Analogue To Digital Television Sets example essay topic
As modern technology grows, the television industry is introduced to major issues, such as low consumer confidence, analogue switch-off difficulties, and the lack of technical skills. And unless these problems are resolved soon, they will lead to the collapse of the television industry. Lack of skills: Concerns associated with employee technical skills is becoming very common in the digital TV industry. The industry fears that its employees may lack the advanced technical knowledge required for the future. Its major concern right now is to find the right people with the right skills to effectively implement future strategies. Digital TV companies must become much more competent, innovative and creative, which means that its employees must be willing to develop themselves and their company in order to sustain the industry.
As many are aware, IT skills will be very essential to the well-being of the industry. Because a number of shoppers today are already purchasing products online - and Internet access via digital TV exists, advanced IT skills are definitely required for the future health of the digital TV industry. However, since the demand for specialist IT skills is increasing and the human resources are limited, there exists a shortfall - one that appears to worsen. It has been reported by e-commerce consultancy, Spectrum Strategy, that over 850,000 e-business jobs could be created in Britain by 2003.
But unfortunately, due to skills shortages, the digital TV industry among other industries, is threatened to have one in ten vacancies unfilled. Analogue Switch-Off: To 'keep up' with modern technology, the UK government strongly urged the country to convert from analogue to digital television sets. The government had some idea of a desired date for the television industry to complete its analogue switch-off, and stated that switch-off will occur when 70% of the population owns a digital television, which could take place between 2006 and 2010. This lack of clarity creates another factor in holding people back from understanding digital. Experts within the television industry indicated that once a definite switch-off date has been announced, the 70% target will be reached 'quite quickly. ' The government has said that before switch-over can happen, 99.4% of the population must be covered by digital transmissions and that 95% of consumers must have access to digital equipment.
However, previous estimates had predicted that the 70% target will be reached in 2015, at the earliest. And because there is a large number of confused customers, experts doubted that broadcasters would be able to switch to digital by 2006. As a matter of fact, recent research by the Consumers Association indicated that customer confusion is one reason why switch-over from analogue to digital by 2006 at the earliest, and 2010 at the latest, as specified by government regulations, is very unlikely to be. Research shows that while nearly half of Britain plans to convert to digital television within the next three years, 46% of the UK population admitted that they could not differentiate between digital and analogue. This is because they confuse digital TV with pay TV, believing that they must pay for their five channels once they convert. Another 38%, however, stated that they choose to buy a digital set when their current television no longer functions properly, while several other groups in UK believe that switch-off is decades away, and therefore, have no intention of purchasing a digital set anytime soon.
These reasons are taken into consideration by the UK Government, resulting in its unwillingness to announce a fixed switch-off date. Consumer Confusion: Switching over to digital television is a major problem for several consumers in the UK. Unfortunately, this path taken by the television industry is filled with potholes of expensive equipment, cable incompatibility, and customer confusion, as many believe. One reason behind such lack of enthusiasm is certainly due to the cost of switching over: some people simply can't afford it, while others who could afford it prefer to spend their money on something else.
In order for their analogue sets to be useful in the future, customers must purchase a digital decoder box to connect to their current sets. Such piece of equipment is very costly, which gives them reason to refuse to buy one. In fact, the cost of replacing all television sets in the UK with a decoder box or a digital television is approximately lb 8 billion. And, the price of a digital television set is currently over lb 1,000. Many consumers are also unenthusiastic towards digital TV due to their unwillingness to watch more channels. These people indicate that they feel accustomed and quite satisfied with the few channels they receive from their current television sets, causing them to hesitate purchasing a digital set.
Consumer Confusion and ONDigital: Even after digital television companies have experienced numerous combative advertising against their rivals, a high degree of public confusion over what digital television has to offer still remains in Britain. To deal with the issue, ONDigital has planned to somehow 'teach' the public about the advantages of converting to digital TV. In order to make this possible, the company decided to discuss its plans with the British government. As a result, an British MP, Chris Smith, 'addressed the Royal Television Society in Cambridge in September 1999,' and 'indicated that the Government would conduct a public information campaign, which would inform the public the benefits of digital television. ' However, such campaigns have not yet been put into effect, and ONDigital is strongly pushing the government to deal with the situation as soon as possible. In addition to its first solution, ONDigital has also planned to enhance consumer awareness of digital TV through free-to-air analogue channels.
The company has been discussing its solution with the BBC and ITV. But major government support is needed, with the government playing the most crucial role in accomplishing it. ONDigital demonstrated planning, organization, and leadership during the public confusion crisis. ONDigital management demonstrated planning by examining the overall situation, and deciding to inform the public about the benefits of switching over to digital through public info campaigns.
ONDigital attempted organization by trying to turn its plans into actions by defining what needs to be done. It has recognized that the only one who plays a significant role in carrying out its plans was the government. In reaction to this, ONDigital attempted to its full potential, to convince the government to take serious action. Last but not least, ONDigital has also exhibited leadership, by taking initiative to resolve consumer confusion as soon as possible. The company realized that the UK government was not willing to do anything about the situation, and therefore decided to somewhat take the leading role in pushing the government to aid the problem. Consumer Confusion and Sky digital: In contrast to ONDigital's strategies in handling consumer confusion, Sky Digital has planned to offer immense discounts on upgrades to its existing subscribers.
