Who is the HD Leader?
From where I sit, the answer may surprise some: DirecTV.
I know, you must be thinking I am nuts, since DirecTV has not launched any national HD channels in a long, long time.
But, I say that DirecTV is the HD leader because everyone’s trying to follow them.
When DirecTV announced last year that it was going to rollout out 150 HD channels (a number which was later changed to 100 HD channels), a lot of people laughed in disbelief, including me.
However, as time rolled by, this announcement sent shockwaves through the entire multichannel community.
As the launch date of the new DirecTV 10 satellite approached, you could feel the increased tension in the community.
Echostar CEO Charlie Ergen has been sitting back, watching cautiously in the background, yet consistently telling his retailers and customers that his Dish Network would remain the HD leader.
Indeed, Ergen’s company is the current HD Leader when it comes to the number of HD channels, with 32 national HD channels (14 of them VOOM HD Channels). However, from the outside world, it looked like Ergen was taking a wait and see attitude about DirecTV’s HD threat to take the lead. Ergen waited until DirecTV successfully launched its new DirecTV 10 satellite before making his next move. Then he announced a handful of new national HD channels which will become available later this month on Dish Network.
A lot of folks, myself included, have been wondering if Dish Network would have announced those new channels if the DirecTV satellite had failed to reach orbit.
It is not only DirecTV’s main competitor that is concerned. Take a look at Comcast, which has been planning its own HD assault. Reportedly, they were to have made a major HD announcement last week at http://www.hidefhigh.com/, but they subsequently delayed the scheduled announcement until today (Friday, August 10). As of this writing, that site has been taken down and replaced with a simple "coming soon" message on the screen.
It’s not just Comcast looking to arm itself for this battle, but all multichannel providers. If you read Multichannel.com often, you probably have noticed the posturing by virtually every provider gearing up to challenge DirecTV’s lead.
So there you have it. Without even launching a single new national HD channel, DirecTV has become the de facto HD Leader. Still don’t believe me? Then ask yourself why all the other companies are playing "Follow the leader?"
See what I mean?
We will see you back here on Monday! Have a great weekend!
prstar51 commented:
Here in Puerto Rico the cable companies are ahead of Dish Network and DirecTV. While Dish Network only offers 5 HD channels and none from DirecTV, you can get more than 10 channels with cable. The "America's best HD" marketing slogan from Dish Network is a huge lie here in Puerto Rico.
jayn_j commented:
Let's not make this partisan. Scott has a very good point in that all carriers have been dragging their heels. The DTV announcement has spurred the other carriers to get off their butts, and this is a good thing for us consumers, no matter which service provider you use.
Insecure Site commented:
Leading or not I agree with Scott that E* HAS the HD channels. D* has the promise of more.
The best news is that both systems (and other multichannels) will stay in the race. Every day that a source announces their HD plan is a good day ... for both D* to fulfill their "pie in the sky" as well as E* to stay ahead and others to do what they do.
Newshawk commented:
Uh-oh! Looks like the faithful of the Cult of Echostar are up in arms that their "guru" Scott has named DirecTV the leader in HD. What they fail to see is that Scott is not just counting channels to come to that determination, but is gaging the impact that DirecTV's moves has had on the industry as a whole. Be it hype or hard fact, nothing has made the multichannel industry sit up and take stock of what they need to do in the HD realm than DirecTV's methodical implementation of it's plans. Neither Voom nor Echostar's snapping up of the Voom channel package has caused as much consternation as has the scenario presently playing out in space (with the launch of D10), TV commercials and even the federal courts.
MikeW commented:
MPEG4 local HD on DirecTV looks outstanding. Once everything has been transitioned to MPEG4 and the new channels are up, what will the complainers find next?
BTW Scott...very interesting perspective. I read many articles and forums and have never read things this way.
In reality, your column is dead right. The HD landscape has been stale for quite some time. Charlie has done a nice patch-work job with the space he has available. Fact is, there aren't alot more services available that he doesn't already carry. Where Dish takes the biggest hit in HD now is sports. MLB and NFL fans who sub to out of market packages are much better off with DirecTV, and that won't change for years to come.
Impala1ss commented:
THe difference between true HD and HD-Lite is PQ, just as the difference between SD and HD is PQ. The company with the full HD resolution is the leader.
harshness commented:
Fact check:
1. There are 15 VOOM channels
2. DIRECTV made their 150 national HD channels announcement in Septmber of 2004
3. DIRECTV's idea of what constitutes a national HD channel is decidedly at odds with what the unsuspecting subscriber might expect.
Brewer4 commented:
Its a moot point come end of next month, but does one have to be the leader without having to deliver anything? I think the mere fact that Directv has been threatening to deliver more HD has the market moving. And thats a good thing for everyone!
Travelfan1 commented:
Just taking this as an opportunity to congratulate you Scott on your multichannel.com column! I've been following the Satelliteguys.us for a while and it was a nice surprise seeing you around here!
rockymtnhigh commented:
I think that DirecTV has become the leader of Hype, and it has had a VERY REAL impact on Dish - and apparently Comcast. In the long run, this will push DirecTV to ACTUALLY DELIVER on what they have promised (some of which should be challenging, as some of the channels they promise simply do not exist), and it will force Dish Netowrk to continue to up the ante. Software is already rolling for External USB HDD support; with seven new channels and a conversion of Voom to mpeg-4 and increasing the resolution as well; I say BRING ON THE HD WAR!!!! :--)
Bryan Ramsdell commented:
This is a very good way to look at this. Nobody wants to be last in this industry.
iceturkee commented:
coming from a hardcore dish network guy, i am somewhat impressed by your willingness to look at the true big picture
David Bott commented:
Interesting perspective. Never thought about it that way.
Tony commented:
Interesting definition of "leader". If empty promises and marketing hype that shakes up the rest of the market is being a leader then I guess you are right. But I really don't agree.
Dish Network and other Multi-channel companies have the same problem: bandwidth and, more importantly, HD CONTENT!!! Many of the channels expected to be launched by Dish Network next week weren't in existance until very recently. One of the "Announced" channels isn't even going live until September!
So really is Dish Network following DirecTV's hype or is it just quietly adding the HD channels it planned to add as they become available? Here is a question: How many national broad-appeal HD networks are on line now that are not carried by Dish Network?
riffjim4069 commented:
I respectfully disagree. While DirecTV may be the leader of HD Marketing Hype, I feel that Dish Network (DishHD) is still the leader when it comes to providing both the most HD and best HD value. Additionally, when is comes to quality Verizon FiOS TV is second to none.
Hopefully DirecTV will finally deliver on the promises they have been making the past 2 1/2 years - it will certainly help stimulate HD competition in both the cable and satellite markets. However, until they start rolling-out their new HD lineup and making drastic improvements to their national HD picture quality, I place them well behind Dish Network, FiOS TV, and just about every major cable provider out there.