The European Audiovisual Observatory and MEDIA Salles have teamed up to draft this unique analysis of digital cinema roll-out in Europe.The report provides the latest figures on digital screens and penetration rates across Europe and goes beyond them to explain the historical development of digitisation: It discusses the main reasons why roll-out did not happen for over a decade before finally entering the mainstream deployment phase in 2009 and analyses the role played by 3D, Third Party Facilitators and public funding schemes. Understanding the historical context, particularly the costs and benefits of digital cinema, is crucial for assessing future developments of the European film industry.Based on a comprehensive site-by-site listing of digital cinemas as of 2010 the report provides in-depth structural analysis with regard to concentration levels by exhibitors and cinemas of different sizes. It also feature a list of the top 50 digital exhibitors in Europe as well as estimated market shares for 3D technology, projector and server manufacturers on a country by country basis.A special chapter is dedicated to the specific challenges faced by the European independent sector. The report further contains a comprehensive list of dedicated public funding schemes supporting the digitisation process.The analysis will focus on the pan-European situation which brings to light the big picture aspects of digital cinema roll-out in Europe. The market characteristics of individual markets are depicted in country profiles providing a comprehensive set of key indicators for each of the 35 European markets covered in the report.