OFCOM: Loss of interim DTT muxes will make 700MHz use change painless

OFCOM, the UK communications and media regulator, has outlined its views on the likely impact of handing over some of the 700MHz spectrum currently used by DTT to mobile broadband services, and the conclusion seems to be that the impact would be limited and acceptable. In its ‘The future of free to view TV – a discussion document’, published May 28, the organization says a future change of use of 700MHz spectrum band would have one main consequence: the closure of the interim multiplexes that currently broadcast using the 600MHz band of spectrum.

The interim multiplex currently in use broadcasts HD versions of BBC Four, CBeebies, BBC News, Al Jazeera, and the Community Channel as well as Al Jazeera Arabic in SD. These multiplexes broadcast under a licence issued by OFCOM that runs until 2026, but with a minimum duration to the end of 2018. OFCOM thinks it is possible that some channels on the interim multiplexes, notably the BBC HD channels, could be carried on multiplex B, which already broadcasts the other Freeview HD channels, thanks to better compression and multiplexing techniques.

As their name suggests, the interim multiplexes were not meant to be a permanent feature of the DTT system, but were made available to support the transition to MPEG-4/DVB-T2 standards, OFCOM notes. They have lower coverage than the permanent multiplexes, although coverage is anticipated to grow in the near future to around 70% of UK households. The document notes that the BBC could actually extend the reach of the HD services currently on these interim muxes to 98.5% of UK households if they were moved to multiplex B.

As part of its investigation into the future of free TV in the UK and the options regarding the 700MHz spectrum, OFCOM commissioned Mediatique, a strategic advisory firm specialising in the UK communications industry, to consider the possible impact on DTT platform popularity if consumers demand more HD content. They found that more demand for HD, combined with a change of use for 700MHz spectrum, would mean DTT offers less choice of HD services than other TV platforms and, as a result, DTT penetration could fall.

But the regulator is relaxed about this. “Nevertheless, any fall in DTT penetration is, in our view, unlikely to be significant enough to undermine the policy goals achieved by FTV [free to view], particularly since many viewers may in any case choose to switch to Freesat [the UK free-to-air satellite platform]. Furthermore, DTT stakeholders are able, either individually or collectively, to take various steps in order to prevent such a decline. Given this, we consider at this stage that the closure of the interim multiplexes would be unlikely to present a material threat to the viability or attractiveness of DTT-based platforms.”

OFCOM adds the caveat that, “clearly this is an area we will need to keep under review. It may be that, if new services launch on the interim multiplexes that are valued by viewers we would need to reconsider this assessment.”

As a result, OFCOM is now publishing, in parallel, its proposals to make the 700 MHz band available for mobile broadband from 2022, or possibly up to two years earlier, including its assessment of the costs and benefits of the proposed change. As well as moving parts of the DTT service, the change of spectrum use would also mean shifting some Programme Making and Special Events (PMSE) services from the 700 MHz band to other frequencies.

OFCOM expects to take a final decision on the potential release of the 700MHz spectrum band by late 2014 or early 2015. This decision will determine whether the interim multiplexes are required to close and if so on what timeline.

Assessing the bigger picture, which of course is at the heart of this debate, OFCOM declares: “This should result in significant benefits to consumers, such as improvements to mobile networks and cheaper mobile broadband services. We need to ensure this change is achieved whilst safeguarding the important benefits that DTT and PMSE services deliver to citizens and consumers in the UK.”

Also see: Regulator Offers Vision For Long-Term Evolution Of UK Free Television