'Sky customers who have called the company for upgrading tips and were offered special upgrade costs is a case in point. Although these prices varied from time to time, they ranged lb 45 to lb 75, which was a 70% discount the from the initial upgrade price of lb 159.99. While this was the case for Sky subscribers, approximately 30 000 pubs and clubs that used Sky analogue, were 'offered the upgrade to Sky Digital absolutely free. ' In addition, like ONDigital, Sky has also planned to request the UK government to help inform the public about the benefits of converting to digital by means of public campaigns.
Sky Digital displayed planning, organization, and leadership during the period of public confusion. Because it desired to have more customers to buy its products for upgrade to digital. With belief that this was the best solution, Sky members discussed and planned to offer massive discounts to its subscribers who wished to upgrade. Sky also demonstrated organization, since its members effectively determined what needed to be done to solve the problem. Like ONDigital, Sky realized that the UK gov must take the active role in resolving the issue, as Sky attempted to convince the gov to aid the situation as soon as possible. Finally, Sky exhibited leadership with its motivation to take a leading role by nearly 'demanding' the UK Parliament to assist the company with their current struggle.
Company Comparison: The issues surrounding ONDigital and Sky Digital are quite similar. While ONDigital decided to inform potential customers through free-to-air analogue channels, Sky chose to offer huge discounts to its subscribers for digital upgrades, both of which are completely different means to increase consumer confidence and to remove public confusion. However, ONDigital and Sky Digital have also pursued a common plan. Both companies have negotiated a plan with the UK Parliament to aid their shared issue. But unfortunately for both, Parliament has not yet conducted any of its promised public info campaigns. Conclusion: In conclusion, the future of digital television is unpredictable.
Who knows where our high-tech society will end up next? Because technological advances are happening 'right before our eyes,' the TV industry is forced to 'keep up with' modern technology. If this cannot be accomplished effectively, the industry will experience its gradual downfall. The UK government must help the industry 'stay on track' and ensure that its products are agreeable to public interest. But in order to do so, Parliament must take a serious stand on the issue and motivate itself to promote public awareness of the benefits of converting to digital TV. If Parliament fails to play an 'active' role, results for the television industry will be extremely negative.
Not only will this give the industry a 'bad' reputation, but it will also cause the Parliament itself to have a long-term negative reputation as well. Comparison: Government to offer free digital TV (so lu to consumer confidence) A trial that will include free Internet access is likely to target deprived areas, and will be used to assess the UK's readiness for the analogue switch off The government is to give away access to digital TV, the Internet, shopping and email in preparation for the analogue switch off and universal Internet access. Free conversions to digital TV will be seen by many as an admittance from the government that it is losing faith in its planned 2006 analogue switch off. Nevertheless, seven million homes already have access to digital TV and the government is confident that half the nation will have switched by the end of 2002. The programme is designed to give government an insight into the issues involved in switching the public to a digital signal. The 'digital neighbourhoods' that will participate in the scheme are yet to be identified but the project is expected to be up and running in the next six months.
The government is likely to target deprived areas and those that are excluded from the digital revolution, since Internet via digital TV is seen as the best way of reaching its target for universal Internet access by 2005. ' A cross-section of the public will be involved in the trial and we will monitor what they are watching and where improvements need to be made to drive the take-up of digital services,' said a Department of Trade and Industry spokeswoman. According to Trade and Industry secretary Stephen Byers, one in three households already have digital television. 'We need to ensure that Britain leads the world in the development of digital television, and that every community shares in the benefits and that we don't see the creation of a digital divide,' he said in a statement.
People in the trial will be able to watch all existing free terrestrial channels, as well as digital TV channels including ITV 2, BBC Choice and BBC Knowledge. They will also be able to access interactive Internet services and send / receive email. About twenty broadcasters, manufacturers and retailers of digital technology -- including Sky, ONdigital and the BBC - have expressed interest in the scheme and the government hopes some of these will be willing to plough money into the project. There are no plans for government to subsidize set-top boxes to the general public despite that Ondigital's set-top box giveaway could soon come to an end. Last week the chief executive of ONdigital Stuart Pebble claimed the government could do more to a digital Britain.
'The channels haven't been strong enough, and the public information campaign promised by Chris Smith hasn't happened,' he said at the time. The government is keen to clarify the benefits of going digital, following concern that consumers were being misled into buying TVs with digital features such as digital sound, under the impression that they were getting TVs that would connect to digital channels. Last month e Minister Patricia Hewitt launched a scheme to label digital TVs in an effort to end consumer confusion. 'As a consumer myself, I know how confusing buying a new TV can be. Often the information consumers need is buried in the small print,' she said.
Conclusion: But, if politicians think that the problem can be solved without them taking a lead, they are mistaken. A definite date for analogue switch-off is crucial to complete the transition from analogue to digital. This is when government officials are especially needed to take serious action on the issue. If switch-off is left to consumers to determine, the switch-over to digital will happen very slowly in a fragmented manner. The sooner one is announced, the sooner digital TV will be accepted.
These are major challenges that may fail to be met, unless given special political attention.