August 2005
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You shouldn’t pay for digital-TV transition

Congress may soon pass legislation that could soon make your TV screen go blank. Digital broadcasts offer higher picture and sound quality than their conventional analog counterparts. Broadcasters currently use both a digital and an analog signal, because millions of Americans don’t have the digital televisions needed to receive digital signals.

Soon only the digital signal will remain; Congress is considering Dec. 31, 2008, as the date to finalize the digital transition. Broadcasters would no longer be allowed to use analog signals, and you would need a digital TV, cable or satellite service, or digital-to-analog converter box to view TV.

The change will be beneficial for consumers provided they don’t have to bear the cost of the transition. We need to keep our eyes on the following issues as this change approaches:


Who pays for the transition?

Many consumers don’t know about the change and continue buying conventional analog TVs that by themselves won’t work in an all-digital world. Congress should ensure that cable and satellite companies continue to provide all their customers--users of analog as well as digital sets--the picture quality they now have without any price increase. However, consumers who have conventional sets that aren’t hooked up to cable or satellite will see their sets go blank. They will have to buy a digital TV or a converter box. Those boxes will cost between $50 and $100, according to the Government Accountability Office.

Congress is exploring whether or not to compensate consumers for the costs of keeping their conventional sets working. Consumers Union, the publisher of Consumer Reports, is fighting to make sure that consumers aren’t unfairly burdened with the cost of the transition.


educatiNG THE CONSUMER

To make sure that consumers know the potential consequences of buying
an analog set, Congress is considering labeling requirements for manufacturers and retailers. The government should also create a public-education program on the digital transition, including TV public-service announcements.


Opening up the airwaves

Communities could use the airwaves not used for broadcasting to set up their own wireless high-speed Internet networks, substantially lowering the cost of access. Philadelphia, for instance, is preparing to build such a network, and access will cost an estimated $15 to $20 a month. The service could be connected to unlimited local and long-distance phone service over the Internet for $25 to $40 a month. Today those combined services cost users as much as $90.


creating more competition

Consumers would be especially well served if the government grants licenses for the freed-up analog airwaves to new companies or small existing ones that could compete with the wireless giants. Bringing in new competitors would result in more choices, lower prices, and more innovation for consumers.


Electronic waste

The digital transition means that Americans will be discarding millions of TVs. Their components can be hazardous and must be disposed of carefully. Policymakers must consider the environmental impact before moving forward.

What you can do

To stay up-to-date on the transition to all-digital television, go to CU's public-policy Web site for telecommunications issues at www.HearUsNow.org.

 




then
& now

Keen on peaches
Canned and jarred peaches in 1942.

1942
Trader Joe's jarred peach halves in 2005.

2005

With one-third of the canned peaches earmarked for the armed forces in 1942, and with pineapples a war casualty, Americans had to be resourceful if they wanted to enjoy their favorite canned fruits.

Shortages in produce, as well as tin and transportation, called for victory gardens and more home canning. Sugar was rationed, so our August 1942 report on canning included a recipe for pickled peaches, using corn syrup as a partial substitute.

Americans still have a hankering for canned peaches. They spent $226 million on cling peaches in 2003. High-quality brands such as Del Monte and Trader Joe’s (above right) have a slight aroma of the fresh, well-ripened fruit, bringing dreams of summer to any season.