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 A Discussion Paper on Digital Radio Broadcasting in Australia

Service providers

	Transition and conversion
	New service providers

The UK and Canada have both provided for automatic or near automatic conversion of existing radio broadcasting services to DRB.

In the UK, almost all radio broadcasters have been given access to a multiplex, with the multiplex and the content provider to be licensed separately. The BBC has been allocated one multiplex ensemble, and another has been earmarked for Independent National Radio. There are five remaining ensembles to carry Independent Local and Regional Radio.

Canada is to convert all existing AM and FM broadcasters, using a combination of terrestrial and satellite coverage. A DRB frequency allotment plan, announced in late June, provides one high quality stereophonic program, plus allowance for ancillary data for each AM and FM radio service (including current unused allotments). Up to five stations with similar coverage areas are to be grouped together to share the same transmitter. Transitional three-year licences are being issued while a permanent licensing system is developed. Existing broadcasters will be granted licences automatically, while applications for new services will be considered on a case by case basis. The arrangements for multiplexes have yet to be finalised.

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Transition and conversion
The existing broadcasters consider conversion to DRB technology should be a structured process to avoid disadvantaging the public while the receiver population grows. They argue for a transition to digital broadcasting, where programs are largely simulcast (broadcast simultaneously on DRB and AM/FM), but there are some opportunities for new programming.

Simulcasting allows stations to inform listeners of the change to DRB technology so that they can purchase new receivers if they wish to continue listening to the station.

There are two issues here if simulcasting were to be adopted:

• whether an appropriate simulcast period should be set to allow sufficient time for broadcasters and listeners to make the change; and
• whether there should be flexibility to allow broadcasters to explore new programs concepts.

The existing broadcasters consider that a 10 to 20 year period of simulcasting would be sufficient for listeners to make the changeover to DRB. The UK approach is to continue analog services until there is a 50% penetration of digital receivers, or for five years after the issuing of the first multiplex licence, whichever is sooner.

Broadcasters also favour a flexible approach to allow experimentation with new broadcasting formats and services. They believe that a requirement to simply simulcast on both systems until the analog services ceased would stifle innovation, offer no incentive to the rapid adoption of DRB by consumers, and waste an opportunity for innovation in radio broadcasting. Broadcasters consider that it would be crucial to the success of DRB for them to have the flexibility to find an appropriate mix of simulcasting and new programming services. They, therefore, oppose mandating simulcasting through legislation or regulation.

The UK has decided that 80% of the analog programming will be available on digital services. In Canada, there is to be only two hours of programming per day which are not simulcast.

An alternative approach would be to set an end date for all broadcasters to convert, but allow individual broadcasters to convert in accordance with their own circumstances.

A further issue is whether analog services should be retained. There may still be demand for analog radio broadcasting services, even after the majority of listeners have converted to digital reception. Any residual demand would need to be compared to demand for alternative non-broadcasting uses of the AM and FM radio bands.

There may also be a need for particular attention to be given to the transition of non-commercial broadcasting services from analog to digital technology, such as reserving spectrum access for non-commercial broadcasters.

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New service providers
It is likely that new participants, as well as existing broadcasters, will be interested in providing digital radio services. DRB could be introduced by way of an open licence process so that all comers, both existing broadcasters and new entrants, could compete for licences.

Many existing broadcasters argue that, as DRB is an enhanced rather than a new technology, they are best positioned to provide digital services in the initial phases of its introduction They believe that listeners would expect their existing analog services to be available on DRB. Hence, they propose an initial development phase for DRB which would be predominantly limited to current broadcasters, although there may be an opportunity for new entrants to provide DRB services, subject to the availability of spectrum.

Comment is invited on the role of existing broadcasters in the introduction of DRB, in particular:

• whether access to DRB should be limited to existing broadcasters during a transitional phase, with aspirant broadcasters assessed on a case-by-case basis in the longer term;
• whether there should be simulcasting and, if so, appropriate approaches to any simulcasting requirements;
• the arrangements, if any, that may be required for transition of non-commercial services to digital technology; and
• the arrangements, if any, that may be required in ending analog services.

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• Document ID: 9373 |
• Last modified: 6 February 2008, 2:25pm