It took longer than expected, but HD has taken a firm hold in many markets outside of the first-adopter United States. And as more consumers are introduced to HD, it looks like the era of SDTV is nearing an end.
    The problem for broadcasters is that there remain few compelling financial reasons to make the move to HD. The cost to implement HD programming in terms of production and delivery can be high, and there is little evidence that HD brings in more revenue.
    But HD is about “channel position and exclusivity,” says John Honeycutt, head of international business for Discovery Networks International. “The world is more complicated than just a straight transactional measure. You have to get out of the dollar-for-dollar thought. What you do in one marketplace may help position you in another.”
    In today’s broadcasting market, HD has become a necessity. It would be foolhardy for anyone to go to a major broadcaster and propose a new SD channel, and existing SD channels likely will be forgotten by viewers with access to HD options. “As time passed and adoption grew, the prices dropped. A company like us would not even think about producing something in SD today,” says Honeycutt.
    In the broadcasting world, HD has replaced SD as the standard. That’s good for the consumer, but still poses a challenge for the broadcasting sector.