Digital Future Just A Shout Away

Michael Hedges April 3, 2015 Follow on Twitter

Chasing the digital dividend comes at no small expense. Costs always seem to rise with each new exciting advance in technology. For years, decades even, the chorus repeats “the future is digital,” arrival expected any day now. As with any investment there’s anxiety. And the best cure for anxiety, say the doctors, is more money.

The UK government, the BBC and commercial multiplex owners are making a financial contribution to transmitter and tower provider Arqiva for 182 new transmitters and towers across 50 designated local areas. All of this good news was announced by Minister of Culture and the Digital Economy Ed Vaizey at a London convention of automobile makers and sellers (Society of Motor Manufacturers and Traders - SMMI), reported tech portal a516digital.com (March 26). More transmitters and towers means more coverage, one criteria for the prospect, arguably diminishing, of imminent FM shut-off in the UK. Public broadcaster BBC is also increasing its DAB multiplex towers and transmitters and a second national commercial DAB multiplex license has been awarded.

Anxiety from an even deeper FM shut-off horizon plagues the UK government, the BBC and commercial broadcasters, all generous contributors to DAB radio, all watching (anxiously) at streaming audio fast becoming the go-to platform. Automobile dealers are anxious about selling cars, firstly, as well as offering attractive entertainment packages, internet connectivity and, inevitably, the iCar. Arqiva has no anxiety since UK radio and TV broadcasters rent its towers and transmitters as do 4G mobile operators.

The new DAB towers and transmitters are to expand the digital radio offering to local and regional centers along major highways. UK regulator OFCOM has embraced the micro-multiplex approach created by the software solution provider opendigitalradio.org developed in Switzerland. Most of the radio channels in this mix are already available on the FM platform; BBC local stations, national commercial channels with local program and advertising windows, less-widely distributed stations.

The recently announced Sound Digital multiplex, the second national DAB system for commercial broadcasters, will feature a relaunched Virgin Radio, national channel TalkSport with two brand extensions, a Magic brand extension, Kissstory, Jazz FM and others. The only wholly new channel is British Muslim Radio. Several already operate on the existing national DAB multiplex and will vacate to allow different channels there. Sound Digital is owned by Bauer Media, UTV Media and the aforementioned Arqiva.

National DAB multiplexes have been available for several years to broadcasters, predominantly in the UK, Scandinavia, the Netherlands, Switzerland, Germany, Austria and a few others in and outside Europe. Some have moved on to the more up-to-date and not downwardly compatible DAB+ technology. Where resistance to DAB has been greatest - France, Spain, Eastern Europe - online streaming has taken over not in a small way attributed to abundant smartphone usage.

For the early DAB adopters a coverage threshold and sometimes an audience threshold must be met to trigger the all-important FM shut-off. National coverage is insufficient for governments and regulators to order the switch. Most DAB channels are produced by public broadcasters and the biggest private commercial companies. All politics being local, government ministers are wary of upsetting FM-only listeners and their home-town broadcasters.

Broadcasters in the Netherlands - public and private - switched-over to the DAB+ platform last year and are in the process of rolling out regional multiplexes. FM remains the overwhelmingly dominant radio platform. A Telecom Authority report, quoted by telecompaper.com (March 27), indicated 3% in the Netherlands “knew of or listened to” DAB+ channels.

The great digital dividend promised many years ago was lowering the entry barrier for new broadcasters and, perhaps, new ideas. FM transmission costs kept all but legacy broadcasters off the airwaves. The DAB platforms are equally expensive though newer software-based solutions seem more cost effective.

Prospective new broadcasters in Denmark are complaining about the expense of it all. “If you want to broadcast a nationwide DAB channel you must cough up over DKR 3 million,” said DJ Le Gammeltoft in a commentary published in Politiken (March 24). “It is a serious obstacle.” Le Gammeltoft wanted to move his web-radio to a DAB multiplex but gave up. “Without the support of the State or a huge commercial sales machine how would one ever cope with this kind of expense?”

A trial DAB+ multiplex for Vienna essentially collapsed in late March as Austrian public broadcaster ORF and major commercial owner Kronehit backed out, reported horizon.at (March 30). Regulator KommAustria has authorized DAB tests in the past, none generating much interest. The Vienna DAB+ was scheduled to go live in mid-April.

“I’ve never been a fan of DAB+,” said Kronehit CEO Ernst Swoboda, “because I believe it will only be a major distribution channel in the distant future. We participated so as not to block development.” Austrian private sector broadcasters have been wary of digital platforms raising both new channels from ORF and the inevitable calls for shutting down FM broadcasting.

ORF apparently lost interest in the Vienna DAB+ multiplex after KommAustria refused to authorize a digital-only channel. “The trial will start as planned,” said Digital Radio Austria managing director Gernot Fischer. “All have invested quite a lot of money.”

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