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What digital divide? Ofcom produced a raft of interesting statistics last month in its annual communications market report, including some decidedly unexpected ones on broadband uptake. For instance, Sunderland is revealed as the most digitally connected city in the UK, with 66 per cent of households having a broadband connection against a national average of 58 per cent and with 96 per cent of the population using digital television. Ofcom described the report as heralding the end of concerns about the digital divide - in geographical terms at least - with Ed Richards, the chief executive of Ofcom commenting, "Our report highlights a closing of the geographical digital divide in the UK. Rural households are today as well connected to broadband as their urban neighbours." Other interesting numbers suggest that internet usage in rural areas is often based around shopping, confirming the UK as a European market leader in this type of online activity.
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Clicks and mortar grows. Staying with online activity, from the US comes a survey that makes explicit the link between broadband access and retail activity and one that makes interesting reading for consumer electronics manufacturers and retailers alike. A report published by Parks Associates found that approximately 25 per cent of US households with broadband access had each spent $2,000 or more on consumer electronics products during the past year, representing 80 per cent of all expenditure on consumer electronics products by broadband households. The research goes on to detail that the 'super buying' 25 per cent segment is not much wealthier than the remaining 75 per cent of broadband households but that they see consumer electronics products as an extension of their identity.
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But bricks and mortar is going nowhere. From the online world back to the high street which will witness more change as Best Buy - the big beast of US electronics retailing - prepares to enter the European market by acquiring half of the UK's Carphone Warehouse chain for a price of $2.1 billion. Best Buy will not be opening stores until next year, but its looming presence is a threat to Dixon Sales Group not only in its scale but because of its reputation for good customer service in the US which is in stark contrast to the consumer perception of Currys in the UK. The deal was greeted as a 'perfect match' by Carphone Warehouse CEO Charles Dunstone with Best Buy receiving knowledge of the European market and Carphone receiving capital to invest in broadband customer growth.
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Freesat beams in. One of the devices Best Buy will no doubt be looking to sell and install with its superior customer service offering are Freesat boxes. Freesat, as the name suggests, is a free digital satellite service venture funded by the BBC and ITV and has two major target markets to go after: households that have snapped up around 9.6m HD-ready TV sets but who can't access any HD content; and the 27 per cent of UK households that are currently unable to get digital terrestrial TV service Freeview.
Two major points of interest here. Firstly Freesat aims to offer viewers broadband internet access via an in-built ethernet connection in set-top boxes. "The long-term goal of Freesat is to connect to broadband and the internet to make services such as the iPlayer and Kangaroo accessible through boxes like this," BBC DG Mark Thompson said. Secondly, Michael Grade ITV's CEO, adopted a bullish stance about protecting his companies HD content, which won't be made available on Sky. Grade said, "We are a commercial organisation and won't give it to Sky for nothing."
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This time it's real? And finally to Mobile TV, long the next big thing without ever really taking off with consumers, sometimes because of a lack of content, sometimes because the devices weren't suited to mobile viewing. Either way only 0.6 per cent of the UK's 47.5m mobile phone users say they watch broadcast TV each month on their handsets which looks like a pretty big opportunity for someone. This number looks set to grow soon as the possibility of creating a broadcast network capable of serving up television programmes on mobile phones was boosted by news that Qualcomm, one of the world's leading manufacturers of microchips for mobiles, paid £8.3m for radio spectrum that could be used to put live TV on handsets.
In the US, AT&T and Verizon Wireless, the two largest US mobile operators, have used Qualcomm's MediaFlo technology to stream live TV to mobiles and are now offering more than 10 live TV channels on handsets. Andrew Gilbert, Qualcomm executive vice-president, said the spectrum would initially be used for research and development and the company had not yet decided how to use the spectrum, although MediaFlo was a possibility. Watch this space...
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Consumer Electronics Service Forum 11/06/08 10:30-13:00 more»
Consumer Electronics Technical Committee 12/06/08 10:30-13:00 more»
Consumer Electronics Energy Efficiency Group 17/06/08 10:30-13:00 more»
Consumer Electronics Product Approvals Group 19/06/08 10:30-15:00 more»
Intellect member information morning 27/06/08 10:00-13:00 more»
Intellect Industry Leadership Lunch with Brian McKeon 30/06/08 12:30-15:00 more»
Intellect Consumer Electronics Conference 2008: Tomorrow's Technology 03/07/08 10:00-19:00 more»
Intellect ATE Lunch: ID and Information Management 07/07/08 12:30-15:00 more»
Glorious Goodwood - A day at the races 01/08/08 11:30-17:45 more»
Intellect Annual Charity Ball - 'A night at the Moulin Rouge' 25/11/08 19:00-23:00 more» |

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