Sunday March 21, 2010 3:52 PM ET
SmartMoney
Published May 19, 2008  |  A A A
Deal of the Day by Kelli B. Grant (Author Archive)

4 Reasons to Buy a High-Def TV Now

HIGH-DEF IS in high demand. For bargain hunters, now's the best time to join the craze.

Nearly a quarter of U.S. households already own a high-definition television, according to market researcher Frank Magid Associates. And consumers are expected to buy another 23.7 million HDTV sets this year, predicts trade group Consumer Electronics Association (CEA). "At this point, HDTV almost is standard TV," says David Katzmaier, senior editor for electronics review site CNET (CNET). "Consumers have embraced it."

Part of the draw: the government-mandated switch from analog to digital television broadcasts slated for next February. Even though the new format has nothing to do with HD — digital TV is a standard definition signal that offers better sound and picture while using less of the broadcast spectrum — some consumers see the changeover as a good excuse to upgrade to a high-def set, says Megan Pollock, a spokeswoman for CEA. Sweetening the deal, cable and satellite providers plan to offer more HD content post-switch because digital signals allow for simultaneous broadcasts of a show in standard- and high-definition.

Even if shoppers wish to forgo buying an HDTV, they won't have much of a choice. "Just try to find one that isn't HDTV these days," says Rob Enderle, president of technology advisory firm Enderle Group in San Jose, Calif. "There aren't that many left anymore."

Typically, the best time to buy televisions and other electronics is around the holidays when retailers offer bonanza sales, from Black Friday door-busters to post-holiday clearance sales. This year, however, both Enderle and Pollock believe bargain-hunters shouldn't wait until the end of the year.

Here are four reasons why it's best to buy a high-def TV now:

In previous years, the price of an HDTV plummeted by as much as 30% within a year of its market debut. Now, waiting for a better deal no longer pays, explains CNET's Katzmaier. A 32-inch HDTV that costs $599, for example, most likely cost the same amount six months ago. In fact, prices could soon move in the opposite direction, says Enderle. China, which produces most TVs sold in the United States, will have to raise prices in order to offset increased production costs as it strives to offer better benefits and wages to factory workers. The Chinese yuan also continues to improve its value against the weakening dollar, pushing prices higher for American shoppers.
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User Comments
Posted by: CasualReader
Any advice by Rob Enderle is likely to be wrong. Just google enderle and jackass and you can see the many stories about him.
Posted by: schulp
There are several reasons to wait.

If you are using cable as many in the U.S. do there will be OCAP (or true2way as CableLabs calls it now) that allow to get rid of that cable box dangling off your sleek (maybe wall mounted) HDTV. Yes, there might be a premium to pay, especially the first couple of month, but that will level out especially on higher end TVs.

120Hz technology will be commonplace in better models. This really helps on action movies or video games.

These two things will happen in the short term 1-2 years.

If you can wait longer (and you won't see static on your old TV if you get some of those NTIA sponsored converter boxes) new technologies like the one mentioned in the article, OLED, and maybe something similar to SED that Canon unfortunately screwed up patent wise, will mature. Thought his would be at least a 3-4 years timeframe, but why produce more electronics waste than necessary?


Posted by: CasualReader
A better option is to just not watch TV, the quality of today's TV programming
is so low, I'd rather do other things.
Posted by: Craigclc
Buy now because prices MAY go up? or because there MAY be a shortage? Those are very weak reasons. I can't think of an example where the price of high-tech electronics hasn't gone down for those who wait; or there has been a shortage.
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