NCTA defended cable efforts to create new retail market for compe...
NCTA defended cable efforts to create new retail market for competitive digital cable set-top boxes in ex parte filing at FCC. In letter sent Mon. to Comr. Ness, NCTA quoted from recent TechTrends market research report that indicated that…
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“cable operators will begin to adopt new customer acquisition strategies, such as establishing a retail presence,” in next year. In recent meeting with Ness and her staff, Sharp executives referred to that study, arguing that it showed retail market for digital cable boxes wouldn’t develop until at least 2002 (CD March 29 p8). NCTA’s response said study “also discusses how the emergence of leading consumer electronics companies, such as Philips, Sony, Pioneer and Panasonic, are expected to radically alter the competitive and distribution landscape for digital cable set-top boxes.” For example, TechTrends predicted that Panasonic and Philips combined would account for one million of the 3.7 million digital set-tops that top MSO AT&T Broadband was expected to deploy this year, with Motorola accounting for other 2.7 million.