Ddo8 Peter Anker Digital Dividend In Nl

924 views

Published on

0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
924
On SlideShare
0
From Embeds
0
Number of Embeds
43
Actions
Shares
0
Downloads
5
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Ddo8 Peter Anker Digital Dividend In Nl

  1. 1. Competition in broadcasting services or competition between broadcasting and mobile A case study of the Netherlands Peter Anker
  2. 2. This provides us with a remarkable competition conclusion: as wireless broadband speeds start to match wired television we will digital terrestrial television cable broadband have a second infrastructure capable of competing with the traditional catv incumbent … This would mean more competition, permit lighter telco regulation and would spur the fixed network operators to move to next cable tv generation access so as to differentiate themselves from the threat of the dtt mobile competitors. Peter Anker, Gent,Dublin, 1 October 2008 Vivianne Reading, 17 October 2008 Digital dividend in the Netherlands - Page 2
  3. 3. Contents Potential use of the digital dividend The situation on the relevant markets in the Netherlands The potential use of the digital dividend in the Netherlands What to do? Digital dividend in the Netherlands - Page 3
  4. 4. Potential use of the digital dividend Digital dividend in the Netherlands - Page 4
  5. 5. Television distribution in the Netherlands Cable Satellite Terrestrial IPTV (ADSL) Digital dividend in the Netherlands - Page 5
  6. 6. Market share of Digital Terrestrial Television Analogue switch off Market share DTT 9,0% 8,0% 7,0% 6,0% 5,0% 4,0% 3,0% 2,0% 1,0% 0,0% 2002 2003 2004 2005 2006 Q2 Q4 Q2 2007 2007 2008 Digital dividend in the Netherlands - Page 6
  7. 7. Terrestrial TV in the Netherlands Digital Terrestrial TV - Switch-off in december 2006 23 TV and 19 radio programmes - Comparable to analogue cable TV package 5 multiplexes in use - 1 multiplex public services (3 national and a regional channel)‫‏‬ - Free-to-air - 3 multiplexes commercial service - Subscription - 1 multiplex mobile TV (DVB-H)‫‏‬ Digital dividend in the Netherlands - Page 7
  8. 8. Mobile communications Digital dividend in the Netherlands - Page 8
  9. 9. Mobile communications (2) 3 mobile operators Nearly national mobile internet coverage - Only small portion of 2 GHz spectrum is used - Possibility for flexible use of GSM bands in the near future - All three mobile players have GSM900 spectrum All 3 mobile operators offer mobile TV - KPN on DVB-H - Vodafone and T-Mobile on their mobile network Digital dividend in the Netherlands - Page 9
  10. 10. Internet connectivity 80% of the Dutch households has an Internet connection 92% of the internet connections is broadband - 61% ADSL - 38% cable TV network ADSL coverage of PSTN is nearly 99% Cable TV coverage of 95% Source: TNO, Q2 2007 Digital dividend in the Netherlands - Page 10
  11. 11. Wrap-up of the Dutch situation High penetration of cable TV (95%)‫‏‬ DTT is in direct competition with cable TV Huge share of digital dividend already allocated to DTT Lower level of demand for wireless broadband services in rural areas - More urban nature of demographic make-up of the Netherlands - ADSL coverage of PSTN is nearly 99% - Cable TV used for broadband access Nearly full coverage of mobile internet Digital dividend in the Netherlands - Page 11
  12. 12. DTT – Outcome of the RCC Layer 1 Layer 2 Layer 3 Layer 4 24-29-30-33-34-65 25-27-28-31-35-44-60 32-33-35-36-37-40- 23-24-31-41-45-48-53- 49-51-58 54-55-57 Layer 5 Layer 6 Layer 7 21-43-46-47-51-56-56- 21-22-26-30-32-39-42-50-52- 61-62-68-69 64-66-67 54-60-66 Digital dividend in the Netherlands - Page 12
  13. 13. Digital Dividend – What is available? 7 layers available 5 layers in use by the DTT operator 2 layers available - 1 layer of good quality - 1 layer with a reduced quality - Available in 2012 Digital dividend in the Netherlands - Page 13
  14. 14. Digital Dividend – Where to use it for? Broadcasting - Enhancing competition between cable TV and DTT - More possibilites for more programmes, mobile TV (DVB-H) or HDTV Mobile communications - Enhancing the coverage in rural areas No need to use the digital dividend for internet connectivity in rural areas Digital dividend in the Netherlands - Page 14
  15. 15. Scenario 1 – Digital broadcasting The additional frequencies freed from 2012 are allocated to DVB services, either using DVB-T (DTT standard) or DVB-H (mobile TV). This scenario does not require any rearrangement of the band. DTT is a strong competitor to cable operators in the TV market. Strengthening the existing operator or introduction of a new competing operator for mobile television. Mobile services are rolled out using other, higher frequency bands (e.g. GSM900, GSM1800, UMTS or 2.6GHz spectrum). Will the competition between cable TV and DTT remain viable if the cable TV is digitized? Digital dividend in the Netherlands - Page 15
  16. 16. Scenario 2 – Mobile communications The subband 790-862 MHz is allocated to mobile communications to provide larger cell radius in rural areas and better in-house coverage DTT is still a competitor to cable operators in the TV market, but not as strong as in Scenario 1. Three assignments of 2×10MHz each possible, assuming a 12MHz guard band is required between the downlink and the uplink. This scenario requires the frequencies used at some DTT transmitter sites to be changed (retuned). Additionally, probability of interference to DTT at the band edge; additional DTT fill in transmitters might be needed. Is there enough capacity available for a truly broadband service and a larger cell radius? Digital dividend in the Netherlands - Page 16
  17. 17. How about PMSE? Currently provisions to use the whole band on non-interference basis - 1 channel (63) free for wireless microphones Highly localized use Fragmented market with many small players and users ⇒Long time needed to effectuate a change Need for more sophisticated equipment - Larger tuning range - Dynamic frequency selection Especially a problem in the 790-862 MHz if this is used for mobile communications - Can the duplex gap be used? - Is there enough capacity in this gap? Digital dividend in the Netherlands - Page 17
  18. 18. How about technology neutrality? Scenario 1 uses the existing layers hence is optimized for broadcasting Scenario 2 frees the upper subband and makes it available for mobile communications Questions around both scenario’s Need for a possibility in which the market chooses the optimal scenario Digital dividend in the Netherlands - Page 18
  19. 19. Conclusion Large part of the digital dividend already used for competition in broadcasting services Remaining part can be used for - Broadcasting - Mobile communications Flexible award process with 2 simultaneous competing auctions which leads to either 2 broadcasting layers or 3 mobile licenses of 2x10MHz Digital dividend in the Netherlands - Page 19
  20. 20. Questions?

×