HD TV believed to develop strongly
Currently, most local television stations are still using broadcasting using analogue broadcasting techniques. Digital Terrestrial Television (DTT), digital television satellite (DTH) and cable TV all apply the SD standard with the aspect ratio of 4:3. However, it is the 16:9 aspect ratio of HD TV which could be considered the “ideal ratio” for the current favorite TVs.
In Vietnam, LCD TVs are now the most popular and most favorite products by families. Nguyen Van Dao, Deputy General Director of Samsung Vina Electronics, has noted that the LCD TV market has been developing very rapidly in recent years with the sale growth rate of 20 percent per annum. Especially, the number of consumed products in 2010 was higher by 50 percent than in 2009.
Meanwhile, LCD TVs are not compatible to SD standard technology, which makes viewers unable to enjoy high quality of images.
Therefore, it is a growing tendency for the families using LCD TVs to use HD TV. However, while the demand is big, the supply remains limited. There are not many pay-TV service providers who use HD technology. Only a few providers use the high technology, including HTVC, SaigonTourist SCTV, VTC, or K+, and AVG which joined the market in 2011.
Since HD is a high technology, it is being used for the service packages with high fees, while the number of HD channels remains modest.
Service providers urged to diversify HD television programs
In order to use HD channel packages, users have to pay a relatively high fee. Especially, the initial expenses would be equal to the value of a 32 inch LCD TV. For example, if using the service package of K+, users have to pay 7 million dong for the equipment and subscription within a year. As for VTC, the initial expenses would be 5 million dong.
Meanwhile, AVG, the new comer in the market, has been trying to lure more clients with the preferential service fee policy. The first 2 million subscribers, or the subscribers coming in the first two years of operation, if committing to use AVG’s service for at least 30 months, would get terminal devices free of charge, while they would only have to pay 88,000 dong a month for the HD channel package. The policy has been commented by experts as a behavior of dumping service fees.
However, HD TV services have not attracted viewers because of the lack of investment in the services. Most of the HD channels now are the foreign made ones which have been “Vietnamized” by showing subtitles. Only AVG has shown its determination to develop HD channels by doing the voice-over or dubbing for some programs broadcasted on Star Movies channel.
There are not many HD television service providers, which means that clients do not have many choices. However, experts believe that pay-TV service providers have to increase HD channels, sooner or later, or they would be eliminated in the competition in the pay-TV market.
Though Viettel has announced the plan to join the pay-TV market in 2012, it is still unclear about the exact time of joining. Together with AVG, Viettel proves to be a redoubtable rival on the market. Analysts believe that they would be able to outstrip the elder brother VTV to provide HD television services to clients.
Viettel has every reason to put a high hope on the development of its pay-TV service, as the company now has tens of millions of clients.
Buu Dien
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