This document discusses regulatory issues related to digital TV switchover from analog to digital broadcasts. It covers 12 topics: 1) strategic planning for satellite, cable and terrestrial coverage and spectrum use; 2) collaborating with terrestrial broadcasters; 3) analyzing consumer demand; 4) selecting new digital services; 5) licensing regulations for broadcasters; 6) regulating TV receivers and labeling; 7) incentivizing the market transition; 8) considering subsidies; 9) planning for analog switch-off; 10) public communications; 11) challenges and risks; and 12) opportunities for additional TV channels, HDTV, and telecommunications from the released analog spectrum.

1. Michael Starks
August 2012
Digital TV Switchover:
regulatory issues

2. 1. Strategic thinking
 Principal motive and
platform issues
 Satellite and cable
 Terrestrial coverage?
 Spectrum planning for
simulcasting and for
analogue switch-off

3. 2. The terrestrial incumbents
 Key allies in switchover
 Spectrum for
simulcasting
 Additional spectrum for
new services?
 Incentivising
 Competition & plurality

4. 3. Analysing the opportunities
 Market research
 HDTV and standard
definition services
 Pay TV v. Free-to-View
 Consumer demand
 Consultation
 Cost-Benefit Analysis

5. 4. Selecting new services
 Selecting multiplex
operators and/or
services
 Criteria: beauty
parades and auctions
 Free-to-View appeal
 Economic constraints

6. 5. Regulating broadcasters
 Licensing spectrum:
contract term and charge?
 Interoperability requirement
 Collaboration obligations
 Communication obligations
 Analogue switch-off roles
 ‘Must carry’ requirements
for cable (and satellite?)

7. 6. Regulating receivers
 End sale/import of
analogue TV sets?
 Enlist the set
replacement market
 Satellite and cable
industry views
 Legal basis?
 Set labelling

8. 7. Assisting the Market
 New services & features
attract consumers
 Consumers buy new set-
top boxes or new TVs
 Broadcasters’ revenue
from ads & subscriptions
 Does the market need
extra incentives?
Consumers
pay for services
and/or receivers
Revenue to
broadcasters
Broadcasters
provide new
services

9. 8. The use of subsidy?
 Subsidising broadcasters
(legal risks)?
 Subsidising consumers?
 General or selective
subsidy?
 Practical help for elderly
and disabled
 Source of subsidy
 Justification?
Market cost Subsidised
cost

10. 9. Planning for switch-off
 Modelling take-up and
judging feasible dates
 Regional collaboration to
avoid interference
 Receiver & aerial
industry readiness
 Name a date or name
criteria for naming date?
 All areas at once?
 All channels at once?

11. 10. Public communications
 Communications
during voluntary
take-up
 Analogue switch-off
 Focus on late
adopters
 Operational publicity
 Helping the consumer

12. 11. Don’t think this is easy
 Bankrupt commercial
broadcasters (UK & Spain)
 Slow take-up, the market
stalls
 Risk of public opposition if
the consumer proposition
isn’t right
 Switch-off date postponed,
costs rise, credibility loss

13. 12. Digital dividend
 Release of former analogue
terrestrial spectrum
 Opportunities for more TV:
additional channels and/or
development of HDTV
 Spectrum for
telecommunications
 Regional harmonisation

14. Digital TV Switchover
Thank you