• by David Goetzl  @dgoetzl, January 8, 2009

Several weeks after Nielsen reported that some 7.8 million homes are not prepared for February's digital transition and just days after the government said it has run out of coupons to help people get ready, the Obama administration is suggesting that the Feb. 17 switch date be postponed.

The date when all analog broadcasting would be shut off has been postponed multiple times, but looked as if it would happen next month--until the co-chair of the Obama transition team, John Podesta, said Thursday that the country is not prepared. He wrote a letter asking Congress to postpone the switchover. The Consumers Union supports the move, and powerful House Democrat Ed Markey has indicated that he may, as well. Others in Congress oppose a delay.

Earlier this week, the government said its fund to provide $40 coupons to help unprepared people purchase converter boxes is tapped out, although more coupons could become available as the ones in circulation expire.

In December, Nielsen said that 7.8 million homes--6.8% of U.S. TV households--are unprepared for the switch, meaning that they would have no TV reception as of Feb. 17. The unprepared figure is higher among Hispanic homes, where it stood at 11.5%.

Those figures are down from May 2008, when they were at 9.8% and 14.4%, respectively.

Networks and stations are concerned that a switchover that would leave millions without viewing ability could hurt ratings. Viewing levels could be lowered not only by lack of reception in homes, but also by TVs in offices and other secondary locations that would not be ready, despite the "main set" conversion. Nielsen figures show that 10% of homes are partially unready.