AfterDawn: News

100 million will pay for HDTV service by 2012, says report

According to a new Pike & Fischer report, over 47 million American households will pay for some sort of HDTV service by the end of the year and that will increase to over 100 million by 2012.

The report, "HDTV Service: Market Forecast for Multichannel Video Providers", which is produced every year, showed a 17 million home increase from the 2007 report.



Most broadcast networks air their programming in HD for free currently by cable operators, satellite TV providers and telephone companies all offer "premium" HD channels as well as leasing HD-ready equipment, and selling on-demand movies and TV shows in HD format.

The forecast also showed that HD video "will generate up to $2.6 billion in annual revenue for the multichannel video providers by the end of 2012."

Despite the recent decline in consumer spending and economic recession in the US, Scott Sleek, Director of Pike & Fischer's Broadband Advisory Services, believes the slump can have an opposite effect.

"People may decide they'll save more by investing in home entertainment," he says. "That way they can microwave some popcorn and order an HD movie on demand instead of spending $50 or more to go out for dinner and movie."

Written by: Andre Yoskowitz @ 18 Mar 2008 16:11

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• 9 comments

• tripplite

  1 out of every 3? no i seriously doubt that.....maybe if HD becomes the standard and cable companies wont broadcast in anything else then maybe

  18.3.2008 16:20 #1

• goodswipe

  Quote:That way they can microwave some popcorn and order an HD movie on demand instead of spending $50 or more to go out for dinner and movie.
  Ugh, duh! I understand that these movie theaters don't make a profit off selling movie tickets, but they damn sure do off those 12 dollar cokes and 5 dollar popcorns! I mean seriously, with the way the economy is going, can they honestly say they don't make a profit off that? How much does a 5 pound bag of popcorn cost? Can't be that much.
  
  Like I've said before, the only way I will go see a movie these days, is if it's showing at the Alamo Drafthouse here in my town. I'd much rather pay 12 bucks for a pitcher of Live Oak, Big Bark, then 12 dollars for a damn coke!
  
  Any ways, yea I much rather sit in the comfort of my house and watch some HD programming on the big screen with 7.1 surround!
  
  WHAMMY!!!
  
  
  
  
  
  
  /Alamo Drafthouse FTW!!

  18.3.2008 16:31 #2

• sssharp

  I paid 10 bucks for the rabbit ears at wallyworld, does that count as an hdtv buyer? The ota hd channels do just fine for me and the normal channels on satellites look fine in their sd format.

  18.3.2008 18:49 #3

• sgriesch

  Originally posted by sssharp: I paid 10 bucks for the rabbit ears at wallyworld, does that count as an hdtv buyer? The ota hd channels do just fine for me and the normal channels on satellites look fine in their sd format.
  Fine for now, but those ota channels are not going to be there much longer. Don't get used to it.

  18.3.2008 20:28 #4

• emugamer

  Quote:Ugh, duh! I understand that these movie theaters don't make a profit off selling movie tickets, but they damn sure do off those 12 dollar cokes and 5 dollar popcorns! I mean seriously, with the way the economy is going, can they honestly say they don't make a profit off that? How much does a 5 pound bag of popcorn cost? Can't be that much.
  My wife buys a 2lb container of kernels for $3.00. She pops it in a pot with oil and salt and drizzles butter over it. She can pop about 10 big bowls of popcorn that we share when we watch movies. That would be about $.30/bowl (let's be generous and round it up to $.50 to account for the high cost of oil, salt and butter). If I were to spend $7.50 for the equivalent of what she makes - over 10 movies.....well $75 vs $3.00. Plus I save on gas. Add another $5.00 round-trip to our closest theatre - about $50 more to see 10 movies.
  
  Comparison -
  $3.00 to watch 10 movies at home and eat fresh popcorn
  $125.00 to drive to a theatre 10 times and eat popcorn with artificial silicone gunk.
  
  I can't wait to get my 50" LCD!! I already have a PS3 :-)

  18.3.2008 20:30 #5

• duke8888

  I couldn't live without my HD service, love the sports its like being there and them movies and show in hd is well worth it. All the whiners are too cheap to get the service so they should just keep their rabitt ears until the service is terminated next yea LOL.

  19.3.2008 19:27 #6

• BurnedOne

  $50 for dinner AND a movie? In what part of the country is that possible?
  
  And in total agreement about Alamo Draft House - an Austin icon, wouldn't consider that a "theater" so much as I would "an experience".
  
  But staying home, grilling a big ol' ribeye, and watching several HD movies on the big screen sure does seem to be the wave of the feature.
  
  Besides, movie theaters don't have a "pause" button.

  20.3.2008 20:17 #7

• goodswipe

  Originally posted by BurnedOne: $50 for dinner AND a movie? In what part of the country is that possible?
  
  And in total agreement about Alamo Draft House - an Austin icon, wouldn't consider that a "theater" so much as I would "an experience".
  
  But staying home, grilling a big ol' ribeye, and watching several HD movies on the big screen sure does seem to be the wave of the feature.
  
  Besides, movie theaters don't have a "pause" button.You from Austin bro? Yea, the Drafthouse is definitely an experience that I recommend to everyone.
  

  "look honey, it said goodswipe! oh wow, that's amazing."

  20.3.2008 20:25 #8

• wetsparks

  About how much they make off of popcorn, I used to work a booth at the county fair and we sold popcorn because it was virtually pure profit. Popcorn kernels are dirt cheap and cinemas make about as much of a killing selling popcorn as Blizzard does from running the WoW servers.

  22.3.2008 23:46 #9