Digital TV converters to sell for about $60: LG

By Rachelle Younglai

WASHINGTON (Reuters) - LG Electronics (066570.KS: Quote, Profile, Research, Stock Buzz) said on Monday it expects retailers to charge about $60 for equipment that will enable consumers to make the analog-to-digital switch on their televisions.

LG is one of three companies that have developed converter boxes to prevent analog television sets from going dark on February 17, 2009, when U.S. television stations are required to switch to digital.

"We plan to have the boxes available in early 2008," John Taylor, LG's vice president of U.S. government relations, said at a public meeting on the digital transition.

If U.S. owners of analog televisions do not get a converter box, subscribe to satellite or digital cable, or replace their TV with a digital television by February 17, 2009, they will not be able to watch television.

LG did not say how much it will cost the company to make the device.

However, it is unclear how the process of getting converter boxes to retail stores will work with the U.S. government's plan to provide $40 discount coupons to consumers to help buy the converter boxes.

The National Telecommunications & Information Administration, the Commerce Department agency responsible for the converter coupon program, expects to have a system in place to accept requests for coupons by January 1, 2008.

Anita Wallgren, NTIA's coupon program director, said the decision about when to start sending out coupons would be made after monitoring the readiness of the retailers to process the coupons and to have stock on the shelf.