Digital Switchover in Slovenia and a way forward

1. ITU Regional Initiative for Europe on Digital Broadcasting: Transition to Digital Terrestrial Television Broadcasting and Digital Dividend Digital Switchover in Slovenia and a way forward Tomo Žbontar, Igor Funa, Darja Petric-Štrbenk, Meta Pavšek Taškov Budapest, Hungary 5-7 November 2012

2. Background • Preparation for Transition • Digital Broadcasting Act • Simulcast • Analogue Switch off • Current situation - Lessons Learned • Digital Agenda • Digital dividend – big bang auction • A lot of issues to be solved before auction • Auction preparations • Possible convergence of services

3. Situation in Analog TV Broadcasting • 5 national channels: 2 public, 3 commercial • 10 regional / local channels • 230 transmitting sites needed for 98% population coverage • Most channels (frequencies) from the ST61 plan already used

4. DVB-T - Allotments and SFN Networks

5. Preparation for Transition • Need for new frequency plan for digital broadcasting • Regional Radio Conference Geneva 2006 • General approach: • Equitable access • 7 layers on UHF • 1 layer on VHF • Adoption of MPEG-4 (H-264) coding standard in 2006 • First regulardigital broadcasts at the end of 2006

6. Simulcast • 70 % coverage of mux A in 2007 • Only public channels present in mux A • Adoption of Digital Broadcasting Act in 2007 • Adoption of Receiver specifications • MPEG-4 Set Top Boxes available and affordable

7. Digital Broadcasting Act • Relations between network operators and broadcasters • Frequencies for one network (multiplex) for PBS without tender • Spare multiplex capacity can be used for commercial purposes • RTV Slovenija (PBS) can not participate in public tender for the second network • Analog Switch-off date set to December 1st 2010

8. First Problems • Commercial channels not interested in digital broadcasting because of high additional cost for the same coverage • MPEG-2 Set Top Boxes still on shelves • No MPEG-4 Integrated TV sets yet • Problems with first MPEG-4 Set To Boxes • Some MPEG-4 receivers DID NOT support MPEG-4 audio (AAC)

9. Second Network • Public tender for national network in 2008 • Norkring was chosen as the operator of the second network • Commercial channels not interested because of high cost • In 2009 mux B network still not operational • End of 2009: state subsidy for digital broadcasting • Commercial TV channels enter mux A • Public tenders for regional/local networks

10. Analog Switchoff • September 2010: • First network (mux A) • 5 national and 5 regional channels, over 90% coverage • Second network (mux B) • 2 national channels, over 85% coverage • Digital switchover campaign • Call center • December 1st 2010 – most of the analog transmitters were switched off • ASO - No major problem

11. Current Situation • Some local broadcasters decided to abandon terrestrial platform because of high cost • Local multiplexes with only one channel • Main commercial channels still on mux A – the only operational multiplex with national coverage • One national channel (TV3) left Slovenia • Second network not operational – operator leaving Slovenia • Less TV channels than before the transition

12. Lessons Learned • Digital Broadcasting Act is not enough • Simulcast presents significant additional cost for broadcasters • Receiver specifications need to be very precise • Stick to announced requirements • Networks should start with final technical parameters • Avoid frequent changes of frequencies

13. Lessons Learned • Coverage, channels and receivers are not enough • User experience plays an important role • Digital equipment is more complex to set up and use • Digital reception means sharp transition from perfect picture to no picture • Information campaign should reach everybody • Even cheap STBs are expensive for many people

14. Digital Agenda • Pillar IV: Fast and ultra-fast Internet access • New services such as high definition television or videoconferencing need much faster internet access than generally available in Europe. To match world leaders like South Korea and Japan, Europe needs download rates of 30 Mbps for all of its citizens and at least 50% of European households subscribing to internet connections above 100 Mbps by 2020. The Digital Agenda aims to turn this ambition into reality by stimulating investments and proposing a comprehensive radio spectrum plan. Reference: http://ec.europa.eu/digital-agenda/en/our-targets/pillar-iv-fast-and-ultra-fast-internet-access

15. Digital dividend • Digital dividend

16. Big-bang Auction

17. A lot of issues to be solved before auction • The amount of spectrum to be auctioned • Different license expirations • Technological neutrality & competition issues • Coverage obligations • Evaluation of network costs for different coverage scenarios • Auction model • Spectrum caps • Protection of broadcasting and other services • Cross border coordination • Sharing issues • Backhaul requirements • ..

18. Auction preparations • 2 – 3 years in average in Europe • APEK‘s plan: 1.5 years • start January 2012, licences awarded June 2014 Deadline is 1.1.2013

19. Possible convergence of services • As mobile operators are becoming pipes for OTT (Over the Top Services) • As terrestrial broadcasting service providers face challenges of high network costs • As content providers face high costs of providing content over terrestrial DTT networks • As both services need more spectrum • Future might be in cooperation between mobile/broadcasting operators and broadcasting content providers

20. The End • Thank You Very Much for Your Attention!