Outside the Box

THE DIGITAL TV CONVERTER BOX COUPON PROGRAM

U.S. Department of Commerce

Gary Locke, Secretary

National Telecommunications and Information Administration

Lawrence E. Strickling, Assistant Secretary for Communications and Information

Anna M. Gomez, Deputy Assistant Secretary for Communications and Information

Bernadette McGuire-Rivera, Ph.D., Associate Administrator, 

Office of Telecommunications Information and Applications

TV Converter Box Coupon Program

Anita L. Wallgren, Program Director

Anthony J. Wilhelm, Ph.D., Consumer Education Director (2006 – 2009)

Mary Lou Kenny, Consumer Education Director (2009)

Acknowledgements

NTIA would like to thank Bart Forbes, Rochelle Cohen, Sara Morris, Wayne Ritchie, 

Diane Steinour, and Edward “Smitty” Smith for their contributions to this report.

The TV Converter Box Coupon Program was a tremendous success and is one of

the reasons the digital television transition in the United States went so smoothly.

Over a two-year period, the Coupon Program educated millions of Americans about

how to get ready for the transition and helped reduce the cost of purchasing a

converter box for millions of households.

This report describes the challenges NTIA faced in administering the Coupon

Program and the solutions we developed to address those issues.

As many countries around the world prepare to make their own transition to digital

television, we hope this report provides useful information on how the United States

prepared for this historic change. I am pleased to share “Outside the Box: The

Digital TV Converter Box Coupon Program” with you.

Lawrence E. Strickling

Background . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

Challenges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

Case Study: Coupon Design and Delivery . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Case Study: Converter Boxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

Case Study: Retail Participation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Case Study: Partnerships . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12

Case Study: Consumer Education . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Case Study: Accountability & Transparency . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

Case Study: Flexibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

Impact . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22

similar transition. 

The Coupon Program was an effective public-private partnership. The Coupon Program was

involved in setting technical standards, certifying products, monitoring retail operations,

providing consumer education, fulfilling coupon orders, and offering customer support.

Voluntary and wide-scale involvement of manufacturers, retailers, cable operators and

broadcasters, community groups, and other federal agencies made success in these areas possible.

This comprehensive program depended on innovative solutions. As an unprecedented

program, the Coupon Program staff, at every turn, had to think “outside the box” in new and

creative ways. 
receiving digital signals. 

To do so, consumers could buy a new digital

television; subscribe to cable, satellite or other

pay television service; or purchase a digital-toanalog converter box. 

Many Americans had analog TV sets that

could not receive digital TV signals over the

air. Congress, therefore, provided financial

assistance to help consumers purchase

converter boxes. These boxes would allow

analog TV sets to receive and to display

digital TV broadcasts.

In the U.S. House of Representatives,

Commerce Committee Chairman Joe Barton

of Texas first announced a plan for a

converter box subsidy in March 2005.(2)

Congress eventually developed and funded

the Coupon Program at $1.5 billion. (3)

At that time, Congress permitted each U.S.

household to request up to two $40 coupons

to purchase basic converter boxes. The new

converter boxes were expected to cost

approximately $50 each. No converter boxes

at this price were available in stores at that

time, however.

Deficit Reduction Act of 2005 (T

Digital Television Transition and P

Safety Act): Set firm deadline of F

2009, for TV stations to end thei

service; established the Coupon P

with strict guidelines for its

implementation; and provided

$1.5 billion for the Coupon Prog

DTV Delay Act of 2009: Moved th

February 17, 2009 deadline to Ju

2009; gave consumers four more 

to request coupons, to July 31, 2

extended length of Coupon Prog

authorized Program to issue repla

coupons.

American Recovery and Reinves

Act of 2009 (Recovery Act): Prov

NTIA with $650 million for add

coupons, administrative costs (su

first-class postage), and consumer

education.

2
Congress directed the National

Telecommunications and Information

Administration (NTIA), an agency within the

U.S. Department of Commerce, to run the

Coupon Program. Congress also established

the requirements of the Coupon Program.

NTIA proposed rules and received many

comments on how to craft the regulations

governing the Program. NTIA issued the final

regulations in March 2007.(4)

Through a competitive bidding process,

NTIA selected a contractor to provide

services for the Coupon Program.

The prime contractor coordinated subcontractors that ran the coupon distribution

and consumer support system, worked

directly with retailers, and coordinated

consumer education with NTIA staff.(5)(6) 

technical digital transition. The FCC

and NTIA worked together to educate

consumers about what they needed to do

for the transition. 

