transition, an astonishing 64.5 percent of commercial broadcasters still fail to offer a digital signal to all the viewers within their analog service areas.
Myth:
Broadcasters want a prompt end to analog broadcasting.
Fact:
Without exception, the broadcasters have deployed their immense lobbying resources against every attempt to regain the analog spectrum.
Meanwhile--perhaps because a significant portion of their vast resources are devoted to fighting a hard date--they make virtually no attempt to educate their viewers about the DTV transition. Think: when is that last time you saw a broadcaster-sponsored public service announcement (PSA) about digital television?
Mr. Chairman, the fight for a hard analog deadline will be a tough battle against entrenched legacy interests.
At the same time, recovering the analog spectrum is the right thing to do. It is right for consumers, it is right for innovation, and it is right for America's national security.
Please rest assured that you have our industry's support."
About CEA:
The Consumer Electronics Association (CEA) is the preeminent trade association promoting growth in the consumer technology industry through technology policy, events, research, promotion and the fostering of business and strategic relationships. CEA represents more than 2,000 corporate members involved in the design, development, manufacturing, distribution and integration of audio, video, mobile electronics, wireless and landline communications, information technology, home networking, multimedia and accessory products, as well as related services that are sold through consumer channels. Combined, CEA's members account for more than $121 billion in annual sales. CEA's resources are available online at www.CE.org, the definitive source for information about the consumer electronics industry.
CEA also sponsors and manages the International CES - Defining Tomorrow's Technology. All profits from CES are reinvested into industry services, including technical training and education, industry promotion, engineering standards development, market research and legislative advocacy.