Memorandum submitted by Digital UK
1. INTRODUCTION
Digital UK (previously known as SwitchCo) welcomes
the interest of the Committee in the digital switchover process
and we hope this written submission will assist the Committee
in its deliberations.
The Government has determined the policy of
digital switchover and Digital UK has been charged with coordinating
the delivery of digital switchover within the agreed timeframe.
This submission sets out why we are confident
that switchover policy is realistic and achievable. Digital television
has clear long-term benefits to the viewing public and we are
committed to leading an effective transition to universal access
to digital television.
On behalf of the public service broadcasters
(PSBs) and commercial digital terrestrial multiplex operators,
our shareholders, we believe that the preparation and planning
behind digital switchover to be robust and the timetable to be
realistic. The continued growth of digital television penetration
(63% of all households in June 2005; an 18% growth in digital
households year-on-year)[12]
and the findings of market testing and research confirm the strong
viewer demand for multichannel television and digital services.
The key task for Digital UK working with Government, consumer
groups and local community networks is to ensure that all members
of the public are fully aware and understand digital switchover
while those who need help and assistance know how to access it.
2. WHY DIGITAL
SWITCHOVER?
Digital UK, the organisation charged with implementing
switchover policy, is building on many years of work assessing
the benefits and feasibility of switchover. In 1999 Chris Smith,
the then Secretary of State for Culture, Media and Sport, first
raised the possibility of switchover. The Digital Television Action
Plan, a joint Government and industry project, was then established
in late 2001 to begin preparations for switchover. It spent three
years working with Ofcom and industry to develop spectrum, technical,
equipment and market information plans. This background planning
recognised the benefits of switchover and deemed it technically
possible, and enabled the Government to commit to digital switchover
in September 2003. The Digital Television Action Plan then completed
its work, and reported to Ministers in late 2004 (see Appendix
B for further detail). Digital UK was formed in early 2005 and
is carrying forward the earlier preparatory work.
Government and the broadcasting industry want
all UK households to benefit from digital television and the access
to additional channels and services it offers. Today 27% of households
cannot receive the full range of digital terrestrial television
(DTT) services and 20% of households cannot receive five through
the current analogue signal. There is insufficient spectrum capacity
to support the expansion of DTT to all households while maintaining
the existing analogue signal. Ofcom has predicted that by switching
off analogue it will be possible to extend DTT to substantially
replicate current analogue coverage (estimated by Ofcom to be
98.5% of homes) and to allow the release of 14 channels of spectrum
to support additional new digital services to the public.
One of the principal benefits of digital television
is that in addition to the existing public service channels (BBC
One, BBC Two, ITV1, Channel 4, five, S4C in Wales, TeleG in Scotland,
and Teletext) viewers will receive around 30 channels on DTT for
a one-off cost and with no subscription, including the digital
channels of the public service broadcasters (BBC Three, BBC Four,
BBC News 24, BBC Parliament, CBBC, CBeebies, BBCi, ITV2, ITV3,
ITV4, ITV News, E4, E4+1, More4; S4C Digidol and S4C2 in Wales;
and Teletext Cars and Teletext Holidays). In addition people will
be able to receive further commercial television channels and
up to 20 national and regional digital radio stations via their
television. They will also have the option to subscribe for additional
subscription DTT channels.
The 10.5 million households which have chosen
to receive digital television through satellite, cable or DSL
broadband can receive up to 400 channels depending on the subscription
package they choose (there is also a free to view option on satellite).
The channels available include premium sports, movies, children's
and entertainment channels.
Digital television also offers on screen TV
guides, true widescreen and the use of "red button"
interactive services which can allow viewers, in the case of sports
coverage, to choose which match or event and which player or angle
they want to watch.
Digital TV also enables advanced access services
such as audio description, subtitles and signing which enhance
the enjoyment of television for those with visual or hearing impairment.
It also provides a potential platform for access to local community
content and services.