Off and Running

■ February 8, 2006: President signs bill to create

Coupon Program.

■ July 20, 2006: NTIA suggests model Program with

Notice of Proposed Rule Making.

■ July 31, 2006: NTIA conducts research with draft

Statement of Requirements for contractor.

■ September 25, 2006: Last day of public comments

on proposed Program rule.

■ January 7, 2007: NTIA informs prospective

contractors with Program Pre-solicitation Notice.

■ March 12, 2007: NTIA issues Final Rule for Progr

■ March 14, 2007: NTIA issues Request for Proposa

provide services needed to implement the Program

■ May 7, 2007: Deadline for potential contractors to

submit proposals.

■ August 15, 2007: Contract awarded for call center,

processing, and consumer education.

■ January 1, 2008: NTIA begins accepting requests 

coupons through its www.DTV2009.gov Web site

call center, and by fax and mail. 

■ February 17, 2008: NTIA begins coupon

distribution process.

p, g, 

U.S. Department of Commerce,

Herbert C. Hoover Building, Washington, D.C.
development. Given the Program’s time

constraints, manufacturers would have barely

12 months to bring boxes that met NTIA

technical specifications to market -- less than

the typical 18-month manufacturing cycle. 

As described in the section entitled “Case

Study: Converter Boxes,” NTIA established

standards and a simplified certification

process that encouraged manufacturers to

produce boxes quickly.

Challenge #2: The number of households

not yet able to receive digital TV was

not known. 

The U.S. does not license television sets, so

no one knew how many households had only

analog, over-the-air television. In June 2005,

the Consumer Electronics Association (CEA)

estimated that approximately 11 million

households were unprepared for the digital

transition.(8)

The U.S. Government Accountability Office

(GAO) suggested that the number was closer

to 21 million.(9)

NTIA, therefore, designed the coupon

request, distribution, and payment system to

be scalable to meet the unknown demand.

households existed. 

Originally, NTIA proposed to giv

coupons only to households that 

TV using antenna-only television 

This excluded those that subscrib

pay TV service. However, househ

using a cable or satellite service m

need to receive over-the-air TV st

in times of emergency, such as sev

weather. Also, households with p

service might have one or more a

only TVs. More important, verify

which specific households relied

completely on over-the-air broad

was impossible. 

Therefore, NTIA decided to perm

U.S. households to request coupo

provide a balance among the unc

of demand, funding limitations, 

ability to prioritize households th

depend on over-the-air TV servic

established two funding categorie

households could apply on a first

first-served basis until coupons va

$890 million were redeemed and 

but not expired. After that, $450 

was available for households certi

that they did not subscribe to a c

satellite, or other pay television se

4
therefore, provided weekly coupon request

and redemption data to assist retailers and

manufacturers in maintaining an adequate

supply of boxes.

Challenge #4: The U.S. Congress placed

very specific conditions on the Program in

2005 in order to safeguard funding:

■ no more than $160 million could be spent

on administrative expenses;

■ no more than $5 million of administrative

funds were for consumer education;

■ the value of each coupon was $40;

■ each requesting household would receive no

more than two coupons;

■ coupons were required be delivered via the

U.S. Postal Service;

■ only one coupon could be used toward the

purchase of each converter box;

■ consumers could only request coupons from

January 1, 2008, to March 31, 2009; 

■ all coupons expired three months after

issuance; 

■ coupons could only be used to purchase a

“digital-to-analog converter box,” defined as

“a stand-alone device that does not contain

features or functions except those necessary to

enable a consumer to convert any digital TV

channel into a format that can be displayed

on analog TV sets.” Converter box purchases

could also include a remote control.

gpy 

“household” rather than residence or

address. In its rule, NTIA defined what is

meant by “household” by using the U.S.

Census Bureau definition: “A household

is all persons who currently occupy a

house, apartment, mobile home, group of

rooms, or single room that is occupied as

a separate U.S. postal address.” 

The Census Bureau definition adds that a

household is a separate living quarter in

which occupants do not live and eat with

any other persons and there is direct

access from the outside or through a

common hall. 

