Post by dkennedy on Nov 29, 2005 12:27:20 GMT -5
The satcaster's planned offer of a free system for local HD channels is delayed. Or is it?
November 28, 2005
By Phillip Swann
Washington D.C. -- If you had a choice, would you pay $99 for DIRECTV's new High-Definition TV system or get it for free?
That may seem like a trick question -- and it is. Let me explain. You might just save $99.
DIRECTV is now offering local HDTV channels in five cities: Chicago, Philadelphia, Detroit, San Francisco and Atlanta. (Seven more cities will get local HD by year's end -- and many more will be added in 2006.) To receive the local HD channels, however, you must get the new DIRECTV H-20 MPEG4 receiver and the new five LNB dish.
DIRECTV said last September that current HDTV subscribers would get a free upgrade to the new dish and receiver. This was said in response to customer concerns that they would have to buy a brand new system after just shelling out up to $400 for their current one, which can not display the local high-def signals.
However, beginning Saturday, TVPredictions.com began receiving e-mails from readers in the five launch cities complaining that DIRECTV was charging $99 for the new MPEG4 system.
"They (DIRECTV's Customer Service) said they didn't know anything about a free upgrade! But I got an e-mail from them a few months ago that said the upgrade would be free! Can you please help me?!" one reader asked.
DIRECTV confirmed late tonight that it was indeed charging $99 rather than giving it away for free, as expected.
DIRECTV spokesman Robert Mercer said the free upgrade would not happen until the company converted from its current MPEG2 transmission to MPEG4. Mercer said it was unclear when that transfer would happen, but it would likely occur in most cities sometime in 2006. (Although the MPEG4 transition will not occur until later, DIRECTV customers still need the new MPEG4 system to get local HD channels now.)
"We are still planning a free upgrade program,
one that will be phased in over time to ensure that customers do not lose their HD programming when the MPEG4 conversions occur," Mercer said. "HD
customers who want the new equipment ahead of schedule - before the free upgrade offer in their city is available - can pay a substantially reduced price of $99 for the...dish upgrade and receiver -- including installation - and $99 for each additional receiver."
When asked if the $99 charge was a "bait and switch" because people were led to believe that the upgrade would be free immediately, Mercer said: "We respectfully disagree with those customers (who might say that.)."
So, if you have to pay $99 for the upgrade, how would you get it for free without waiting for the MPEG4 transition?
TVPredictions.com on Monday received several e-mails from readers who said that DIRECTV's Customer Service department waived the $99 charge after they complained and asked to talk to a supervisor.
"I threw a fit and said I wanted to talk to a supervisor. They came back and said it would be free...They're coming next Monday to install it," one reader wrote.
Another reader accused TVPredictions.com of inaccurately reporting that some subscribers were being charged $99.
"I just called DIRECTV and was upgraded to the new receiver and dish for free and the install is only $49," the reader wrote.
Several other readers noted that in cities where local HDTV is being offered, DIRECTV has partnered with retailers to sell the H20 MPEG4 receiver for $199 to new and existing customers. However, the deal includes a $200 rebate. (See Best Buy offer.)
Yes, that would seem to make it free.
However, the rebate receiver does not come with the 5 LNB dish, which has to be purchased separately from DIRECTV for, you guessed it, $99.
So, is DIRECTV's new HDTV system free -- or $99? Or perhaps -- free, with $49 for the installation?
It depends upon who you talk to.
© TVPredictions.com