The completion of digital switchover, as previously
indicated, will release spectrum capacity to enable new digital
services. The process of allocation of this capacity will be managed
by Ofcom and could enable the delivery of additional DTT channels
and new digital services such as high definition television (HDTV)
or wireless mobile television.
3. THE ROLE
OF DIGITAL
UK
3.1 Ownership
Digital UK has been formed at the request of
Government by the public service broadcasters (PSBs) BBC, ITV,
Channel 4, five, S4C and Teletext and the commercial DTT multiplex
operators Crown Castle UK and SDN, all of whom have nominated
Directors on its management board and provide funding. Also on
the board are two directors representing the interests of the
supply chain (television equipment manufacturers, retailers and
aerial manufacturers and installers).
Digital UK is working closely with the Department
for Culture, Media and Sport (DCMS), the Department of Trade and
Industry (DTI) and Ofcom as well as with satellite, cable, DSL
broadband and other platform providers and with a range of consumer
groups. We are an impartial, not-for-profit organisation and our
messages will be platform neutral and designed to help the public
make timely and informed choices as they plan and prepare for
switchover on a phased, region-by-region basis.
3.2 Objectives
Digital UK's goals are:
— to implement the Government policy
of switchover within the agreed 2008-12 timetable;
— to make the public's experience of
switchover as positive and as simple as possible by communicating
early, clearly and effectively to emphasise the benefits of digital
TV and switchover, and clarify their options for going digital;
— to lead the switchover process from
the front: fostering a positive atmosphere for switchover, being
the hub of switchover activity for the industry, and the trusted
source of information on switchover to all;
— to be independent and impartial:
supporting all digital TV platforms and encouraging a diversity
of digital TV options and services;
— to enable the switching off of the
analogue signal and the release of fourteen channels of spectrum.
3.3 Organisation
We have organised our resources around our three
key operating tasks:
— to co-ordinate the technical roll
out of a high power digital terrestrial television network across
the UK, region by region, to a timetable set by Government (2008
to 2012);
— to communicate with the public about
digital switchover to ensure everyone knows what is happening,
what they need to do and when. Working closely with local authorities,
consumer groups and others to put in place or ensure access to
practical help and assistance for those who will need it; and
— to liaise with stakeholders including
TV equipment manufacturers, retailers, installers, digital platform
operators, local authorities, consumer groups and many other interested
stakeholders to ensure understanding of and support for the switchover
programme.
Digital UK is a relatively small organisation,
acting as a central hub for switchover activity. It is led by
Ford Ennals, the Chief Executive Officer, and Barry Cox, the Chairman;
and is supported by the Director of Broadcast Infrastructure,
the Director of Communications, the Director of Operations and
the Director of Policy and Strategy. This ensures that direct
responsibility for each of the operating tasks lies with a Director.
Digital UK currently has 13 full-time employees, expected to rise
to 17 before the end of 2005, and to 20 to 25 within the next
2 years.
Digital UK's operational funding is provided
by its shareholders, the PSBs and commercial DTT multiplex operators.
Our viewer communication and support programme
will be funded by the BBC.
4. PUBLIC COMMUNICATION
AND SUPPORT
4.1 Public impact
The digital switchover programme will have an
impact on nearly all households in the UK. Viewers will continue
to be able to use their existing television, but will require
a digital receiver for all televisions they want to continue to
use for television reception. Those sets used solely for playing
video games or viewing pre-recorded DVDs and videos will not require
a digital receiver. Ofcom estimate the average UK household has
two active televisions.[13]
Currently there are four main options for receiving
digital television:
— Through a DTT digital box plugged
into an existing TV or an integrated digital television which
has a digital tuner built in—these will enable the reception
of digital TV through an aerial with no recurring subscription.
Additional channels can be received with a subscription.
— A satellite dish and digital box
which has both free and subscription options. Both Sky's free
satellite offer and the recently announced BBC/ITV "FreeSat"
have a one off equipment cost and no recurring subscription.