The U.S. Postal Service maintains a large

database of residential household

addresses. NTIA used the Postal Service

database to validate applicant addresses as

eligible households. Community groups

and some Members of Congress were

concerned that the Postal Service’s list of

households did not include everyone who

needed coupons. NTIA responded in

September 2008 by providing a waiver for

residents of nursing homes, intermediate

care facilities, and other assisted living

facilities that were licensed by a State. 

NTIA could identify these facilities

because they were on a list of statelicensed facilities. Licensure also reduced

the risk of fraud in applying for coupons.
Coupon Program on February 8, 2006. This

gave the Coupon Program less than two years

before it had to start accepting requests, on

January 1, 2008. In order to meet this

challenge, NTIA:

■ hired federal staff and created a new

program office within the agency;

■ created the technical standards for a new

consumer electronics product before

manufacturing could begin; 

■ proposed guidelines, systems, and controls

for the Program; 

■ followed the required federal process of

public comment to adopt rules for the

Program; 

■ developed a contractor selection plan that

complied with the formal federal process; 

■ developed a Request for Proposal for a

contractor to provide services; 

■ evaluated bids and negotiated the final

contract for services;

■ encouraged multiple manufacturers to

design, manufacture, and market a new

product quickly;

■ identified a financial system to support

coupon distribution to households; 

■ worked with the U.S. Treasury to design a

financial system that would reimburse

retailers for the value of the coupon; 

to confirm eligibility would likely 

reasonable and timely distributio

coupons.(11)

Ongoing federal programs such a

Supplemental Nutrition Assistanc

Program (SNAP, formerly the Fo

Program) could justify using such 

system for proving household inc

but the short-term Coupon Prog

could not. 

Therefore, NTIA did not require 

households prove a need for conv

coupons based on household inco

■ recruited and certified retailers to 

their systems to redeem coupons 

certified converter boxes; 

■ monitored contractor performanc

■ managed the Program to minimiz

fraud, and abuse. 

NTIA moved immediately to prior

and develop an implementation pla

included the use of a contractor, in

consumer groups. The process for f

contracting was on a tight schedule

also quickly began working with br

manufacturers, retailers, and comm

service groups on key elements of t

Program, as detailed in these case s

6
py

ranging comments and issued the Final Rule

in March of 2007.(12)

Consumers were required to provide only

basic information to request coupons. This

made the process simple and addressed

concerns about the federal government’s

protection of individual privacy. Applicants

only provided their names, household

addresses, the number of coupons requested,

and whether they subscribed to a pay TV

service, such as cable or satellite.

allowed online and telephone retailers to sell

certified converter boxes. Unlike gift cards, the

coupons did not carry any “stored value” and

could be used only once.

The amount of $40 was clearly marked on

every card. The coupon numbers were

matched to a central database. This ensured

that the cards were valid and had not been

used, and it enabled electronic tracking of

every transaction. As a result, opportunities

for fraud were greatly reduced.

Coupons were mailed to household

addresses via the U.S. Postal Service, as

required by Congress. NTIA received some

comments about the need for household

delivery in rural America. At first, NTIA

allowed for delivery to Post Office Boxes

only for Indian Reservations,

Alaskan Native

Villages, and other

rural areas. Later,

consumers asked

NTIA to permit

delivery to Post Office

Boxes generally. NTIA

responded by changing

its rules to allow delivery

to Post Office Boxes. In

order to reduce fraud, however, NTIA still

required applicants to identify their physical

household addresses.

“We highly valued the comments,

suggestions, and confidence [the]

stakeholders provided in helping us

develop the Program. In fact, one of the

most important comments we received in

our rulemaking was the joint filing of

MSTV (Maximum Service Television),

NAB (National Association of

Broadcasters), and CEA (Consumer

Electronics Association) recommending

several technical specifications for

coupon-eligible converter boxes.”(13)

– Former Acting

Assistant 

Secretary of 

Commerce

Meredith A. Baker
standards provided American consumers with

a wide selection of affordable converter boxes

with state-of-the-art technology.

Manufacturers were free to develop other

converters with additional features, but those

would not be eligible for purchase with the

coupon.

The Coupon Program fostered an

extraordinary collaboration between

American broadcasters and the consumer

electronics industry. 

Generally speaking, these groups maintain

various positions and interests on regulatory

and technical issues. However, they had a

common interest in the successful transition

to all-digital television broadcasting. NTIA

based much of its converter box technical

standards and certification process on the

advice received from members of this community in their “Joint Industry Comments.”(14)

NTIA’s technical certification process was

based on a well-established FCC equipment

approval process. 

