3D May Be a Hit in Theaters, But is Slow to Find its Way into Homes

  • Fewer than 115,000 American households watch 3D TV channels at any given time, reports Businessweek.
  • After “Avatar” became the highest grossing film of all time, many expected 3D to make a successful transition into homes. But disappointing content, uncomfortable glasses, and increased costs have led to a lack of 3D TV penetration.
  • Currently only 2 percent of American televisions can show 3D content. IHS Screen Digest expects this number to increase to 6 percent during the holiday season, but only because newer televisions come with the technology.
  • “While operators like DirecTV and Comcast Corp. don’t charge specifically for channels like ESPN 3D, they are generally bundled in packages that require other spending,” notes the article. Packages that include 3D channels can cost an additional $10 in some cases, and include upfront costs of up to $200.
  • IHS analyst Tom Morrod says that because 3D technology is typically bundled with other technologies, like motion-smoothing and better color contrast, some people buy 3D capable televisions and never even buy 3D glasses. “There’s very little direct consumer demand,” he says.
  • From a business standpoint, it is difficult to justify shooting in 3D with such low demand. 3D shoots require extra cameras and about double the labor.
  • ESPN 3D’s business leader Bryan Burns suggests 3D adoption will eventually take hold, just as HD made it into homes. “It took five years before reporting systems caught up and we knew who actually had the service,” Burns says of HD. “It’s not unfamiliar territory to us. We’ve been down this road before.”

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