DAB digital radio a platform for Europe
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1 DAB digital radio a platform for Europe Patrick Hannon, President, WorldDAB Represented by: Jacqueline Bierhorst, member Steering Board World DAB May, 2016
2 Contents 1. International progress 2. Drivers of growth 3. Next steps 1
3 FM spectrum is full No new services No innovation Long term decline 2
4 A digital radio wave is moving across Europe Norway Sweden Ireland UK France NL Bel Denmark Switzerland Italy Poland Germany Czech Slovakia Austria Hungary Slovenia Portugal Spain 3
5 Four core markets: UK, Norway, Denmark and Switzerland Established markets Norway Sweden DK Ireland UK France Bel NL Poland Germany Czech Slovakia Austria CH Hungary Slovenia Italy Portugal Spain 4
6 Followed by Germany (2011), Netherlands (2013), Italy (2014) Norway DK Sweden Second wave Ireland UK France NL Bel Poland Germany Czech Slovakia Austria CH Hungary Slovenia Italy Portugal Spain 5
7 Poland, France and Belgium on the move Norway Sweden DK Ireland NL UK Bel France Poland Germany Czech Slovakia Austria CH Hungary Slovenia Italy On the move Portugal Spain 6
8 Trials on air / planned in Austria, Czech, Slovakia and Slovenia Norway Sweden DK Ireland NL UK Bel France Poland Germany Czech Slovakia Austria CH Hungary Slovenia Italy Trials Portugal Spain 7
9 First countries moving to Digital Switchover (DSO) Digital Switchover Norway Sweden DK Norway: 2017 Ireland NL UK Bel France Poland Germany Czech Slovakia Austria CH Hungary Slovenia Italy - DSO Jan-Dec 17 Switzerland: Portugal Spain 8
10 Norway: digital switchover in 2017 DAB coverage: 99.5% (better than FM) DSO implementation: Jan - Dec all national and larger local FM services will be switched off Source: Digitalradio Norge, Photo Norkring 9
11 Switzerland: digital switchover in DAB+ coverage: 99% DigiMig* creating DSO plan - pre-2020 (consumer marketing) - DSO implementation ( ) * Industry group of broadcasters, regulators and automotive industry 10
12 United Kingdom: future of radio is digital 40 national DAB services (8 on FM) -2 nd commercial multiplex launched Mar 16 - major promotional support Goal: Digital Switchover 1 (which would provide significant boost to sales) A decision will follow achievement of - DAB coverage same as FM (97% today) - 50% of listening is digital (42% today) Expect to achieve criteria by 2018 (1) UK Minister of Culture, Feb
13 Germany: long term commitment to DAB+ Launched DAB+ 2011; coverage today: 95% BMVI strong supporter of DAB+ - established industry steering board - enhanced traffic information services Nov 14: ARD committed to DAB+ April 16: KEF (funding body) announces new four year plan for ARD ( ) 12
14 Italy: coverage 70% - rising to 90% in 2017 Coverage map Major focus on automotive Two national commercial muxes - 70% population coverage - 4,500 km of roads Coverage rising to 90% by end
15 France: three cities in 2014; national plan published Dec 2015 CSA roll-out plan Paris, Nice and Marseille launched 2014 National timetable published Dec : Lille, Lyon, Nantes, Rouen, Strasbourg and Toulouse 14
16 Netherlands launched DAB+ Sept national services - 14 digital-only All regional services on DAB+ >60 channels in total Coverage: 95% Joint marketing activity - public / private broadcasters & Ministry of Economic Affairs 15
17 Contents 1. International progress 2. Drivers of growth 3. Next steps 16
18 DAB+ provides benefits to all stakeholders Benefits of DAB+ Listeners Broadcasters Society Clearer sound Greater choice New data services Innovation Brand extensions Cost-efficiencies Greener distribution Free to air / universal Open standard Emergency alerts 17
19 DAB digital radio offers the perfect sound 18
20 DAB / DAB+ offers greater choice National radio in Norway 24 national DAB / DAB+ stations 5 national FM stations Source: Digital Radio Norge 19
21 DAB+ is extremely cost effective Annual cost to broadcasters of transmission per service 1, $k FM DAB+ Up to 18 services on a single DAB+ multiplex % % -89% Owned site Regional site Metro site Source: GatesAir. Note: (1) Opex costs; on DAB+, assumes 18 services on multiplex; for further information, see: to_fm_and_drm_final.pdf?
22 For broadcasters: opportunity to extend brand portfolios Analogue and digital Digital-only services 21
23 DAB / DAB+ and connectivity should work together DAB Digital Radio Free to air Interactive IP Universal Reliable in emergency Personalised ecall and M2M Audio and traffic information services 22
24 DAB is mass market proposition over 40 million receivers sold Global DAB receiver sales (domestic & auto), cumulative, million In Germany, 485 models available today Source: Industry bodies, WorldDAB analysis (1) 23
25 In leading markets, digital radio is standard in many cars % of new cars with DAB+ digital radio Technology- tried and tested 80% 65% 63% UK Switzerland Norway Source: Digitalradio Norge, SMMT / CAP, MCDT 24
26 Newer markets - at earlier stage of development % of new cars with DAB+ digital radio Germany expected to grow significantly from % 65% 63% 13% UK Switzerland Norway Germany Source: Digitalradio Norge, SMMT / CAP, MCDT, VDA 25
27 Contents 1. International progress 2. Drivers of growth 3. Next steps 26
28 DAB established as European standard DAB / DAB+ population coverage Seven countries: 60% of new car sales in Europe 99% 99% 98% 97% 95% 95% 70% Norway Switzerland Den mark UK NL Ger many Italy Source: WorldDAB 27
29 Key to success is collaboration Policy & regulation Consumer Content Coverage Cars Consumers devices Industry collaboration 28
30 International collaboration growing in importance Norway UK Switzerland Germany Share best practice Share marketing collateral Netherlands Denmark Australia Especially for international audiences, e.g. car and handset manufacturers France Poland Italy Belgium 29
31 Markets are sharing marketing concepts DU FAR MER I EN DIGITAL RADIO DIE ZUKUNFT DES RADIOS 30
32 Ministers: working together to accelerate DAB in Europe Ed Vaizey, UK Minister of State for Culture and the Digital Economy, Dorothee Bär, German Parliamentary State Secretary at the Federal Ministry of Transport and Digital Infrastructure (BMVI) Dutch Government strongly supportive 31
33 Conclusions 1 In Europe, DAB backbone is established 2 Digital Switchover is a game changer 3 Priority is to drive growth in established markets and open up new territories 32
34 Thank you For further information, please contact: 33
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