Manufacturers were responsible for

conducting technical testing at their own

facilities. Manufacturers then provided sample

boxes along with their detailed test results to

NTIA. NTIA reviewed the results and sent

the test results and boxes to the FCC

technical laboratories for additional testing.

and included specific features. Al

other functions were permitted, s

features would disqualify a conve

from being certified.

Required features included: 

■ digital reception,

■ tuning to all TV channels,

■ radio Frequency (RF) sensitiv

■ interference rejection, 

■ program-related material (Pro

and System Information Proto

or PSIP),

■ closed captioning, 

■ parental controls,

■ emergency alert system functi

■ energy conservation.

Permitted features included: 

■ analog signal pass-through, 

■ smart antenna interface, 

■ battery-power operation, and 

■ advanced program guide.

Disqualifying features included:

■ hard drives,

■ DVD or other playback, and 

■ digital interfaces.

8
NTIA certified more than 190 converter

boxes. NTIA encouraged broad participation

by manufacturers by making the certification

process open to all foreign and domestic

manufacturers and by not charging an

application fee. NTIA also carefully guided

manufacturers through the certification process.

Manufacturers were able to bring

affordable converter boxes to market

quickly. The time to market for consumer

electronics manufacturers is usually 15 to 18

months from the start of product design.(16)

NTIA certified the first converter box in midSeptember 2007, just six months after issuing

technical specifications. The first wave of

converter boxes arrived on store shelves only

five months later, in mid-February 2008. 

The NTIA technical standards were stateof-the-art for reception of digital television

signals. The FCC’s Laboratory Division in

the Office of Engineering and Technology

(FCC Labs) performed approximately 300

tests on each of the converter box models

submitted. 

The FCC Labs noted that this was the largest

single collection of performance

measurements of modern consumer digital

television receiver products in existence.(17)

g

coupons remains at a high level consistent

with the needs and expectations of

consumers. By adopting minimum

performance requirements, NTIA

significantly enhances the likelihood of

success for the overall program by helping

to assure that the devices eligible under

the Coupon Program perform to the

satisfaction of American consumers.”(15)

– Converter Box Manufacturer
p

themselves and were single-use cards.

Participating retailers were reimbursed after

accepting a valid coupon for the purchase of a

certified coupon-eligible converter box. 

NTIA linked the use of the coupon to certain

Uniform Product Codes for specific models of

converter boxes and authorized payment only

to participating retailers. This helped NTIA

control waste, fraud, and abuse. The Program depended on conver

being widely available at retail st

Retailers recognized the limited du

the Coupon Program and they wan

avoid having excess inventory after 

Program ended, however.

Retailers also did not know how m

converter boxes consumers would p

New systems and processes required 

Program could entail implementati

to retailers. 

NTIA responded to the concerns o

large and small retailers in designin

retailer aspects of the Coupon Prog

10

Consumer Electronics Association (CEA) demonstration of analog and digital TV broadcasting at NTIA-sponsored DTV Expo in Washington, D.C.

correctly state [when] the DTV t

would occur and could explain h

apply for a converter box coupon

– United State

Governmen

Accountabi

Office
NTIA simplified required retailer staff

training by using familiar redemption

procedures. 

Store clerks frequently used discount coupons

and processed debit, credit, and gift cards.

This meant that the retailers only needed to

provide very targeted training to staff on

how to process coupons. NTIA, therefore,

provided training materials to all

participating stores. 

participated, including Best Buy, Kmart,

Sears, RadioShack, Target, and WalMart.

Hundreds of regional chain stores and smaller

retailers also sold converter boxes. In addition,

consumers could choose from among 25

online retailers and 10 telephone retailers.
Association of Broadcasters (NAB) and the

National Cable & Telecommunications

Association (NCTA) produced these “PSAs,”

and hundreds of NAB and NCTA members

broadcast the PSAs nationwide. In addition,

the Consumer Electronics Association and

Consumer Electronics Retail Coalition created

online resources. Many local TV stations also

produced TV programs and news updates.

These included stations of the Spanishlanguage networks Telemundo and Univision. 

NAB also coordinated the Digital Television

Transition Coalition that involved more

than 120 business associations and

community groups.