— Digital cable on a subscription basis
or bundled into the cost of phone or internet broadband access.
— Subscription to a service which delivers
digital television through a telephone line (again often bundled
with other services), such as the Homechoice service in London.
The availability of the different types of digital
television will depend on geography. Costs will vary according
to the individual's choice of free TV or pay TV and the number
and type of premium channels or services chosen. The lowest cost
option to receive digital television is likely to be via DTT,
which is free to view and, in the majority of cases, requires
only a one-off equipment cost. The costs of the digital box have
reduced significantly since the launch of Freeview and the lowest
cost model nationally available is £30. Ofcom have forecast
that the price of digital boxes and iDTVs (integrated digital
televisions which negate the need for a separate digital box)
will continue to decrease during the course of the switchover
programme.
The announcement of the digital switchover timetable
means that the public will have three to seven years to plan and
prepare. Digital UK will be the primary source of information
for the public, enabling them to make careful and educated choices
about their digital options. Given this, the number of affordable
digital options now available, and the expectation that over time
the costs of digital receiving equipment are likely to fall further,
we do not expect affordability to be a significant issue for most
people.
A minority of households may require an adjustment
to or a replacement of their aerial or lead connection either
due to the condition of the existing installation or to enable
them to receive all DTT services. Ofcom have estimated this to
be 10%[14]
of households at switchover; with most cases being caused by old
faulty aerials or connecting leads. A new rooftop aerial installation
currently typically costs £125, or a set top aerial £20.[15]
Households adopting satellite and/or cable or DSL broadband solutions
for all their televisions will not need to upgrade or replace
aerials. The Government and Digital UK are exploring options to
help the viewer understand whether their aerial installation will
require upgrading to receive a reliable DTT signal.
The Ferryside trial provided a great deal of
useful information about the sort of help that viewers may need
with the switchover process. It confirmed that while virtually
all (99%) of households were positive about the benefits of digital
television, a proportion (19%) required help from the trial team
to connect and use their digital TV equipment[16].
These tended to be households with older people living on their
own, many of whom have been taken into account by the Government
in shaping their proposals for targeted assistance for vulnerable
groups.
4.2 Public communication and support
Working with Government, Ofcom and stakeholders
we agreed the framework of a public communications and support
programme that aims to ensure that everyone is fully aware of
and understands digital switchover and what it means for them;
and that those who need help and assistance know how to obtain
it.
The key elements of this programme are:
(i) Government targeted help scheme—to
provide help and assistance and, where appropriate, financial
support to those households with people over 75 or with severe
disabilities (defined as those people eligible for either Disability
Living Allowance or Attendance Allowance; with additional support
also available to the registered blind). This scheme will cover
a significant number of households and provide subsidised assistance
to convert and install one television set. This help will be provided
free for the poorest eligible households, those on Income Support,
Job Seekers' Allowance or Pension Credit; but a modest fee to
will be charged for others.
Full details of this programme will be provided
by the Government on completion of the Bolton Digital TV Trial
and the BBC Charter Review process.
(ii) Digital UK regional coordination—of
local networks of council officials and groups representing older
people, voluntary organisations and other bodies who have direct
contact with those groups we expect to need most assistance"
older people, those with a disability and the socially isolated.
(iii) Digital UK call centre—we
have established two helplines to provide viewers with the facts
and support they need to assist them in the conversion to digital.
The first is on 08456 50 50 50 and is the general helpline for
all members of the public. The second is on 0800 5 19 20 21 and
has been set up specifically for those groups eligible for the
Government's targeted assistance scheme. These helplines have
both recorded and live agent options.
(iv) Digital UK website—www.digitaluk.co.uk
answers basic questions on why switchover is happening, when it
is happening in their area, and what their options are for going
digital. It includes a postcode checker which indicates the digital
platforms currently available where they live. In time we will
develop this to provide information on whether they are expected
to be within the expanded DTT coverage after switchover, and if
so which channels they might receive.
