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Digital Radio To Gain Consumer Acceptance By 2005

Digital Radio To Gain Consumer Acceptance By 2005

Digital radio, or digital audio broadcasting (DAB), will gain broader consumer acceptance within the next five years in Europe and the US, according to a new report from In-Stat/MDR.

Despite what In-stat describes as ‘a series of difficulties in the early years of development’, DAB and digital audio radio services (DARS) are now beginning to offer a new range of programming choices to consumers.

“Even though the digital radio space is being developed at one of the most economically challenging points in time over the last 50 years, receiver manufacturers are ramping up production to meet growing customer demand for these services, indicating that they may eventually overshadow traditional analogue radio,” says the report.

In-stat senior analyst Michelle Abraham says that major markets like the UK, Germany and Canada are beginning to show ‘how vital digital is in adding value to radio services’.

There are a number of hurdles which need to be overcome before the DAB market can really take off, not least of which is the need for the mass-production of cheaper digital receivers, particularly for automobiles. Broadcast coverage must also be widened, says In-stat.

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