Many federal agencies provided d

tact with vulnerable and often har

groups of people. These agencies i

■ Federal Communications Comm

■ Internal Revenue Service, 

■ Department of Agriculture Food 

Extension Programs, 

■ Social Security Administration, 

■ Department of Veterans Affairs, 

■ White House Office of Faith-Bas

Community Initiatives, 

■ General Services Administration, 

■ Environmental Protection Agency

■ Administration on Aging, and 

■ Department of Health and Hum

Services' Administration for Chil

Families and Centers for Medicar

Medicaid Services. 

12

National Association of Broadcasters’

“DTV Trekker”

vulnerable to losing a vital means 

emergency and community affair

information.”

– U.S. Depa

of Comme

Secretary 

Gary Lock
These partners also developed their own

programs that were tailored to the needs of

their communities and helped many people

apply for coupons. In addition, religious,

social service, and health agencies branched

out beyond their usual areas of expertise to

assist with technology issues.

To reach minority and rural communities,

for example, NTIA worked closely with

groups including the U.S. Hispanic

Chamber of Commerce, National Black

Chamber of Commerce, Southeast Asia

Resource Action Center, Koahnic Broadcast

Corporation, Native Voice One, and

Appalachian Regional Commission. 

NTIA provided coordination and support for

the partners. For example, NTIA hosted

regular telephone conference calls and

online “webinars” to keep partners up-to-date

on the Coupon Program. NTIA also

distributed regularly an electronic newsletter

(e-newsletter). The Program Web site offered

a variety of materials, such as fact sheets,

sample flyers, articles, brochures, radio scripts,

and inserts. 

NTIA’s primary government partner for consumer education activities was the FCC, with

each agency focusing efforts on its respective

areas of expertise. For example, NTIA was the

main source of information about obtaining

converter box coupons, while the FCC was

advising NTIA. They provided valuable

suggestions for changing aspects of the

Program. For example, NTIA learned about

problems with coupon eligibility for nursing

homes residents from these partners. 

The community groups also advised NTIA

that some people may need assistance in

connecting their converter box. They also

provided useful suggestions about consumer

education. NTIA responded by revising its

program regulations and by adapting its

public service messages to serve these needs.

Members of Family, Career and Community Leaders of Ame

at a NTIA-sponsored DTV Expo in Washington, D.C.
encourage news stories on the digital

transition by national and local TV stations,

radio stations and newspapers.

NTIA targeted the least-prepared groups

and cities. In particular, NTIA focused on

five population groups that relied greatly on

antenna-only TV sets: seniors and older

Americans; low-income Americans; rural

residents; people with disabilities; and

minorities. NTIA also identified 45 areas

of the country as high-risk based on

specific factors. 

These included areas with more tha

150,000 households relying on ove

broadcasts; areas with more than 20 

of all households relying on over-th

broadcasts; or cities with the largest 

groups noted above.

NTIA led consumer education effo

how to request coupons and cond

them in many languages. 

People could call a toll-free numbe

to a Web site, mail in a request or a

or send a request by facsimile (fax) 

Outreach materials included both E

Spanish versions. NTIA also provid

applications in Chinese (Mandarin

Vietnamese, Tagalog, and other lan

The call-in center also provided ass

over 20 languages.

14

Consumer education materials included both

English and Spanish versions.

National Association of Area Agencies 

(n4a) assisted consumers with choices 

digital TV transition.
and Try. 

Congress allowed NTIA to devote some funds

for additional consumer education. NTIA

then awarded grants to two groups: the

National Association of Area Agencies on

Aging (n4a) and the Leadership Conference

on Civil Rights Education Fund (LCCREF).

These organizations helped consumers apply

for coupons, purchase converter boxes, and

install the boxes in their homes. They assisted

more than 350,000 consumers in more than

180 cities. They also ran coupon donation

programs in more than 30 cities.

“With extensive outreach in communities

across the country, the Keeping Seniors

Connected organizations will reinforce

the efforts of the NTIA and their

contractors by directly disseminating

customized, targeted information about

the transition to these vulnerable

populations. Most importantly, n4a will

then offer seniors the direct, one-on-one

assistance that most will need in order to

make a smooth transition to DTV.”(19)

– Sandy Markwood, 

CEO, National 

Association of Area 

Agencies on Aging

“The Leadership Conference on Civil

Rights Education Fund is pleased to be

working with NTIA. We also look

forward to working with our local

partners on the ground to set up

assistance centers and provide vulnerable

communities with direct hands-on

assistance. Access to free over-the-air

television is an important lifeline for

millions of Americans.”(20)

– Karen McGill

Conference on 

Civil Rights 

Education Fund

National Association of Area Agencies on Aging (n4a) assiste

with choices for the digital TV transition.
devices certified by NTIA could be purchased

with a coupon.

