Radio annual (1953)

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PRODUCTION NOW AT PEAK RTMA Expects $4,000,000,000 Total In 19S3 By JAMES D. SECREST. Executive Vice President Radio-Television Manufacturers Association TiHE radio-TV-electronics industry achieved a new production peak in 1952 and looks forward to bettering that record in 1953 in the manufacture of both civilian and military equipment. An estimated 6,096,279 TV sets and 9,711,236 radios were produced in 1952 with a combined value at the factory level of about $1.3 billion. Seven million of the radios were home sets and portables; the remainder were auto sets. Deliveries of electronic equipment and parts to the Armed Services in 1952 were valued at $2.5 billion, while sales of transmitting and communications equipment and replacement parts accounted for another $250 million or more. Thus the combined dollar volume achieved by the industry in 1952 exceeded $4 billion. At its World War II peak, the industry's military production rate was at the annual rate of $3.5 billion, and its highest peacetime volume was $1.9 billion in 1950. The 1952 record of industrial production was made possible by substantial expansions in plant facilities since the outbreak of the Korean War and the early adoption of conservation techniques which greatly reduced the industry's consumption of scarce metals in the manufacture of radio and TV sets. Termination of the "freeze" on new TV station construction in mid-1952 marked a turning point in the post-war history of commercial television. It made possible a nation-wide TV service and the opening of TV markets in virtually every city and town of the United States during the next few years. Resumption of the issuance of TV construction permits by the Federal Communications Commission had an immediate effect on the dormant transmitter industry and gave receiver manufacturers some sales stimulus during the second half of 1952 and a greater psychological "lift" in anticipating 1953 business. The growing popularity of a second TV receiver in the home also stimulated sales in established markets. With the renewal of TV station licensing, Ultra High Frequency (UHF) television got its first try-out and quickly proved its ability to provide service equal to that of the VHF stations in primary viewing areas and with less susceptibility to man-made interference. Set manufacturers began immediately to make available UHF converters, tuners, and other reception facilities and to redesign a portion of their receivers for dual TV reception of both VHF or UHF stations. Substantial progress was made by the industry in developing a system of color telecasting which can be received in monochrome on most present TV sets. The National Television System Committee, under the direction of Dr. W. R. G. Baker, Director of the RTMA Engineering Department, worked out the new color signals and prepared for field tests of the proposed system in 1953. Further tests of equipment and approval by the Federal Communications Commission will be necessary before this color television can become a commercial reality. Under pressure of fulfilling both military and civilian requirements, the electronics industry greatly expanded its plant facilities in 1952. Likewise, factory employment rose about 20 percent and, according to the U. S. Employment Service, exceeded 400,000 for the first time since World War II. Despite material shortages, the industry by means of high production and conservation held prices well below ceilings established by the Office of Price Stabilization. Screen sizes of television receivers continued to increase and other improvements were added. Consequently, values reached a new high. The outlook for the electronics industry in 1953 is very encouraging. While estimates vary, it seems likely that from 75 to 100 new TV stations will go on the air this year. Many of these will be in virgin markets. Others will make television more desirable in areas where TV programs have been limited to one or two stations. All will add to the potential TV audience. Manufacturers expect to produce and sell not less than 6,500,000 TV sets and more than 10 million radios in 1953. At the same time they will meet all military requirements. 47