1. The importance of coordination in
the transition process to digital
broadcasting:
Example from The Netherlands
Frans de Vilder
Kyiv, 25 September, 2009

2. Introduction
• Milestones of the process
• Marketplace
• Introduction of interested parties /
stakeholders
• Issues & Conflicts of interests

3. Milestones Dutch Transition
• Report of Switch-off Advice Committee,
20 February 2003
• (Draft) Policy paper Ministry of Economic
Affairs, December 2003
• Stakeholders Taskforce Analogue Switch-
off installed
• First meeting January 2004
• Last meeting May 2006
• Switch-over on 10 December 2006

4. Dutch market in End of 2004
• Total market 6.8 million households
• Dominant cable
– > 96% of homes passed;
– > 91% market penetration
• Canal Digital (Satellite operator) 7,8% of market
• DTT network by Digitenne ~ 1% market share
• Coverage in Randstad area
– 25% of population
– 10% of the Dutch territory
• Free-to-air analogue transmissions with rooftop
antenna of Public broadcasters

5. Participants Taskforce
• Ministry Economic Affairs
– Telecom Agency
• Ministry of Culture
• Consumer’s association
• National public broadcasters
• Regional public broadcasters
• Nozema
• Digitenne

6. Objectives Taskforce
• Elaborate practical scenario for switch-
over
• Determine technological, economical and
social effects for stakeholders

7. Ministry of Economic Affairs
• Ministry was leading Taskforce
• Stimulates and supervises telecom market
• Telecom Agency is department of Ministry
responsible for frequency coordination
with neighbour countries
• Promoted the establishment of Digitenne
• Shareholder of Nozema

8. Ministry of Culture
• Responsible for broadcasting policies
including rules on the funding of public
broadcasters
• Responsible for communications to Dutch
audience in regard to the transition

9. Consumer’s Association
• Invited by the government to defend the
interests of the consumers
• Major objective was free-to-air reception
of (national) Public broadcasters.

10. National public Broadcasters
• Umbrella organisation of more than 20
broadcasters
• Time sharing by broadcasters on 3 transmission
networks
• Legislation requires free-to-air terrestrial
distribution
• Have their own license for one multiplex but
cooperate deal with Digitenne for exploiting the
DVB-T network
• Costly analogue transmitter networks maintained
by Nozema
• Guideline of Ministry of Culture for cost reduction
programme

11. Organisation of Regional
Broadcasters
• Represents 13 regional broadcasters
• 8 broadcasters with analogue license
• Analogue transmitter services by Nozema
• Major objectives:
– free-to-air access to public in its individual
region
– Alternative (satellite links) to connect to cable
head-ends

12. Nozema
• Dominant transmitter network operator
• “Independent” company but shares still
with government
• Government wanted to sell
• Shareholder and supplier Digitenne
• Supplier of Analogue TV Network to Public
broadcasting organisation
• Support of Telecom Agency for
calculations in frequency Coordination

13. Digitenne
• Commercial DVB-T operator
• Nozema and KPN major shareholders
• License for 4 multiplexes
• Deal with public broadcasting organisation
for integration 5th multiplex in Digitenne
network
• Public broadcasting organisation to pay a
cost-oriented fee after realisation
nationwide coverage

14. Issues
• Lack of frequencies for four multiplexes 
No competitive offer by Digitenne
• Financial compensation simulcast period
• Conflicts of interests
– Public broadcasting organisation and Digitenne on
coverage (rooftop vs in-house)
– Organisation of regional public broadcasters and
Digitenne on delivery to cable head-ends
– Organisation of regional public broadcasters and
Ministry of Culture on financial compensation
– Selling of Nozema
• Result:
– the taskforce ended mid 2005 in stead of 2004
– Physical preparation started just Jan 2006

15. Solving the issues
• Frequency issue
– Digitenne agreed on DVB-H approach for
coordination
– Coordination process was intensified
– Support of UK and Germany  pressure on
Belgium and France
• Financial compensation
– Ministry of Economic Affairs simply had to
accept the costs as they imposed a simulcast
requirement for a certain period

16. Solving the conflicts
• Rooftop vs. in-house
– Shared service deal with Digitenne was
cheaper than own rooftop network
• Delivery to cable head ends
– attractive offer by KPN for leased lines and
satellite links
– In 2006 the Ministry of Culture agreed to
financially support satellite broadcasting

17. Selling of Nozema
• Government offered Nozema for sale and
KPN was the most likely buyer
• Funding for nationwide rollout of Digitenne
had to come from KPN
• KPN delayed the rollout of Digitenne until
Nozema buy in Q1 2006 to avoid increase
in value of Nozema

18. Recommendations for transition in
Ukraine
• Find out about public interests
• Identify stakeholders
• Start communications with stakeholders
• Find out about strategies, issues and
moreover costs (for simulcast period) etc
• Assign one party to lead the process
(not necessarily stakeholder)