We've seen growing penetration of HD screens in Europe, but a Screen Digest report also shows a significant 'HD content gap'. A total of 18% of the 165 million European TV households were equipped with a HDTV by the end of 2007, but less than 1% was actually 'HD ready'. This means that only a small group of the HDTV owners had the right set-top-box and high-def subscription.
Screen Digest's report, called HDTV 2008: Global Uptake, Strategies and Business Models, shows that by 2012 this will be improved little. Then we will see that only 20% of the 85% that own a HDTV will actually watch in high-definition. Although you might think that HDTV, or at least watching in high-definition, will then never kick off, the report shows it will reach a mainstream position eventually.
"In the next five years, HDTV will remain little more than a pay TV product in Europe, primarily on satellite. Analogue switch-off, which will happen between 2010 and 2012 will free-up bandwidth capacity on the digital terrestrial platform and will kick-start the next phase of growth in HDTV. HDTV will become the mainstream and ultimately the standard form of free television around the middle of the next decade. In ten years time, nobody will ever refer to 'high definition' because HD will be everywhere," says Vincent Létang, senior analyst and author of the report.
To make sure we will enjoy high-definition in Europe too, Screen Digest comes with three critical success factors: penetration of HD displays, supply of content and the availability of HD broadcast platforms.
If these three will be successfully mixed and offered to the next-decade European, we will see a growth in HD watching by then.