(v) Digital UK public information campaign—will
communicate on a regional basis starting 3 years before digital
switchover. All households will receive two mailings containing
simple guides to digital switchover and we will also be communicating
via BBC and Commercial TV, Teletext, press ads, radio and posters.
Leaflets will be provided to a range of sources including libraries,
Citizens Advice Bureaux, consumer groups and many retail outlets.
The first leaflets will be distributed in October 2005.
(vi) Digital UK management of the "digital
tick" logo—developed by the Government (DTI)—the
digital tick is a certification mark that will signify digital
switchover-compatible equipment and services, and trusted sources
of information on switchover. Around 2,300 retail stores have
now registered to use the logo at point of sale, including large
national chains such as Dixons/Currys and Comet, as well as many
local independent electrical retailers. It will be used before
the end of the year in television spots; and be featured in all
Digital UK communication.
(vii) Digital UK retail coordination—of
retailer and manufacturer marketing and viewer education programmes.
We are providing briefing materials for retail staff and information
materials for all customers. The development of the digital tick
logo is a part of that activity allowing viewers to see at a glance
if equipment is digital compliant.
(viii) Public protection—we
are working closely with Government, industry, consumer groups
and other organisations including Trading Standards to ensure
that the public interest is protected. We have established a monthly
Consumer Group Liaison Meeting attended by representatives of
organisations such as the National Consumer Council, RNIB, RNID
and Help the Aged. One area in development is a digital accreditation
programme for aerial installers, driven by the Government (DTI)
and the Confederation of Aerial Industries (CAI). This programme
will certify installers with appropriate expertise and who the
public can trust. Accredited installers will be able to use the
digital tick logo and will be promoted on our website and via
retailers.
5. BUILDING THE
DIGITAL BROADCAST
INFRASTRUCTURE
5.1 Timetable
The order and timing of switchover in the ITV
regions was announced by Government (following advice from Digital
UK and Ofcom) on 15 September 2005, as follows:
Starting in 2008: Border
Starting in 2009: West Country, Wales, Granada
Starting in 2010: West, Grampian, Scottish
Starting in 2011: Central, Yorkshire, Anglia
Starting in 2012: Meridian, London, Tyne Tees,
Ulster
Each ITV region contains a different number
of main transmitters so the period of switchover in each region
will vary, but it is expected that on average each region will
take about six months to convert. A number of complex and interacting
factors determined the timings and the order. These included possible
interference within the UK to analogue and existing digital services
both to and from overseas broadcasters and other services using
the spectrum. During the switchover process in any one region
it is necessary to protect broadcasts from neighbouring regions
and all the frequencies by which relays are fed. Once a region
was chosen this would, in turn, often have been a decisive factor
in determining the next region in the sequence. Around 6,000 interdependencies
have been analysed in reaching the final frequency plan and timetable.
This timetable has been developed after extensive
analysis and feasibility studies conducted by spectrum planners
working for the BBC and Ofcom, and the transmission network operators
Arqiva and Crown Castle UK; and in consultation with all the relevant
parties including Government, broadcasters and others. Reaching
this point has taken several years, with early work beginning
soon after Chris Smith's 1999 statement on digital television.
As such, Government, the transmission companies
and the broadcasters have sought to develop the timetable to ensure
that it is robust and achievable. Indeed, it is only after such
detailed planning that the transmission network companies are
now negotiating contracts with the broadcasters, which will commit
them to the 2008 to 2012 timeframe. The framework terms of these
contracts between the transmission network companies and the existing
and prospective post-2012 broadcasters are likely to be in place
by the beginning of 2006, and the transmission companies will
then initiate the technical delivery of switchover by beginning
to order the necessary components from their suppliers.
5.2 Programme of work
The timescale of the switchover programme is
driven by the complexity and scale of the re-engineering programme.
What is broadly a four-year programme for the conversion of the
50 main transmitters[17]
means that on average one main transmitter per month will be switched
over.
