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July July Presentation Transcript

  • The importance of business radio in the UK
    • FCS Business Radio Group report
    • Presentation to the Ofcom BRIG
    • 6 July 2007
    • Follow up to presentation on 13 March 2007
  • BR in the UK
    • The problem
    • The implications
    • The dilemma
    • The remedy
  • The problem
    • Business radio
    • Not high on the public agenda
    • Value to the economy underrated
    • Spectrum policies not always aligned to BR
  • Public agenda
    • BR – not reported in Parliament or in the media
    • Ofcom is introducing market led policies for spectrum management; it sees BR as a cottage industry in need of reform
    • BR has always been there- the world is changing around it
  • Value to the economy underrated
    • Key areas where BR provides essential support to organisations and businesses
    • Health and safety
    • Disaster recovery and business continuity
    • Operational efficiency
    • Dedicated bespoke services
    • FCS case studies- none can function without BR and there is no alternative;
    • BR provides social benefit as well as economic benefit
  • Economic value of BR
    • FCS research shows:
    • In the public sector the ratio of BR investment to organisation turnover approx 1:30
    • For a manufacturing plant that cannot operate without radio systems a £10k radio system supports £100 million plant
    • Major construction project valued at £5 billion supported by a £2million radio system
    • Leverage factor of BR is 1:30 to 1:2500
    • BR contribution to economy from the sector is £1-2 billion pa, but leveraged value is £ 30 billion upwards.
  • The implications
    • The regulator does not see BR as a special case but the guinea pig for new spectrum policies
    • Broadcasters have admin pricing of spectrum 14 years after BR
    • Spectrum policy decisions impact sector viability
    • Recent auction decisions – now spectrum in 380-430 MHZ [suitable for Tetra] in hands of one company- and OFT is investigating the competition implications
    • How can the companies and organisations that require BR services and certain access to spectrum in future continue?
  • The dilemma
    • BR requires certain access to spectrum in future
    • Ofcom has the single delivery mechanism of an auction
    • The two are incompatible
  • The remedy
    • Access to radio spectrum for business radio- UK spectrum policy
    • EU- EP says spectrum management should facilitate the coexistence of different types of licensing models traditional administration and market based approaches.
    • Ofcom consumer panel says Ofcom should think about a spectrum bank for socially beneficial services
    • Ofcom consultation on PMSE- listened to vocal entertainment lobby and has given preferential treatment
    • FCS says Ofcom should think more about its spectrum policy application to BR and refine it according to BR needs
    • Safety of life, business efficiency and disaster recovery must be acknowledged as a special case and Ofcom’s spectrum allocation policies recognise this
    • Look into a negotiated route for spectrum access for BR
  • Importance of Business Radio to the UK
    • As FCS chairman Adrian Grilli says
    • “When people are trapped in their cars in a motorway pile up what’s more important- getting footage in the evening news or life saving treatment of the injured?”
    • Ofcom over to you.