Feds Offer $40M In Digital TV Coupons

(AP)  Millions of $40 government coupons become available Tuesday to help low-tech television owners buy special converter boxes for older TVs that might not work after the switch to digital broadcasting.

Beginning Feb. 18, 2009, anyone who does not own a digital set and still gets their programming via over-the-air antennas will no longer receive a picture.

That's the day the television industry completes its transition from old-style analog broadcasting to digital.

The converter boxes are expected to cost between $50 and $70 and will be available at most major electronics retail stores. Starting Tuesday, the National Telecommunications and Information Administration will begin accepting requests for two $40 coupons per household to be used toward the purchase of the boxes.

Viewers who have satellite or cable service will not need a box.

To request a coupon, consumers can apply online at www.dtv2009.gov starting Tuesday. The government also has set up a 24-hour hotline to take requests, 1-888-DTV-2009 (1-888-388-2009).

Congress, in ordering the transition to digital broadcasting, set aside $1.5 billion for the coupon program, which will fund 33.5 million coupons and other costs.

The giveaway basically works under the honor system.

The first 22 million coupons will go to all households that request them. That includes a residence that gets cable service for one television but has a spare TV that still uses an antenna, for example.

The rest of the coupons, however, are meant only for those who do not subscribe to a pay-television service.

The Nielsen Co. estimates that 14.3 million households, or about 13 percent of the 112.8 million total television households in the nation, rely on over-the-air television broadcasts for programming.

Tony Wilhelm, director of consumer education for NTIA, said the agency expects to have enough coupons to satisfy demand. "We think the high number will be 26 million," he said. "Low end is 10 million."

Members of Congress have criticized both the National Telecommunications and Information Administration and the Federal Communications Commission for their work on the transition to digital television.

In November, the Government Accountability Office, Congress' investigative arm, released a report that concluded there is "no comprehensive plan" for the transition.

Most of the concern rests with public education campaigns. While Congress allocated $1.5 billion for the coupon program, only $5 million was for education. The Association for Public Television Stations reported in September that 51 percent of participants surveyed were unaware that the transition was taking place.

Since then, the broadcast industry has announced a voluntary public education campaign. The FCC is circulating a plan among commissioners that would make public education efforts by broadcasters mandatory.

Congress ordered the transition to digital broadcasting to make more efficient use of the publicly owned airwaves.

On Jan. 24, the FCC will auction off the spectrum currently used for analog television. That portion of the airwaves will be sold to wireless providers and is expected to bring in as much as $15 billion. A portion of the spectrum will also be dedicated for use by emergency responders.

[michellem99-2009]

I can''t afford HD TV..I installed a TV external card that pick up analog/digital on computer. I can''t get the closed cap to work..I use them if they would work i have the stick for Windows.

[engineer2001]

The coupons are only good for 90 days. Everyone is rushing to get them now (over 500,000 applications already, based on news reports). Do you think there are going to be any to be had for the first 90 days? They aren''t even in stores yet. No one even knows what they''ll cost yet. Are they even designed or tested yet?

Can you say "rush to market?" I guarantee these boxes will be junk and require TONS of recalls and warranty work. Granny is going to have to do without her meds and switch to cable, it seems, because she can''t afford to ship her box back. The box she couldn''t afford in the first place that cost more than the $40 coupon - analysts are saying they will cost $60-75.

While I think digital is great, it shouldn''t be mandatory. It''s been around for a while and no one I know saw the need to switch - analog over the air works fine. However, the FCC wants to sell that space to the cell phone companies. Greed outweighs need. The nanny state says you will accept digital TV and love it, or else you will do without TV at all so they can profit.

[akakjb]

Speaking as someone who has been watching HD and digital programs (they aren''t one & the same) for two years, it is a change worth making. The fact that all stations are being forced to go digital makes something like this logical for those homes that only get their television from over the air signals. It really isn''t a scam - in the long run, this will benefit the viewers more than it will inconvenience them.

[ge556]

We have some comments that this is welfare, and some comments that the government is forcing people to spend money.

This is a decision by the government to change from an old, inefficient use of a public resource, to enable more communications, including for emergency agencies. Television watchers will also get more services.
It will make money for the government (save taxes), but it will cost money for people without cable or satellite antennas. So why not use a small portion of the $15 billion windfall to minimize the cost to consumers? It seems like Congress the right thing this time.

[michellem99-2009]

I wanted a computer and got one at 51. I put an extranal TV card that gets Ant and digital station on my computer. I can''t get cc to work . I won''t ask for a credit card as they are a rip. I was raised in foster homes and yes yeaes ago ladies stayed home to raise children. We got a poor education -a girl''s education. The handicapped got it worse then. I am 53. We have priced the HD TV and they got a lovely clean pic. The price tag, yikes..

[michellem99-2009]

I forgot to tell ye I was born in the 50s. We had 3 network,CBS,NBC,ABC on an ant. I never watched much TV growing up.

[hsinco-2009]

It''''s right there in the story. The airwaves are owned by the public, so the government is going to sell them regardless of what the public thinks. Thanks to Bush, the public opinion no longer counts and the latest decision by the FCC proves that.

Bush thinks "We the People" means him and his friends.

Posted by ourdoc at 07:59 PM : Jan 02, 2008

The FCC Chairman Martain oversteps his authorty constantly. He just OKed expanded media ownership of newspapers in markets that companies have TV stations in. Against overwhelming outcries of NO!

[hypnotoad72]

newster1 - exactly. The ones wanting the change the most (the broadcast companies) should be footing the bills. Not the government that otherwise says "Stay out of things". :)

Mind you, the corporations don''t care either -- just for different reasons. It''s hard to preach "Teach a man to fish" when some bugger in the boat 100 feet away is using a very large seine or trawl...

[nothappyatall]

I got an idea, write that address and get your 2 coupons per household, everyone do that and then just toss em in the trash and phux up ther TV welfare program :)

[nothappyatall]

So now the US Govt is in the TV set welfare business, like food stamps, WIC vouchers and welfare checks, you can go down and get your $40 TV set coupon.
Since when is it the responsibility of the GOVT to ensure people can freaking watch TELEVISION????