The conversion of the transmitter network to
digital involves work both at the 80 sites that currently transmit
DTT as well as the remainder of the 1,154 sites that do not. At
each site analogue equipment must be taken out and decommissioned
and new digital equipment installed. During the changeover, temporary
solutions will be used to maintain existing services. The new
digital equipment includes both new processing hardware in the
buildings at the base of the mast ("groundworks"), and
new aerials at the top of the mast ("airworks"). Some
sites require structural engineering to the masts themselves.
There are restrictions on working on masts during
inclement weather, which means that airworks can only sensibly
be planned between April and October. In addition, during much
of the work, analogue and existing digital television and other
services including radio and emergency services have to be maintained
and the switchover programme has to take into account the health
and safety requirements of working amongst transmitting frequencies.
5.3 Coverage
At switchover, services broadcast on the PSB
DTT multiplexes are planned to substantially replicate today's
estimated analogue coverage (see Annex C). UK households with
reliable analogue reception (estimated by Ofcom to be 98.5% of
households) should then be able to receive digital versions of
those channels (BBC One, BBC Two, ITV1, Channel 4, Five, S4C Digidol
in Wales, TeleG in Scotland, and Teletext) free-to-air over DTT
through their aerial. For those households outside of the DTT
coverage area, there are likely to be a number of options to provide
access to digital television, including satellite (free and pay),
cable and DSL broadband, depending on geography.
Final coverage details will be confirmed after
the conclusion of Ofcom's negotiations on behalf of the UK in
the Regional Radiocommunications Conference (RRC) in June 2006
and subsequent bilateral discussions with neighbouring states.
6. THE DIGITAL
SWITCHOVER PROGRAMME
Digital UK, Government and Ofcom have jointly
developed a structured "Digital Switchover Programme"
in order to enable the three parties to work together effectively
in the absence of a formal legal or regulatory framework.
The structure of the programme centres on the
nine functional, cross-organisational workstreams co-ordinated
by the Digital UK "Programme Office". Further detail
is given in Annex E.
These workstreams involve representatives from:
— The DTT multiplex operators.
— The consumer digital equipment industry
(digital equipment manufacturers, component suppliers, retailers,
aerial manufacturers and installers).
— The digital television platforms
(satellite, cable, terrestrial and DSL).
— Consumer organisations.
— Other Government departments, agencies
and bodies who will play a role in implementing digital switchover
in the public sector (eg in social housing, on public estates,
and where television services are provided in support of public
services such as schools, hospitals and prisons).
— All those who own or maintain television
systems, including social/private landlords and hoteliers.
Our success in encouraging early and voluntary
take-up of digital television will be monitored by our consumer
tracking metrics. We are working with Ofcom to develop a new consumer
tracking study which will measure awareness, understanding, attitudes,
intentions, action and satisfaction with digital switchover amongst
a sample group of consumers on a regular basis. We intend to share
this tracking data with all programme stakeholders.
We will also conduct supplementary qualitative
and quantitative research to enhance our understanding of the
needs of viewers and enable us to better serve them throughout
the switchover process.
12 Source: Ofcom. Back
13
Source: Ofcom/Scientific Generics report "Cost and power
consumption implications of digital switchover". Back
14
Source: Ofcom/Scientific Generics report "Cost and power
consumption implications of digital switchover". Back
15
Source: Ofcom/Scientific Generics report "Cost and power
consumption implications of digital switchover". Back
16
Source: The "Digital Switchover Technical Trial Report"
July 2005. Back
17
The switchover of the transmitter network entails re-engineering
of the 1,154 analogue sites across the UK. Fifty of these sites
are designated as "main sites" (which receive the television
signals direct through line-fed fibre networks) and the others
as "relays" as they take signals off-air from the main
sites and retransmit to smaller areas which cannot receive direct
from the main sites. Some main sites have many relays (Wenvoe
in Wales has 85), which complicates the implementation logistics. Back
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