The world's gaze was trained on the US last week after it became the first country to switch off the old analogue television system in favour of digital. So how will Australians fare when we take our first solo steps with the new broadcast technology next year?

Although the impact of the US switchover is still being reviewed, sales of digital set-top box and televisions reportedly skyrocketed in the days leading up to it, and many viewers are thought to have lost their TV service because they were ill-informed or lacked the technical know-how to bridge the gap alone.

The Australian Digital Switchover Taskforce is banking on $140 million of extra funding and a national advertising campaign to smooth the way for our national switch-off, which will be phased in over the next four years. But the latest digital survey data indicates that over 50 per cent of households have not yet upgraded to digital, even though analogue television signals will cease in some regions in the first half of next year.

The Victorian region of Mildura - where seven out of 10 households have made the switch to digital - will be the first to lose its analogue signal. Broken Hill residents will follow in the second half of the year, and other regional centres over the next two years. Major cities will wait until 2013, allowing more time to iron out the reception issues associated with high density residential dwellings.

Although a recent survey suggested that 64 per cent of households believed they knew how to convert a TV to receive digital signals, Andy Townend, executive director of the Digital Switchover Taskforce, said there were still a large number of people who thought they needed to splash out on expensive equipment.

"One of biggest misconceptions is that people think they need to replace their TV. You don't need to buy a new television but if you do decide to change your television, then it is important ensure it is digital," he said.

Another murky area for many is digital television reception. Although you may need to upgrade an ageing aerial when you switch to digital, it is not necessary unless you are unable to get an adequate signal from your existing equipment.

"One big myth is that you need a digital aerial. An aerial is an aerial," said Mr Townend.

According to Choice magazine, consumers also need to be on their guard against retailers upselling equipment above and beyond their requirements.

"There is a lot of confusion about digital technology for many consumers. The early adopters are already there but a lot of sections of the community are very confused about what they need," said Choice spokeswoman Elise Davidson.

"A lot of people that are not fluent in electronics get totally overwhelmed. We are running a campaign to try to help people distinguish between different types of equipment."

To clear up some of the misinformation in the community, the Digital Switchover Taskforce is planning to supplement the information on its website with two-minute instructional videos.

It has also established a national helpline and appointed community liaison officers to assist vulnerable groups such as the elderly. Financial and technical support will also be offered directly to disadvantaged groups meeting certain criteria.

So what are your options for going digital?

Set top box
This is the cheapest method of converting to digital. A digital set top box will cost from about $40 and enables any traditional analogue TV to pick up digital signals. (Owners of much older televisions without sockets for a set top box cable may need to buy an additional component called an RF modulator to connect them).

Set top boxes come in a range of models. The most basic convert the signal to a standard definition picture while high definition (HD) units have been developed for LCD and plasma televisions with inbuilt high-definition tuners. Some set top boxes also include electronic program guides.

Video/DVD players that do not have an inbuilt digital tuner will require their own separate set top box if the user wants to record one channel while watching another - even if there is already a digital tuner or set top box for the television. (For simple recording of the channel you are watching, an additional set top box would not be necessary.)

Personal video recorder
A PVR with a digital tuner can also convert an analogue television to digital. These include electronic program guides and allow viewers to pause, replay and record live TV.

Digital TV
If you're ready to splash out on a new digital television then there is a huge range of devices on the market, with the cheapest costing around $350. You can buy either a standard definition television which is broadcast at the same resolution as analogue, or high-definition television, depending on your budget.

High definition officially broadcasts at 576p, 720p, 1080i and 1080p - although some countries consider 576p standard definition. (A high definition "tick" logo introduced by The Australian Digital Suppliers Industry Forum can only be added to televisions with 720 active vertical scanning lines (720p) or better.)

To be fully compatible with a Blu-ray high-definition DVD player, you need a television with 1080p high definition.

TV Aerials
The benefits of switching to digital include a wider range of TV channels and vastly improved images and sound, with ghosting and snowy pictures becoming a thing of the past. It can also deliver better reception in areas where analogue performance is patchy. But digital broadcast signals are not without their issues. Some older aerials will not pick up a strong enough signal, and with digital technology a poor signal can cause heavy onscreen pixelation or no picture at all.

One consumer reported to Choice that every time a bus went past their house they lost their digital signal and so ended up jumping back and forth between analogue and digital.

Living in a multi-level buildings with a shared antenna can also spell trouble for digital broadcasting. If the building is unable to pick up an adequate digital signal, then residents may be left without television altogether when the analogue network is switched off. Electronic devices can also interfere with digital signals, which may compound reception problems in high-density areas.

The Digital Switchover Taskforce says it is working with the building sector to ensure appropriate action is taken prior to the move to digital, especially for city-dwellers. It will offer technical advice to consumers with reception problems via its helpline on 1800 201 013.