Chapter 3 Technology innovation: hardware
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Performance and innovation trends, popularized as “Moore’s Law,” have made videotech - the technologies of video content production and of its processing, editing, transmission, distribution, storage, display, selection, and interface - more powerful by an unprecedented rate of change. This chapter analyzes and quantifies the technical evolution of several key information technology segments: semiconductor components, storage devices, transmission networks, wireless technology, video production equipment, and enduser displays. The overall average compound annual growth rate of innovation and cost reduction in this sector is found to be 44% over several decades. In contrast, the rate of innovation for the TV sector was only 4%. With digitalization, the innovation rate of the IT sector will become that of the TV sector. The distance-insensitivity of transmission enables global distribution. Nor will video media technology be as standardized as in the past, but a diversity of approaches will emerge that create options and contest each other. There will be different TV technologies and distinctive company approaches. In the Appendix, the architecture of the emerging next-generation video system is described.

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