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	Taiwan’s Skardin offers the S54, a DVB-T STB that can receive FTA programs.

SD models for broadcasting digital terrestrial TV are mainstream, but HD, combo and PC units are cropping up.

The rising popularity of digital TV video broadcasting in Europe has led to the influx of digital video products, particularly DVB-T receivers, in Asia and other parts of the world. This popularity is steering the digital broadcasting/satellite receiver industry toward maturity.

Currently, standard set-top box (STB) DVB-T receivers are attracting the most attention from buyers. An increasing number of makers, however, are moving toward developing more high-definition (HD) versions in pursuit of better profit gains.

TV-based prototypes saturate the market, but there is also a growing trend for PC-based products. To move ahead of the competition, makers are proactively developing DVB-T receivers that are compatible with both device types. The line also includes combination models that integrate DVD or personal video recorder functions.

Along with rosy profit projections for 2008, prices in Taiwan are seen to further decrease. Prices in mainland China will likely remain stable unless the cost of IC solutions, particularly for HD and combo models, shows a significant drop. In Hong Kong, a slight increase looms due to makers’ hesitation to take in the rising cost of production. To reduce cost, suppliers there are cutting down on the DVB-T receiver’s size, number of I/O connections, and use of LEDs and LCDs. Makers are also using slimmer housing units. Some are even shifting to lower-cost IC solutions.

The most common standard models support free-to-air (FTA) transmissions via the MPEG-2 compression protocol, a PAL/NTSC/SECAM auto select system function, VHF and UHF bands, EPG, multilanguage menu, favorite-program recording, last-channel memory functions, manual and auto scan, and upgradeable software.

Some new models in Hong Kong feature compact designs for economic reasons: to save on set-top space and cut housing cost. Other models from the special administrative region have elegant housing designs.

HD models, on the other hand, feature MPEG decoders in MPEG-4 and H.264 formats, common interface (CI), dual tuners, and SCART video output. They support HDMI, USB connectivity, HDCP output, PVR functions, multimedia platforms and home networking systems.

At present, mainland China makers are concentrating on developing HD models. Despite this, some are wary about giving assertive market projections for this year. “We have completed development of HD products at the end of 2007 and final products will be launched in 2008,” said Yi Yang, marketing officer at Shenzhen GIEC Electronic Co. Ltd. “But the number of HD DVB-T receivers still depends on the local broadcasting system, so HD models require at least two to three years before they can replace traditional standard-definition (SD) models as mainstream products.”

In Hong Kong, only a few suppliers offer HD models. They plan to release several of their own versions this year.

Overall, future development and growth of the line is seen, especially in Hong Kong, with makers increasingly shifting to the digital broadcast business. The equally growing requirement for HDTV alongside its assurances of higher margins and longer-term prospects is likewise a boost factor.

Some makers forecast that HD products will take over the mainstream SD line in three to five years. Research firm In-Stat predicts that by 2012, the number of households that will receive HDTV broadcasting in Asia-Pacific alone will reach 42.1 million. It also projects a shipment volume of 81 million global satellite receivers by 2010.

	The HRT1260 from mainland China’s Xoro is an FTA DVB-T receiver with EPG and integrated games.

More makers are also actively developing their own HD models. Most of these products support MPEG-2 HD/SD (MP@HL/ML video decoding), 720p/1080i resolution, Dolby AC-3 or MPEG-1/2 layer II audio decoding and component, RGB, DVI or HDMI output.

WellAV Technologies Ltd’s WTD 5051 supports MPEG-2 decoding and features CVBS, SCART and SPDIF outputs, CAS transmission, NEC’s UPD61110 chipset, 1,000 storable channels, multilanguage OSD, teletext and subtitle functions, parent lock, 4:3 and 16:9 aspect ratios, and program memory.

Xoro Electronics (Shenzhen) Ltd has also released the HSD 1550, a DVB-T SCART stick that features a multilanguage user interface (UI), EPG, favorite-channel setting and editing, PAL and NTSC auto selection, auto and manual search, and multilanguage teletext functions. The model is fully compliant with ETS 300744 and ISO/IEC 13818. It also supports 2K to 8K COFDM modes, QPSK, 16 and 64 quadrature amplitude modulation (QAM), 474MHz to 861MHz frequency, 7MHz to 8MHz bandwidth, up to 15Mbps data rates, and 720x576 resolution.

