DISH Strategy: Free HD-DVR, Lower Prices

While DIRECTV made a splash at CES by announcing some of the 100 new HD channels it plans to add this year, DISH Network decided to focus on what it calls its new Digital Home Advantage Package. The new offer begins Feb. 1st and includes a free ViP 622 HD-DVR with a commitment to a certain level of programming including the $20 per month HD package.

No word from DISH on how or whether it intends to compete with DIRECTV's soon-to-be vastly expanded HD channel lineup. Through its acquisition of the old VOOM satellite Rainbow-1 a couple years back, DISH should have bandwidth capacity for additional channels, although it's unclear how many. It is also worth pointing out that while DIRECTV's announcement overshadwed DISH's, DIRECTV has not yet even launched the two new satellites that will give it the capacity to actually offer the 100 new high-def channels.

As the cable companies continue to migrate to all-digital networks through the digital simulcast transition, they too will begin adding more HD channels, putting more pressure on the satcasters to increase their high-def offerings. Throw in what telcos like AT&T and Verizon are doing with their new fiber networks and IPTV, and it all adds up to a win-win for consumers who should have access to a lot more HD content within 6-12 months.