NTIA monitored stores to make sure they

followed procedures and accounted for the

funds. Retailers agreed to provide customers

with accurate information about the Coupon

Program, to process coupons correctly, and to

account for every purchase. To oversee this,

NTIA hired “secret shoppers” who made

approximately 1,700 visits nationwide. These

and other monitoring processes helped to

limit waste, fraud, and abuse in the Program.

NTIA also decertified some retailers that did

not follow the rules. 

NTIA monitored illegal sales of coupons.

NTIA alerted consumers that it was illegal for

an individual to sell a coupon. NTIA also

worked with many online services, such as

eBay and Craigslist, to identify and remove

illegal offers to sell converter box coupons. 

NTIA bought converter boxes from stores

and tested them to verify compliance with

the established standards. All boxes tested

passed the technical tests. The agency was

very pleased with the high level of consumer

satisfaction with certified converter boxes and

received a relatively small number of

complaints. 

NTIA used special software to check

coupon requests and redemptions.

The agency ran regular computer waste,

fraud, and abuse checks against all coupon

qpp

identify duplicate and fraudulent re

The Program ran similar checks ag

coupon redemption activity at retai

discover unusual patterns. NTIA th

investigated questionable or suspici

activities to uncover potential fraud

NTIA met regularly with its prime

contractor and subcontractors to 

aspects of the Program. Managem

meetings covered everything from c

requests to retailer payments. An o

“dashboard” provided daily oversigh

trend information to NTIA manag

Transparency was a hallmark of t

Program. NTIA made virtually all 

the Program available to the public

example, NTIA posted on its Web 

public comments and official docu

These included: 

■ the proposed and final program r

modified rules; 

■ notices of all public meetings; 

■ public comments and meeting no

■ waivers; 

■ requests for contractor proposals; 

■ final contract and all modificatio

■ detailed consumer education plan

■ notifications of grant awards; and 

■ weekly status reports on coupon 

redemptions, converter box and r

certifications, and funds availabil

16
NTIA issued coupons only when NTIAcertified converter boxes were available

in stores. For example, NTIA certified the

first converter box in September 2007 and

manufacturers quickly produced and

distributed the converter boxes to retail 

stores by mid-February 2008. However,

Congress required NTIA to accept coupon

requests beginning on January 1, 2008.

NTIA created waivers for residents of

nursing homes and Post Office Boxes based

on advice from community partners. As

previously noted, NTIA initially limited

eligibility for coupons to households with a

residential postal address. Members of

Congress and community groups advised

NTIA about problems encountered by seniors

in nursing homes and assisted living facilities

in obtaining coupons. They also counseled

the agency about people who prefer to use

Post Office Boxes. NTIA responded to these

concerns quickly. Within five months,

NTIA changed its rules to permit nursing

home residents to receive coupons and to

allow for persons using Post Office Boxes to

receive coupons.

“The DTV Delay Act is good for the

American people. It acknowledges the

need for more time so we can give the

American consumers the assistance they

need to acquire coupons and the

importance of giving the public safety

community access to additional spectrum

to improve communications. If NTIA

receives additional budget authority for

the TV Converter Box Coupon Program,

our first priority will be to provide

coupons for those households currently

on the waiting list, as well as maximize

further distribution of coupons.”(23)

– Anna M. Gomez

Deputy 

Administrator, 

National 

Telecommunications 

and Information 

Administration

NTIA adjusted the promotional campaign to include bus ca

ing “The Last Minute is Here” in the spring of 2008.
digital transition to request their coupons.

Also, some bought converters using coupons

but did not hook up the boxes. NTIA,

therefore, created the promotional campaign

called “Apply, Buy, and Try.” Then in the last

few months of the Coupon Program, the

slogans “The Last Minute is Here” and “Get

DTV Ready Now!” stressed urgency to

motivate consumers to act. 

Congress extended the length of the

Program. In January 2009, the Nielsen

Company reported that approximately 6.5

million television households still were not

ready for the end of analog television. Acting

out of concern for the millions of unprepared

Americans, President Obama successfully

encouraged Congress to pass the DTV Delay

Act. This Act delayed the analog shut off

date by four months, to June 12, 2009.