Shenzhen GIEC offers several models with dual SCART outputs. Two of its popular ones are the GB-0501 and GB-0502, which can simultaneously deliver images to two SCART devices—the TV and the VCR.

Shenzhen DataBlue Electronics Co. Ltd said it would release models with HDMI support in H1 2008.

Apart from developing DVB-T receivers with digital interface features, makers are developing models with USB and multimedia card reader support.

Shenzhen DataBlue’s DVB-T1001 series, for instance, has a USB 2.0 interface and optional MMC/SD/MS card reader. It features a dual SCART output interface, an IR remote control, AC power supply (90V to 240V), 47Hz to 63Hz range, 4:3 and 16:9 screen format conversion, and 256-color OSD. The model is fully compliant with ETS 300744 and NorDig Unified 1.0.2 specifications.

Another USB-based model from the company, the TUS-3080, supports full-band DVB-T reception, records video, and has teletext and EPG. It is compatible with PCs that run on Windows XP/2000 with a Pentium III 800MHz or higher processor.

A prototype that makers are developing is the combo DVB-T receiver. Shenzhen GIEC recently launched model GK-3107T, a DVB-T receiver and DVD player in one. Its major features and functions include DVD, MPEG-4 (DivX/XviD), VCD and MP3 playback, subtitle file support, built-in Dolby Digital decoder, up to 500 programmable favorite channels, EPG and channel backup. It adopts MTK and Sanyo solutions.

The company’s GK-103T is a DVB-T receiver and PVR combo. The model is compatible with DVB-T/MPEG-2 formats, and supports the 470MHz to 862MHz band and QPSK. It has manual/auto scan and 720x576 resolution. The GK-103T also has a built-in IDE-type HDD with up to 40hrs of recording time. It supports multiplex recording modes, including one-button instant recording and time shifting.

There are about 300 DVB-T receiver makers in mainland China, 10 of which are industry leaders. Most of these leading manufacturers are into large-scale production, constituting more than half of the total DVB-T market share. The majority of these makers are based in Guangdong province.

Over the last three years, a large number of traditional home appliance makers, especially from the DVD player line, have changed gears and gone into DVB-T. These makers are estimated to account for about 40 percent of total market share.

	Taiwan’s AverMedia has a TV pen drive that incorporates DVB-T and GPS functions.

DVB-T receivers compatible with PCs are currently the leading products in Taiwan. According to Moses Chen, VideoHome Technology Corp. president, this type of receiver is more advantageous than TV-based models in terms of economics and mobility. For one, the USB dongle, which is one type of PC-based DVB-T receivers, is cheaper than the DVB-T STB by 50 percent. Also, it is smaller and easier to carry around. The only drawback is its incompatibility with other computers.

“Our products need to be tested along with other motherboards and desktop/notebook PCs to make sure they work with all computers,” Chen said.

VideoHome offers the ThumbDTV, a DVB-T receiver dongle that can be installed via a USB port. The company said the model is compatible with any computer, having been tested with numerous mainstream motherboards and desktop/notebook PCs. It is also designed with last-channel memory, switchable 4:3 and 16:9 screen ratios, EPG, PIP, and subtitle support. With the company’s self-developed software, ThumbDTV also features realtime MPEG-2 recording and playback. It supports schedule recording and can skip commercials and advertisements with its “pause-then-continue” recording mode.

The TwinTVshow model is also a hybrid portable digital TV box that uses bi-system video broadcasting, a function that allows users to watch both digital (DVB-T) and analog TV programs. This two-in-one product is connected to the computer via a USB port. Its analog system supports NTSC, PAL and SECAM systems while its digital system complies with DVB-T standards. The model also supports recording and schedule recording.

Skardin Industrial Corp.’s S54 model is a DVB-T STB compliant with MPEG and DVB-T standards. It features FTA DVB program reception, a user-friendly interface, multilanguage OSD, parent lock, EPG, last-channel memory and programmable favorite channels. It also supports Dolby Digital audio quality.

Skardin’s other STB features FTA transmission or the Multimedia Home Platform. Some also feature value-added CA function. Basic DVB-S and DVB-T STBs lead the company’s production output.

A leading PC-based DVB-T solution provider, AVerMedia Technologies Inc. launched a premium DVB-T pen drive receiver in Q4 2007. The model supports 1080i resolution, has a recording compression codec that supports both MPEG-2 and H.264, and is compliant with NorDig standards. Considered the most high-end product in the company’s PC-based DVB-T receivers, the model also incorporates GPS function and can receive DVB-T signals via a high sensitivity receiver module even during high-speed driving. The module supports reception at up to 110kph.

