IBM Awarded $119.9 Million to Educate Americans About DTV Transition

By Scott M. Fulton, III | Published August 15, 2007, 6:00 PM

One of the first government contracts for the nearly $1 billion Digital-to-Analog Converter Box Coupon Program has been awarded - in a surprise move - to IBM. In conjunction with three of its business partners, the company will receive $119.96 million between now and September 2009 to help educate consumers about the upcoming availability of two $40 coupons per household, good toward the purchase of DTV converter boxes for existing analog VHF/UHF television sets.

IBM said it will also aid in distributing coupons to retail stores for redistribution to customers, as well as in the processing of financial transactions for subsidized equipment. The award was announced earlier today by the National Telecommunications and Information Administration, and was later confirmed by IBM.

The fear among many US lawmakers is that analog TV broadcasts in the US will be discontinued in just a year and a half from now, and not many TV viewers know it's about to happen. The following week, the FCC called for public comments seeking help to figure out ways to educate consumers.

As at least one BetaNews reader commented, stations whose signals are to be relocated might consider advertising that fact on television well in advance.

So when the notice of the NTIA's first award was distributed, the fact that IBM got the public education contract - rather than, say, an advertising agency - came as a surprise. However, IBM said today it will be sharing its contract with three partners - among them, corporate public relations firm Ketchum, a recent recipient of PRWeek magazine's Agency of the Year award.

Also sharing the bill with IBM will be legal transaction processing firm Epiq Systems and a company called Corporate Lodging Consultants, the very identities of which may give us our first peek into the strategy IBM has in mind.

A managing partner in IBM's Global Business Services unit was quoted this afternoon as stating, "A complex initiative like this requires innovative thinking, leading technologies and cooperation among retailers, broadcasters and government agencies to ensure that all Americans have continued access to free television broadcasting including educational, entertainment, emergency and homeland security information."

For its part, the National Association of Broadcasters applauded the NTIA's choice, saying this afternoon it looks forward to working with IBM "to ensure all Americans continue to have access to free, over-the-air television."

Comments

View comments by with a score of at least

Say good-bye to all but the closest stations. No more snowy pictures you will just get a black screen from now on .You have to move the rabbit ears every time you change the channel. You dont need DTV rabbit ears any old pair is as good as any. You will need a new SD or HD TV and a new tuner. Please make out a check of 119.9 million out to fadeblack. Thanks! Your Welcome!

Score: 0

|

Wow, that's a whole lot of misinformation there...

You will need a new SD or HD TV and a new tuner.

You're either lying, or are grossly misinformed. You do *not* need a new TV. You need a DTV reciever (Antenna), that's it. You can get 'em for ~$20 @ wal-mart.

Say good-bye to all but the closest stations.

If the change-over happened today, you *might* be correct. Thing is, they've got over a year yet to boost the signals.

One might be inclined to believe you're overreacting for some reason...

Score: 0

|

Busted by PC_Tool

Score: 0

|

What I don't like is how the cable providers have a virtual stranglehold on non HDTV capable tvs and the required lease only option for converter boxes.

Unless I'm missing something, aside from the fact that I know of only one tv that has come down in price for a 32 inch, HDTV under $590. w/o tax, Comcast for one charges over $6.USD per month for a HDTV box.

Score: 0

|

I have to say I think the money would be better spent educating Americans about their eating habits.

Score: 0

|

We already know how to eat. ;)

Score: 0

|

...for three people!

Score: 0

|

Me, myself, and I. :p

Gotta keep the machine fueled, ya know. ;)

Score: 0

|

DFW is one of the top ten markets and I can't get the DTV signal for WFAA with a set of rabbit ears. WFAA is one of the four major networks and the signal is MUCH better on analog.

I think it is going to be a nightmare if you have to buy some box that will not do the job with an inside antenna. A forty dollar coupon is just going to piss me off if the box is three hundred.

Score: 0

|

You read betanews and you are still using rabbit ears for your TV? So much for this being a cutting edge website.

Score: 0

|

IBM has produced (through their marketing partners) some good commercials on TV. In print, they suck. MS commercials are BO-RING. BLANDville. I hope IBM uses the same humor-ish approach to this campaign. Like a universal adapter thing. Who knows. For that kind of money, they could hire some top-rate actors/comedians to do the talking.

Score: 0

|

What a waste of money...

Score: 0

|

It's a shame that digital over the air TV is the only way in most areas to get uncompressed HD and SD video. Cable companies should take a page from Verizon and start offering uncompressed HD and SD video without gouging customers. Apparently coax cable does have the bandwidth to transmit uncompressed high definition video considering Verizon uses existing coax cable inside the home in combination with the fiber optic cables they run up to your house for their FiOS TV service.

Score: 0

|

yer talking about the bandwidth of one house only for FIOS. regular cable TV has to provide the full analog/digital cable stream to all houses, then add in OnDemand streaming across all the houses on the trunk, and then all the internet usage from all said houses. and were talking hundreds if not thousands of houses on the trunk. LOT more bandwidth being used there.

and i didnt even mention all the possible cable telephones it has to support also.

Comcast is trying to migrate all the analog cable to digital cable as those sub channel 100 channels would offer something like 4 uncompressed HD channels each. my area, all channels are broadcast digital for boxes, but the normal analog is still there for cable-ready tv's.

Score: 0

|

As much as I hate Microsoft for it's lack of innovation and the negative effects that has, I have to admit when it comes to marketing the company they use is really good at what they do.

Might not hurt to at least as MS for their thoughts. But then on the other hand it might hurt, $120 million for marketing is like chump change to M$ for marketing.

Score: 0

|

Unsure where M$ comes into this?!

IBM != Microsoft

Score: 0

|

I'm amazed sometimes how many people believe they are the same company.

Score: 0

|

Durr....