The law also gave consumers four a

months to request coupons, throug

2009, and allowed NTIA to replace 

that had expired without being red

The American Recovery and Rein

Act (Recovery Act) provided addit

funding for coupons. The success 

“Apply, Buy and Try” campaign con

to a surge in coupon requests. This 

the Coupon Program reaching a cr

funding limit earlier than planned. 

ensure Americans did not lose acce

broadcasts upon which they relied, 

Obama successfully requested Con

provide the Coupon Program with 

additional $650 million. These fun

NTIA to eliminate a backlog of req

more than four million coupons an

upgrade its coupon delivery from s

class mail to first-class mail, ensurin

delivery to consumers.

18

Commerce Secretary Gary Locke, at podium, urges consumers to “Get

DTV Ready Now” at a NTIA DTV rally.
Cabinet-level assistance raised awareness

after the DTV Delay Act. Commerce

Secretary Gary Locke was instrumental in

raising awareness in the final months of the

DTV transition, especially in the most

unprepared communities. Secretary Locke

participated in events with lawmakers, and

conducted dozens of national and local

television and radio interviews – including

outreach to Hispanic and African-American

outlets – urging millions of Americans to get

ready for the digital conversion.

Secretary Locke also expressed appreciation to

Congress for giving NTIA the flexibility to

make vital changes in the Coupon Program.

“Because of the DTV Delay Act and

additional funding from the American

Recovery and Reinvestment Act, millions

more households were prepared for the

transition,” Secretary Locke said. 

Recovery Act funds also allowed NTIA to

expand consumer outreach and education.

NTIA conducted focus groups to help

determine why certain households were still

unprepared for the end of the DTV

transition. NTIA used this information to

develop new methods and messages to more

approximately 700 minority-focused media

outlets nationwide to encourage consumers

to act.

In addition, NTIA purchased ads in transit

shelters located in target cities. These ads

reached an estimated 59.6 million riders to

ensure consumers were aware of the transition

and prepared for it.

NTIA’s “Mobile Assistance Center” campaign

was among its most successful promotions.

“DTV clinics on wheels” travelled to more than 200 events. 
Nielsen Company, a private research company

that measures television usage, tracked how

many American TV households were ready

for the end of analog broadcasting.

The readiness data are based on set

households in its National People M

panel, which is projectable to U.S. 

households, and its local metered p

which are projectable to their respe

television household populations. 

20

, 35 

Americans took action based on

information they received about 

transition (purchasing a converte

digital television or subscribing to 

multichannel video provider). 

More importantly, 92% of anten

households took some action to p

for the transition before June 12. 

today, the DTV transition stands 

success story that will be held up 

model of government/ private sec

partnerships. The DTV transition 

provide enormous benefits to the

American people for years to com

– Jason O

Senior 

Industr

Consum

Electro

Associa
converter boxes. This was a redemption

rate of more than 54.4 percent -- higher

than any other known commercial coupon

redemption rate.

Supporting this distribution was a massive

customer service effort. 

NTIA received more than 51.7 million calls to

its toll-free telephone service and more than

The end result was a relatively smooth

conclusion to analog TV broadcasting in the

United States.

The day analog signals ended, more than 112

million of the 114.5 million TV households

were prepared. Still, NTIA received more

than 380,000 calls, a record, on that day.

In the article “Changeover to Digital TV Off

to a Smooth Start” on June 13, 2009, the

New York Times reported: “Across the

country, television stations set up help lines

and community organizations held events to

aid confused viewers. Most stations didn’t

receive the flood of calls they had expected,

a sign that the transition was

smoother than many had

predicted.”(25)

“The DTV transition has been an outstanding success, a true partnership between federal agencies, retailers, product

suppliers, broadcasters, and others

working together to educate and serve

millions of Americans. 

CERC members were the core

participants in the NTIA Coupon

Program. Participation required revising

their point of sale sales systems for all

products, and meeting strict certification

and audit criteria. 

The fact that the Coupon Program ended

quietly and with almost no public notice

speaks to the hard work and effort so

many people poured into the process.” 

– Chris McLean, Executive Director 

Consumer Electronics Retailers 

Coalition
22

() (),

http://www.ntia.doc.gov/otiahome/dtv/PL_109_171_TitleIII.pdf

(4) Digital-to-Analog Converter Box Coupon Program, 47 C.F.R. § 301 (2007). 