	The DVT1001 mini DVB-T receiver from E-Tek of Hong Kong is MPEG-2-compliant and supports FTA digital TV broadcasts.

Interviewed makers in Hong Kong revealed that most of their models support FTA transmissions using the MPEG-2 compression protocol. To add to buyers’ program options, manufacturers have also included a software-upgrade feature to their units. They have also decreased their units’ sizes to lower cost and to save set-top space.

E-Tek Digital Technology Ltd recently came out with the DVT1001, a mini DVB-T receiver that is MPEG-2-compliant and supports FTA digital TV broadcasts. The model features EPG and RF in/out port, a coaxial and SCART connector output, and MHEG-5 option. The DVT1001 also enables 400 favorite-program recording and software upgrades via SCART.

The company also has the DVT-1201, an FTA MPEG-2 model that can also support MHEG-5. The unit has EPG, multilanguage OSD and favorite-program memory functions. Its rear connectors include a single SCART output, an RF in/out port and a coaxial jack. The model is software-upgradeable.

E-Tek plans to release an HD DVB-T receiver later this year.

At Sunwin Industrial Co. Ltd, majority of DVB-T receivers are compact and compatible with different types of displays. One such model is its 120x75x25mm DT0018 DVB-T receiver, which can be used with any kind of home or in-car TV, portable DVD player, or portable media player. The unit features a convenient UI, multilanguage menu and EPG. It supports PAL, NTSC and SECAM systems and is embedded with an Nvion 9700 single-chip solution from LSI Logic.

Another model, the DT0038, integrates the same functions and features but uses a different housing design.

Sunwin’s SM8168 DVB-T receiver features a multilanguage character-set UI display, EPG, picture-in-graphic, and program editing functions. It can store up to 999 programs. Its embedded software is upgradeable and its program database can be copied using a computer. The model is fully compliant with the COFDM standard.

Due to fierce competition, the price of DVB-T receivers in mainland China has hit rock bottom. Makers said they see stability ahead as long as the cost of IC solutions for HD models and combo models remains steady.

FTA-transmission models are generally regarded as entry-level. A standard model that is compliant with DVB-T and MPEG-2, has 1,000 storable channels, and features OSD and EPG functions is priced from $16 to $18.

HD units, on the other hand, are considered high-end. A 720p/1080i resolution HD model that supports MP@HL decoding is priced about $40. A DVB-T/DVD combo is quoted at $40, while a DVB-T/PVR combo is priced above $100.

The chipset is the core component of the DVB-T receiver. Makers in the region commonly use STi, ALi, NEC Cheertek, Zoran and Zarlink for their SoC solutions. HD models largely use chips from STi, ATI, Broadcom, TI and NEC.

In Taiwan, orders are growing with the continuing demand for digital broadcasting worldwide. Makers are doubling their production volume to meet quotas, allowing expectations of a 10 percent price decrease for STBs in the coming months.

A low-end STB model is priced between $50 and $60 FOB, while an HD unit is priced from $90 to $100. Value-added models, such as those with PVR function, are priced above $200 FOB, depending on the memory and HDD capacity.

A standard USB DVB-T dongle is priced more than $20. A high-end model with HD resolution and stable reception at high car speeds is priced $5 higher.

VideoHome’s transitional product, a hybrid TV box, is sold for about $30. TV cards are quoted at two-thirds the price of a USB dongle with similar specifications.

While prices in Taiwan are plummeting, the price of DVB-T receivers in Hong Kong is likely to go up by 5 to 10 percent. This despite cutbacks in chipset costs, an increase in production scale in the last few years and a decrease in product prices in 2007.

Interviewed makers explained that for 2008, suppliers are less willing to absorb the extra costs.

The price of DVB-T receivers from Hong Kong ranges from $17 to $24. A dual-tuner receiver is priced $3 higher than a single-tuner model. Video recording function costs an additional $30, excluding the HDD.

An HD model is quoted from $60 to $70, and a PVR-enabled model is priced at $150.

Entry-level models in the region are single-SCART units in plastic housings; while the top range comprise double-SCART models in metal housings.

The attention Taiwan makers give to R&D and their efforts at partnering with third parties have significantly expanded their production capability.

Skardin, founded 25 years ago, has an R&D team based in Europe. Aside from its headquarters in Taiwan, it owns three factories in the southern region of mainland China. The maker has a partnership with other factories and cooperates with software companies to develop its own software. It has a comprehensive line of STBs. Like most STB manufacturers, it offers customized services.

