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Competitive Market Boosts UK Digital Growth

Competitive Market Boosts UK Digital Growth

According to new research by Strategy Analytics, the UK is leading European digital TV uptake with 37% of UK homes having switched to digital by the end of 2001 compared to a European average of 16%.

According to the research, the success of the UK market has been driven by “intense competition” between the four delivery platforms, satellite, cable, terrestrial and DSL.

In contrast the German market has been restricted by a political battle between new cable investors, free-to-air broadcasters and regulators (see Liberty Media Withdraws From Kirch Bid). The report forecasts that this could delay the roll-out of digital services throughout Europe.

Nick Griffiths, senior analyst at Strategy Analytics, said: “We expect the majority of European homes to have digital television by 2006. But the analogue switch-off remains a distant prospect for most countries until well into the next decade.”

Despite the relative success of digital TV in the UK the switchover is not happening as quickly as some might like. The Government has reportedly shelved plans to pay for millions of people to switch to digital TV, fuelling speculation that the current 2006-2010 deadline for the switchover will not be met (see Digital Deadline Thought ‘Optimistic’, Says FT).

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