(5) Request for Proposal: Digital-to-Analog Converter Box Coupon Program, Solicita

Number: Reference-Number-PR-NTIA470-7-0296AW,

https://www.fbo.gov/index?s=opportunity&mode=form&id=b277a8285ed7b7f0c8d4

2f7&tab=core&_cview=1

(6) NTIA Contract to Provide Services for the Digital-to-Analog Converter Box Cou

Program, http://www.ntia.doc.gov/dtvcoupon/IBMcontract.html

(7) NTIA TV Converter Box Coupon Program Consumer Education Plan,

http://www.ntia.doc.gov/dtvcoupon/DTV_ConsumerEducation_120607.pdf

(8) Press Release, Consumer Electronics Association, New Data Shows Analog Broad

Cut-Off Will Impact Few U.S. TV Sets and Homes (June 8, 2005),

http://www.ce.org/Press/CurrentNews/press_release_detail.asp?id=10764

(9) Digital Broadcast Television Transition: Estimated Cost of Supporting Set-Top Bo

Help Advance the DTV Transition: Testimony Before the H. Comm. on Energy and

Commerce, Subcomm. on Telecommunications and the Internet, 109th Cong. (2005

(statement of Mark L. Goldstein, Director, Physical Infrastructure Issues, U.S. Gover

Accountability Office), http://www.gao.gov/new.items/d05258t.pdf

(10) Digital Broadcast Television Transition: Several Challenges Could Arise in Admi

Subsidy Program for DTV Equipment: Testimony Before the H. Comm. on Energy a

Commerce, Subcomm. on Telecommunications and the Internet, 109th Cong. (2005

(statement of Mark L. Goldstein, Director, Physical Infrastructure Issues, U.S. Gover

Accountability Office), http://www.gao.gov/new.items/d05623t.pdf 

(11) id.

(12) See supra Note (4)

(13) Meredith Attwell Baker, Former Acting Assistant Secretary, NTIA, Keynote spee

Maximum Service Television (MSTV) 22nd Annual Fall Television Conference (Sept

2008), http://www.ntia.doc.gov/speeches/2008/Baker_MSTV_080922.html 
(17) Federal Communications Commission, Office of Engineering And Technology, DTV

Converter Box Test Program—Results And Lessons Learned (Oct. 2009). 

(18) U.S. Government Accountability Office, Digital Television Transition: Implementation of

the Converter Box Subsidy Program Is Under Way, But Preparedness To Manage An Increase In

Subsidy Demand Is Unclear, GAO-08-1040 (Sept. 2008),

http://www.gao.gov/new.items/d081040.pdf

(19) Press Release, National Telecommunications and Information Administration, Commerce’s

NTIA Awards $2.7 Million to National Association of Area Agencies on Aging to Help Seniors

Transition to Digital TV (Nov. 18, 2008),

http://www.ntia.doc.gov/press/2008/DTV_N4Agrant_081118.html

(20) Press Release, U.S. Department of Commerce Commerce’s NTIA Awards $1.65 Million to

Leadership Conference on Civil Rights Education Fund to Help Vulnerable Groups Transition

to Digital TV (Nov. 21, 2008),

http://www.ntia.doc.gov/press/2008/DTV_LCCRaward_081121.pdf

(21) U.S. Government Accountability Office, Digital Television Transition: Implementation Of

The Converter Box Subsidy Program Is Under Way, But Preparedness To Manage An Increase

In Subsidy Demand Is Unclear, GAO-08-1040 (Sept. 2008),

http://www.gao.gov/new.items/d081040.pdf

(22) TV Converter Box Coupon Program: Weekly Status Update Reports,

http://www.ntia.doc.gov/dtvcoupon/reports.html

(23) Press Release, National Telecommunications and Information Administration, Commerce’s

NTIA Welcomes Congressional Action on DTV Delay as Opportunity for More Americans to

Prepare for the End of the Digital TV Transition (Feb. 5, 2009),

http://www.ntia.doc.gov/press/2009/DTV_Delay_090205.htm

(24) NTIA TV Converter Box Coupon Program Consumer Education Addendum,

http://www.ntia.doc.gov/dtvcoupon/IBM_NTIA_DTVConsumerEd_Addendum_090423.pdf

(25) Changeover to Digital TV Off to a Smooth Start, New York Times, June 14, 2009

http://www.nytimes.com/2009/06/14/business/media/14digital.html?_r=1&emc=tnt&tntemail0=y