Whatever happens will make for an interesting time in the market. Competition is often good for manufacturers. More advertising by competitors brings more awareness to the public, and increased interest can drive volume up (and prices down). But let’s face it: Everybody already has a TV. We’re just replacing sets we already own. Lower prices might entice us to replace our TVs sooner than later, but increased sales this year may only mean fewer sales next year or the year after that.

It will certainly be a tough time for manufacturers, and it won’t take long for the herd to thin out. Retailers are likely to suffer the most, though, as they will have to compete against new forms of distribution (e.g., the Internet and such nontraditional electronics retailers as grocery stores) and ever-narrowing profit margins. And you, the consumer, will face your own challenges as you navigate the sea of product options, rapid technological advances and lower prices. Luckily, Digital TV is here to help guide you through the fog.

Mike Wood
Editor

See Mike's Spring 2004 Opening Monologue: "The New TV"