Select Committee on European Scrutiny Twenty-First Report


15 Interoperability of digital interactive television services

(27274)

6026/06

COM(06) 37

Commission Communication on reviewing the interoperability of digital interactive television services pursuant to Commission Communication COM(2004) 541 of 30 July 2004

Legal base
Document originated02 February 2006
Deposited in Parliament09 February 2006
DepartmentTrade and Industry
Basis of considerationEM of 27 February 2006
Previous Committee ReportsNone; but see HC 42-xxxii (2003-04), para 27 (13 October 2004)
To be discussed in CouncilNot known
Committee's assessmentPolitically important
Committee's decisionCleared

Background

15.1 The arrival of digital television facilitated the addition of interactive elements to programmes and the provision of separate interactive services, making use of the computer-like processing capabilities in digital set-top boxes and integrated digital television (DTV) receivers. A standard software interface (an application programming interface or API) is required in DTV receivers to enable them to decode the interactive part of TV services provided by broadcasters. As the market for interactive television evolved, several incompatible — mainly proprietary — APIs were introduced by different broadcasters, resulting in the content or applications authored for one API not being able to be understood by a receiver containing a different API. This in turn led to concerns about lack of interoperability and possible constraints on consumer choice.

15.2 Article 18(3) of Directive 2002/21/EC on a common regulatory framework for electronic communications networks and services (the Framework Directive) required the Commission to ascertain the extent to which interoperability of interactive digital television services had been achieved in Member States. If it concluded that interoperability and freedom of choice for users had not been achieved, the Commission had the power to mandate the use of certain technical standards throughout the Community in order to achieve interoperability. This is known as "mandation".

15.3 A complex open API standard was subsequently developed — MHP (Multimedia Home Platform), capable of deploying all digital technologies, developed by the industry-led DVB project,[44] endorsed by the European Standards Organisation, but in its infancy. Much of the debate on improving interoperability centred on adoption of the MHP standard — then the only API that had been published as a standard in the Official Journal of the European Communities — with the Commission raising the proposition that this particular open standard should be made mandatory.

15.4 In addition to subsidiarity issues, mandation would effectively render obsolete, at least so far as interactive services were concerned, all existing digital television receivers in the UK — the market with the highest penetration in Europe. So when we cleared an all-embracing Communication on access to information society services on 19 November 2003, we asked the Minister for further information concerning "mandation". In subsequent correspondence, it was made clear that a large proportion of the organizations consulted by the Commission had expressed reservations about MHP being mandated, including the DVB itself; and no UK group or individual was known to be in favour of mandating the MHP standard. Moreover, discussions were already in hand with other Member States on adopting an advanced version of the British standard — MHEG — as a cheaper, interim measure. In sum, the UK's main objective was to persuade the Commission to give closer attention to market conditions and produce a more complex set of standards, with MHP being adopted eventually through "migration".

15.5 By the time that we came to consider the subsequent Commission Communication on the interoperability of digital interactive television services and Commission Staff Working Document (11853/04; COM(04) 541 + ADD 1), the Minister felt able to say that the its approach was compatible with HMG's policy. In particular, concerns that the Commission might seek to mandate the adoption of MHP had been allayed, and the Government therefore welcomed the main conclusions, which were not to mandate any particular standard, and to re-assess the effects of Article 18(3) of the Framework Directive in the second half of 2005. Although the Communication did not state what the process for this review was to be, which raised the possibility that possible subsequent actions could include mandating the MHP platform, the Commission had signalled its intent to add to the British standards (MHEG-5 and WTVML, which is used by BSkyB) to the Official List. The Minister therefore judged that the risk of the Commission mandating standards in a way which would be prejudicial to UK interests was low.

15.6 We were similarly reassured, and cleared the Communication. But given the possibility of further legislative action by the Commission in this area after the review of the effects of Article 18(3), we asked the Minister to report to us again if — against his expectations — subsequent developments again threatened the strong UK interest in non-mandation of the MHP platform.[45]

The Commission Communication

15.7 Referring to the conclusion in Commission Communication 11853/04 — that "there was no clear case for mandating standards for interactive television" — the Minister of State for Industry and the Regions (Alun Michael) summarises subsequent developments as follows:

  • "MHEG-5[46] and WTVML,[47] two of the main interactive standards used by UK broadcasters, have become open European (i.e. ETSI)[48] standards alongside MHP. The Commission is in the process of adding them to the List of Standards published under Article 17 of the Framework Directive;
  • The European Digital Video Broadcasting Project (DVB) has specified a Portable Content Format (PCF) for interactive services and sent it to ETSI for standardisation. This authoring format is designed to provide ease of translation of interactive services into diverse interactive standards for delivery to receivers;
  • Recent developments have underlined the need for a range of interactive delivery standards. MHP is far too power-hungry and expensive for applications such as mobile TV. In countries (e.g. Germany and Italy) where MHP has been strongly promoted, the majority of set top boxes bought by the public are 'zapper boxes', with no interactive TV capability. These are cheaper to make than MHP boxes;
  • By contrast, almost all the set top boxes bought by the UK public incorporate MHEG-5 (which is relatively cheap and lightweight, but nevertheless supports attractive services like 'red button' interactivity). There are very few zapper boxes in the UK; and
  • As the policy focus in Europe turns to switchover (i.e. replacing analogue terrestrial television transmissions with digital transmissions), the advantage of providing interactive services to ALL televisions in the home becomes more apparent."

15.8 The Commission's own perspective is somewhat wider. It reviews the work of the MHP Implementation Group; the situation in digital television in the EU in June 2005; market developments; standards other than MHP; a "Roadmap on High Definition Television (HDTV) Technical Interoperability"; and its own position on digital television interoperability. It comes to the conclusion that these developments "lend support to its previous analysis and conclusions, namely that mandating EU-wide standards under Article 18(3) of the Framework Directive would not contribute significantly to the growth of interactive digital television in Europe, and could have negative effects".

The Government's view

15.9 The Minister says that "UK broadcasters and Government have worked hard towards persuading the Commission and others of the merits of the position now endorsed by this Commission Communication" and welcomes the Commission's conclusion.

Conclusion

15.10 We share the Minister's welcome for this outcome.

15.11 We now clear the document, which we are reporting to the House because of the widespread interest in developments in Information and Communication Technologies.


44   DVB is an industry-led consortium of over 300 broadcasters, manufacturers, network operators, software developers, regulatory bodies and others in over 35 countries committed to designing global standards for the global delivery of digital television and data services. Back

45   HC 42-xxxii (2003-04), para 27 (13 October 2004). Back

46   MHEG-5 is part of an international standard developed by the Multimedia and Hypermedia Experts Group (MHEG), which is simpler than MHP. The Commission estimates that there are more than 5 million set-top boxes using MHEG-5 (COM(06) 37, page 7). Back

47   WTVML is an extension of the Wireless Mark-up Language (WML) for TV. It is a micro-browser for interactive television applications. The Commission estimates there to be more than 7 million set top boxes using WTVML (ibid). Back

48   Based in Sophia Antipolis (France), the European Telecommunications Standards Institute (ETSI) is officially responsible for the standardization of Information and Communication Technologies within Europe (including telecommunications and broadcasting).

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