Score: 0

|

huh? people believe IBM = MS?

Score: 0

|

If you had asked before IBM received the contract would be saying the same as you. Unsure where IBM fits in this, but it does.
And if IBM can do it, so could another company like MS.
I was just pointing out that MS might be a viable option for such a contract as well, since they are really good at marketing, at getting the message out. Which is why IBM received a $120 million contract, to help get the message out.

Score: 0

|

No comment from me, it's just too easy.

Score: 0

|

I haven't met one yet who does.

Score: 0

|

Ah-ha!

Might not hurt to at least as MS for their thoughts.

Missed the (k) in ask. I believe that may in all actuality be what threw us all off.

I ignored that sentence because it made no sense to me. After this post you made here I went back and tried again to figure it out.

Makes perfect sense. Sorry for the "Durr..." ;)

Score: 0

|

What can I say, I want a job as an editor with BetaNews.
How am I doing ?

Score: 0

|

If it were up to me, man, you'd be in like flint.

Score: 0

|

I love the fact that almost everybody still has no clue what HDTV is, they hook up HD recievers to standard sets, they run composite video and analog audio into sets that have component video inputs and digital audio.

The HDMI cable solved some of that but then again, most DirecTV HD boxes are still at the factory preset of 480i out and a lot of uninformed HD-DVD buyers dont set the output to upscale everything to 1080i or 1080p.

Then there's companies like Monster Cable who make Best Buy tell you that you need a $114 dollar cable to make HD look good, when you can get a cable for $9 on eBay that is no different.

Just for a little knowledge, digital signals either get to the TV or they dont, when the stream of 1's and 0's is broken, you get no picture or audio.

There is no "good" digital cable and "bad" ones. Digital signals are absolute unlike analog where you can "sort of" get a picture or audio.

If you are getting audio and video, your cable is as goos as any other gold plated POS.

Score: 0

|

yep. visited our local Sams club and seen a demo PS3 hooked up to 50 inch plasma screen with usual composite cable. probably made sence to whoever set this up. lol

Score: 0

|

might seem justifiable if the PS3 doesn't come with the cables for hi-def out of the box...

Score: 0

|

So.... in other words ,all the fuzy hard to see chanels I like to watch on regular analog tv I will not be able to watch in digital?

Score: 0

|

No, they'll just look much better.

Score: 0

|

Yeah, the fuzzy pixels will all be sharper. :)

Score: 0

|

Sure, if it's a bunny. ;)

Score: 0

|

who watches tv anyway......

Score: 0

|

My guess would be you, since you were concerned enough about it to ask...

Score: 0

|

Stations that are 'fuzzy' will be 'hit or miss' on Digital TV. It typically depends on the 'Signal to Noise Ratio' or SNR. If there is too much noise, you won't get a picture at all. If there is enough signal, you'll get a perfect looking picture.

Check out AntennaWeb.org for a list of stations in your area.

Score: 0

|

Interesting and surprised move! IBM will have the capability to manage the cuopons program logistically but will it have the brains to come up with the smart ways to bring the information out to the ones who is in need? Most needy of the coupons will probably be the ones with lowtech tools and knowledge. So IBMs challenge will be to go from hightech to lowtech with a hightech message..
Lets keep track of how IBM will carry this one out..
Anders Bjers
Blog: dtvbrief.wordpress.com

Score: 0

|

"NOTICE: as of September 2009, this channel will no longer broadcast over normal analog airwaves. The new signal will be entirely digital. As such, to continue viewing broadcast television you must either:
1) own a digital television (see owners manual for info)
2) obtain a broadcast digital converter box for older analog only televisions.

Contact 1-800-DTV-IN09 for information on how to obtain a converter box "

there, plaster that for 15 seconds every hour or so the last 6 months before the transition.

Score: 0

|

hey,
this would be just to simple, to efficient and will cost next to nothing. and most importantly it will not involve any lobbying corporations in taking as much money money from the taxpayers.
can you see the problem now?

Score: 0

|

Microsoft's Ray Ozzie: 'Nobody's going to be 100% open'

The mobile apps ecosystems of the world may converge over time, led by apps being ported over across platforms, according to the Chief Software Architect.

Will Firefox beat IE9 to Direct2D rendering?

Just days after Microsoft executives gave conference attendees a peek at a new rendering technology, a Mozilla contributor revealed he's working on the same thing.

Where there's smoke: Apple warranty stance raises troubling questions

Carmi Levy | Wide Angle Zoom: Smoking can be dangerous not only for your lungs, it appears, but for your Apple hardware warranty.

The fallacy of Facebook privacy

Carmi Levy | Wide Angle Zoom: If an insurance company learns something interesting about its client through the Internet, is that snooping?

Microsoft 'worked with Apple' for Silverlight on iPhone, says Goldfarb

By not making such a big deal out of trying to stream video to the iPhone, Microsoft got a big deal out of it, revealed the Silverlight product manager.

Clicker.com cuts through the Web video chaos

In a world where homemade video and Hollywood movies travel the same pipeline, it's good to have a real search engine to cut through the clutter.

A case study in improving software: What Office 2010 can learn from Notion 3

A music composition product gambles with a complete overhaul, in an effort to make headway against two well-known competitors in a tough market.

Kindle 2 update adds battery life, native PDF reader

Amazon has pushed out an update to the Kindle 2 e-reader that lengthens battery life and adds a native PDF viewer.

Safari on iPhone gets competition from a $1 browser app

Apple likes to say it gives iPhone users a full browsing experience, but a new competitor tries to incorporate more desktop browser features.

Action Replay maker sues Microsoft for Xbox 360 'predatory technological barriers'

Third-party video game accessory maker Datel has filed an antitrust lawsuit against Microsoft over the Xbox 360's recent Dashboard update.