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The transition to DTT in Italy: an introduction

The transition to DTT in Italy: an introduction. Lisa Di Feliciantonio AGCOM, Italian Authority for Communications Warsaw, 25 February 2004. The Italian broadcasting context. Overcrowded frequency spectrum 11 national network and 600 local channels Strong duopoly:

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The transition to DTT in Italy: an introduction

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  1. The transition to DTT in Italy: an introduction Lisa Di Feliciantonio AGCOM, Italian Authority for Communications Warsaw, 25 February 2004

  2. The Italian broadcasting context • Overcrowded frequency spectrum 11 national network and 600 local channels • Strong duopoly: PSB & commercial operator Mediaset gather 90% of the audiences and 80% of the economic resources DTT seen as a chance to rationalise the use of the spectrum and increase the degree of pluralism

  3. DTT: a brief history The steps towards DTT (1/3) • The 1997 communication act • The communication act in 1997 (law 249/97) creates AGCOM as sector regulator and imposes to issue a frequency plan to reorganize the use of the spectrum • The plan, issued in Nov. 1998, involves a deep reshuffling of the existing frequency allocation and reserves 4 frequencies for the start-up of digital terrestrial. • AGCOM white book • The committee for the development of digital terrestrial, created by AGCOM, publish a white book on DTT (1999). • Two different paths towards DTT are envisaged: • The implementation of the analogue plan and therefore the start-up of DTT on the 4 frequencies reserved for that purpose. • A totally innovative approach: allowing the trading of frequencies between broadcasters in order to allow the broadcasters interested in launching DTT services to get extra capacity.

  4. DTT: a brief history The steps towards DTT (2/3) • The law 66/00. • First comprehensive legal framework for the transition to “all digital.” • Switch off date set at December 2006. • AGCOM regulation 435/01/CONS. • Regulates the different phases of the transition. • Establishes antitrust measures and access rules for the new digital environment. • The judgment of the Constitutional Court on Rete 4. • In Nov 2002, considering the antitrust measures included in the Communication Act of 1997 not sufficient to ensure pluralism, the CC establishes that the third Mediaset network (Rete4) has to give up its terrestrial frequencies by the end of 2003, unless the development of DTT is such to guarantee an adequate degree of pluralism and competition. • Mediaset decides to invest heavily in the roll-out of DTT to save its third network.

  5. DTT: a brief history The steps towards DTT (3/3) • The proposal for the new Communication Act (d.d.l. Gasparri) • obligation for RAI to set up 2 DTT with 50% population coverage by the end of the year • new antitrust measures: in order for Rete 4 to keep its frequencies the new Act establishes that it is enough to create 2 DTT networks covering at least 50% of the population • Incentives to transition: subsidies for the purchase of STBox (€150x 1Ml STBs) • The parliament approves the law, which is stopped by the President and sent back to the parliament in order to review the antitrust measures. • A government decree is passed in december to save Rete 4: the decree allows Rete4 to keep broadcasting beyond Dec. 2003 • The AGCOM will have to evaluate by April 2004: • The number /qualityof new channels broadcasting on the DTT networks • The effective coverage of the population • The availability of digital receivers If the results of the assessment will not be deemed satisfactory, the AGCOM will be responsible for taking antitrust measures to restore pluralism.

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