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How does it work in places like Japan and the US, where they already have such a service - are viewers paying even more for HDTV versions of their channels/programmes?
Would broadband be the way to deliver this? (I would guess broad-er band than available right now)
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Most, if not all, of the major networks such as CBS, NBC, ABC, FOX, etc., are already broadcasting in digital along with the analog. The digital signal is available. You just need the equipment.
For over-the-air free television, such as CityTV or ABC or NBC etc., you need a digital receiver box. Some HDTVs have it built in. Ours don't. If you don't have it built in, you need an external receiver which runs about 50 to 100 pounds.
For cable, you need a digital receiver which most people have, but it also needs to be HDTV compliant, which most people don't have. My cable company offers a 350 pound Motorla HDTV receiver, but it also has a 80 GB DVR included.
For satellite, it is pretty much the same thing. You need a HDTV receiver.
As for material, well, as I said, all the major networks broadcast in digital already. For example, CityTV is a free channel. I can get the regular CityTV, or I can view CityTV HD. Same programming, but the shows that are available in HD are broadcasted in HD on the HD signal.