Economic perspectives

Economic perspectives

For the economic perspectives of the digital radio the prognos AG created a good thing for the BLM. Here, the starting point for the market launch of DAB is characterized as rather unsatisfactory. The European-wide coordination and the prospect of enforcing DAB as an international supplementary or successor system for VHF, whereby the public-law institutions with earmarked revenue had sufficient means to assume a “midwife function” for the establishment of DAB, should be regarded as positive , On the other hand, there was no urgent need for the DAB market launch, as there was no unique, intrinsically convincing benefit of the DAB system, but only a sum of smaller individual benefits. Co-ordination among the participants is not yet sufficient, and there is a risk that the introduction of the digital radio as a Trojan horse for particular interests, v. A. regarding the further development of the dual broadcasting system “. The perspective of device development beyond the car radio is not yet
sufficiently clarified. As economically particularly problematic, the costly charisma in the L-band is estimated. Here it should be considered to leave the L-band unused.

Two alternative digital radio enforcement scenarios predict that between 4 and 8 percent of households in 2002 and between 32 and 60 percent of households in 2007 will be equipped with DAB receivers. For 2012, a market penetration of between 1.2 and 2 DAB receivers per household is forecasted. The actual development of the development then depends essentially on the behavior of the providers of the programs and the receivers.

For a more or less long transition phase, the broadcasting of existing radio programs in the simulcast method will in any case incur additional costs without significantly increasing the use of radio broadcasting. In this respect, this transition phase is not economically attractive for broadcasters:

“Without new listeners, DAB is not economical”.

However, as digital radio becomes the new standard on the market, it can gain strategic importance in competing for the public’s attention not only among broadcasters, but also between broadcasting, the print media and the Internet. For example, for the BBC already the dissemination of Internet data via digital radio to the development perspective for the digital radio.

Developments abroad

The development of digital terrestrial radio was and is not operated. Already the beginnings were financed from 1987 as part of the EUREKA project 147 with European funds. The project group has developed technical standards for digital radio, which have been approved by the ETSI.

In almost all Western European countries, digital radio is now being operated or at least tested. And many Eastern European countries have at least expressed interest. The development is apparently broadest in Great Britain, Italy, Norway and Sweden, where in 1999 the DAB coverage area is supposed to cover 60 percent of the population. In Germany live in the broadcasting areas about 30 million people, which is about 40 percent of the population.
In 1994, a Euro DAB Forum was set up, bringing together national interest groups, broadcasters and the appliance industry. In 1997, this group renamed itself “World DAB Forum”, after it became recognizable that in Australia, India, Japan, Canada, Singapore and South Africa also in non-European countries the digital terrestrial radio is contemplated or even already tested.

The situation is different in the USA. Here a test by the Consumer and Electronic Manufacturers
Association has shown that the DAB system developed in the EUREKA project is technically superior to the other alternatives: “Of all the systems tested, only the Eureka system offers the audio quality and signal robustness The service would be expected in a new service. The National Association of Broadcasters, however, rejects the introduction of the European DAB standard in the US. Which standard is to be introduced in the USA has not yet been decided.

Among the broadcasters, the BBC seems to have developed the most commitment to digi tal radio. Since 1998, 60 percent of the British population live in the broadcasting area for digital radio. And in September, the BBC won the prize for the most innovative radio broadcaster for its program development in digital radio at the “International Broadcasting Convention” in Amsterdam.

The BBC is pro-active in introducing and using the DAB. In the World Wide Web she outlines the
perspectives for further development as reproduced below.