VideoHome similarly gives importance to R&D and invests time and effort in its QC processes. ID and cosmetic, hardware and software design, and QC are conducted in-house. The company outsources other manufacturing processes from subcontractors and partner factories.

VideoHome has been making PC-based video peripherals since 1998. It started DVB-T receiver production in 2004. It now offers scan converters, IP surveillance products, video-capture devices, analog and digital TV solutions, and PC-based TV solutions. TV receivers account for about a quarter of the company’s sales revenue.

	Sunwin of Hong Kong has the SM8168 DVB-T receiver that features a multilanguage character-set UI display.

To fulfill the demand of the growing market, makers are making sure that they continuously improve their manufacturing processes. In Hong Kong, some do this by adding and enhancing their production and assembly lines or assigning more workers to each step or process.

Sunwin has two production lines equipped with MV150 SMT machines and wave crest welding machines at its 6,660sqm factory in Guangdong’s Dongguan in mainland China. It has 17 staff members who conduct stringent QC inspections. There are more than 200 workers at its factory, which can produce up to 60,000 DVB-T receivers every month.

The company also has a 15-man R&D team to accommodate buyer customization requirements. This department is equipped with a BMW DVB-T signal generator, a BMW TV/satellite signal analyzer, a Philips color signal generator, high-pressure testers and a Hitachi digital oscillograph.

Anticipating higher demand in 2008, the company plans to upgrade its current capacity to 100,000 units monthly.

Sunwin accepts OEM and ODM projects for Makkah, Mas, Dany, and Advance, as well as offers own-brand products to interested distributors and resellers. It sources single-chip solutions from LSI Logic and other key components from Philips, Samsung, Sanyo, TDK and Toshiba.

Sunwin develops and manufactures a wide range of A/V products and computer peripherals, including digital PC TV receivers, TV system converters, USB DVB-T receivers and handheld digital TVs.

ISO 9001:2000- and ISO 14000:16949-certified E-Tek has more than 1,000 employees at its factories in Shenzhen and Zhongshan in Guangdong. Ten percent of the workers perform different stages of QC inspection. The in-house R&D department carries out all software, hardware and industrial design processes.

The company caters to OEM and ODM customers. Aside from DVB-T receivers, it also offers DVB-S, DVB-T/PVR and dual-tuner models.

Shenzhen GIEC currently rolls out 200,000 DVB-T receivers every month. With its 16 production lines, it can produce a maximum of 250,000 units. To further boost production capacity, the company has established long-term partnerships with solutions providers such as MTK, Sanyo, AmLogic, Sony, Philips, C-Cube, LSI and ESS.

Xoro’s monthly capacity is 100,000 units. The company has a 3,000sqm factory with 400 production members, 30 QC staff and 30 R&D personnel. It primarily manufactures DVB STB receivers, DVD players, LCD TVs and rear-projection TVs.

Shenzhen DataBlue can produce up to 50,000 units a month, with current monthly output at about 20,000 units. Its 12,000sqm factory is equipped with four assembly lines and houses 380 workers and 40 R&D personnel.

WellAV has a 7,432sqm factory with about 400 employees, including 60 R&D engineers. The company specializes in various digital TV receivers, digital headend equipment and other A/V products.

On a yearly basis, the leading makers in mainland China generally turn out more than 5 million DVB-T receivers. Medium-scale makers, on the other hand, have an average of 500,000 to 1 million units.

80 to 100 percent of output reserved for export

As most Europe and some Africa economies adopt the DVB-T standard, so do makers aim to sell more of their products in both regions.

Skardin, WellAV and E-Tek export their entire DVB-T receiver output worldwide.

Skardin mainly ships its products to Europe and emerging markets in Central and South America, particularly Brazil. The company maintains branches in mainland China and the United Kingdom. Meanwhile, E-Tek exports its units to the United Kingdom and other parts of Western Europe.

Both Sunwin and VideoHome export 80 percent of their products overseas. VideoHome’s major shipping destinations are Europe, North America and Japan. Sunwin is exploring more markets overseas.

Shenzhen DataBlue’s key export destination is Europe, particularly Spain and Italy, while Xoro’s main buyers are in Austria, Germany, Poland, Russia, Sweden, the CIS, and the Middle East.

Shenzhen GIEC ships 20 percent of its output to Europe and Hong Kong.