HDTV in Europe - Ready for the take-off?

• The base of HD-ready TV sets is growing.
• Although later than planned, HD services have been launched in several European countries.
• The different distribution networks have become HD-compatible.
• Technical production and broadcasting chains are largely HD-ready.

• Some consumers have trouble understanding the benefits of high definition.
• The HD business model is still fuzzy for general interest channels.
• HD programme production is being blocked by the chicken or the egg dilemma that is weighing on the industry as a whole.

• What lessons can be learned from HDTV deployments in the US and Japan?
• HDTV in Europe: on which network?
• How to encourage an expansion of HD content?
• What conditions are needed for a migration to a free HDTV offer?
• What leverage can be used to kick start the market?

1. HDTV: current state of affairs

1.1. Format, technical and additional costs

1.2. HDTV deployment levels in Europe

2. Lessons to be drawn from the deployment of HDTV in the USA and Japan

2.1. Around 10% of households use HDTV services

2.2. HDTV distributed over four networks

2.3. HDTV offer spurred by FTA in Japan and pay-TV in the USA

3. HDTV in Europe - on which network?

3.1. Satellite, HDTV’s driving force

3.2. IPTV getting ready to join the fray

3.3. DTT - waiting for the analogue switch off in 2010?

3.4. Cable: limited capacity available

3.5. And what about the Web?

4. HD offer strategies

4.1. Pay-TV operators: generate ARPU, attract subscribers and/or cement their loyalty?

4.2. Is it in generalist channels’ interest to migrate to HD?

4.3. Launch of free HDTV service platforms: options

5. HD programme availability

5.1. HD programme production and acquisition

5.2. How to expand HD programming?

6. HD devices, remaining uncertainties

6.1. HD-ready TVs and set-top boxes

6.2. Devices for “stand alone” HD prg consumption: game consoles HD DVD, HD PVR, PC

7. HDTV in Europe: what development prospects?

7.1. Two successive waves of HD offer rollouts in Europe?

7.1.1. Market driven by pay-TV, as in the USA

7.1.2. Will free HDTV take over?

7.2. Disparities in deployment levels around Europe

7.3. Measures to kick start the HDTV market

List of tables and figures

Table 1: Impact of HD on the audiovisual value chain

Table 2: HDTV offers in the major European markets

Table 3: HD strategy of SkyPerfecTV!

Table 4: Carriage of HDTV services on TV broadcasting networks in Europe

Table 5: Comparison of networks enabling broadcasting of HD services

Table 6: Examples of HD marketing methods in Europe

Table 7: Number of planned HD-DVD titles in the USA in mid-2006

Table 8: HDTV deployment factors in Europe

Figure 1: HDTV deployment around the world, end 2005

Figure 2: TVSD, TVHD, 2K (cinema) picture formats

Figure 3: Distribution of digital channels via BS satellite in Japan

Figure 4: TV access modes in Japan and the USA (% of TV households)

Figure 5: ADSL speed-distance diagram

Figure 6: Proportion of broadband Internet access lines of over 8 Mbps in the major European markets in 2005 19

Figure 7: Example of HD DTT multiplex (optimum MPEG-4 compression)

Figure 8: Upgrading of Mediaset’s installations to HD level (Q1 2006)

Figure 9: Trends in average prices of HD-ready LCD screens in 2005

Figure 10: HD Ready TV set penetration in major European countries

Figure 11: Forecast numbers of households equipped with HD Ready TVs in Western Europe