High-definition (HD) TV remains one of the hottest talking points among European digital television markets. HD developments in Europe have trailed that the United States and Asia, but with consumer interest piqued by the World Cup this month, HD content providers and distributors must focus their efforts on capitalizing on the momentum generated by the world's biggest sports event by rolling out new and varied HD programming.
For content providers, the move to HD is really just beginning, and broadcasters who are out front in ramping up their HD content hope the technology gives them a competitive advantage over other providers, boosts ratings and instills a strong interest in customers not used to watching such a crisp picture. "The dynamism, color and emotions that come with the World Cup put HD in its best light - making it an excellent platform to launch HDTV," says David Gillies, director of technology at Pace Micro Technology, a supplier of set-top boxes to satellite pay-TV operators across Europe.
A New Era
Around the globe, HD market development is dependent on two factors - creating more content and finding a way to deliver that content to consumers in a cost-effective and efficient manner. At the forefront of the push to HD in Europe will be satellite pay-TV operators. Germany's Premiere already launched HD services, while BSkyB is on the verge of launching services in the United Kingdom. Sky Italia recently announced its plans to launch HD services in conjunction with Eutelsat in Italy.
Hans Seger, Premiere's chief programming officer, believes the company will convert most of its programming from standard definition (SD) to HD within the next five to 10 years. "Further areas with potential for growth are concerts or lifestyle programs," he says. "So far, we have no concrete plans, but we are talking to a lot of content providers who are highly interested in bringing HD content to Germany." Seger believes Germany will prove a vibrant landscape for HD. "By mid 2008, we expect to have some 500,000 HD subscribers. After the positive result of our field test and the very satisfactory launch of HD, we have every reason to be confident that our HD programs will prove to be very popular," he says.
One of the pioneers in bringing HD to Europe is Alfacam/Euro1080, which already provides HD channels across the continent. Euro1080 launched the first HD broadcasts in Europe via satellite in January 2004, while sister company Alfacam is an independent producer of HD content in Europe. Gabriel Fehervari, CEO of Alfacam/Euro1080, believes the World Cup "is an important signal" for HD to move forward, and the company is ramping up its own HD content production in the wake of the event. "For Alfacam, we are making 600 to 700 productions in HDTV in 2006," he says. "All major events are moving to it. For Euro1080 we are moving after two years of pan-European activity toward a multi-regional model. Between the fourth quarter of 2006 and the end of 2007 we will start up 11 versions of HD1 and 11 regional HD3 culture channels. In 2008 we believe that some public broadcasters will move to HDTV."
As one of the most globally recognized broadcasters, the BBC likely will be a major player in bringing HD content to the United Kingdom, one of Europe's largest markets. As well as providing HD coverage of the World Cup, the broadcaster is strong in producing documentaries in HD. "We believe for the growth to eventual universality of HD, it's really important that it's available to all, free to air," says Seetha Kumar, the BBC's head of HDTV. However, Kumar believes there are regulatory issues that need to be resolved for the technology to maximize its potential in the U.K. market. "2006 will be a great year for HD in the U.K. if the Ofcom Digital Dividend Review comes to a decision which allows U.K. broadcasters access to the terrestrial frequencies which will be freed at digital switchover, so audiences who have chosen Freeview have access to HD, which is the highest quality viewing experiences we can provide. The BBC can make high-definition broadcasts universal as part of every platform offer we have."
Dave McGlade, CEO of satellite operator Intelsat sees the development of HD accelerating in Europe, as the continent follows the same path as the United States in capitalizing on the momentum created by sports. "It all goes back to the consumer electronics business," he says. "As you drive more HD content and replace SD content, adoption of consumer electronics happens automatically." The 2008 Olympics in Beijing could trigger the same type of HD adoption in Asia, McGlade adds. "Then you will have the whole world."
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