BES Expo 2008 24 February, 2008

L. V. SharmaChief Engineer, Doordarshan

DTT - Opportunities and Challenges

Overview of DTT scenario worldwide

Indian Broadcast Scenario

Growth Drivers for DTT

DTT Opportunities

Doordarshan Initiatives

DTT Challenges

Conclusion

WORLDWIDE SCENARIO

Analog terrestrial transmission is being

discontinued worldwide in a phased manner.

DTT is being either thought of or implemented in

almost all countries in the world.

Most of the countries have announced the date

for completion of digitalization and subsequent

switch off of analog terrestrial service, worldwide.

A glimpse of world scenario on DTT is given on

next slides.

WORLDWIDE SCENARIO

Country DTT Standard Service Launch Business Model

ASO Date

Albania DVB-T 2003 Pay  

Andorra DVB-T 2005   2007

Australia DVB-T 2001 FTA 2010

Austria DVB-T 2006 FTA 2010

Azerbaijan DVB-T 2004 (Test)    

Belarus DVB-T 2004 (Test)    

Belgium DVB-T 2002 FTA 2012

Bermuda Undecided [2007] Pay  

Brazil SBTVD 2007 FTA 2016

Bulgaria DVB-T     2012

Croatia DVB-T 2007 FTA 2010

Czech Republic DVB-T 2005 FTA 2010

Denmark DVB-T 2006 FTA 2009

Country DTT Standard Service Launch Business Model ASO Date

Estonia DVB-T 2006 PayTV + FTA 2012

Faroe Islands DVB-T 2002 FTA  

Finland DVB-T 2001 FTA + PayTV 2007

France DVB-T 2005 FTA + PayTV 2011

Germany DVB-T 2002 FTA 2009

Greece DVB-T 2006 FTA 2012

Hungary DVB-T     2012

Ireland DVB-T 2008 FTA 2012 target

Italy DVB-T 2003 FTA + PayTV 2012

Lithuania DVB-T 2006 FTA 2012

Luxembourg DVB-T 2006 FTA 2006

Malta DVB-T 2005   2010

Mauritius DVB-T 2005 FTA  

WORLDWIDE SCENARIO

Country DTT Standard Service Launch Business Model

ASODate

Namibia DVB-T 2005 PayTV 2005

Netherlands DVB-T 2003 FTA + PayTV 2007

New Zealand DVB-T 2008 FTA  

Norway DVB-T 2007 FTA + PayTV 2009

Poland DVB-T 2007 FTA 2014

Portugal DVB-T 2008 FTA 2012

Saudi Arabia DVB-T 2006 FTA  

Singapore DVB-T 2001 (mobile) FTA  

Slovakia DVB-T 2008   2012

Slovenia DVB-T 2006 FTA 2011

South Africa DVB-T 2008   2011

South Korea ATSC 2001 FTA 2012

Spain DVB-T 2000 FTA 2010

WORLDWIDE SCENARIO

Country DTT Standard Service Launch Business Model

ASO Date

Sweden DVB-T 1999 PayTV + FTA 2007

Switzerland DVB-T 2001 FTA 2008

Taiwan DVB-T 2004 FTA 2010

Tunisia DVB-T Pilots since 2001

   

Turkey DVB-T 2008    

Ukraine DVB-T 2006   2014

United Kingdom

DVB-T 1998 FTA + PayTV 2012

United States ATSC   FTA 2009

Source: dvb.org

WORLDWIDE SCENARIO

  TV Penetration Receivers Sold

Country Population TV Households DVB-S (Millions)

DVB-C (Millions)

DVB-T (Millions)

Albania 3,190,000 500,000     0.1

Australia 21,129,222 7,600,000 1.1 1.27 2.55

Austria 8,316,487 3,300,000 1.5   0.1

Denmark 5,457,415 2,400,000 0.5 0.06 0.5

Finland 5,297,300 2,300,000     0.8

France 64,102,140 24,700,000 4.8 3.708 8.2

Germany 82,314,900 35,020,000 13.9 1.7 7

Italy 59,206,382 23,300,000 5 0.3 6.077

Netherlands 16,387,773 7,026,000 0.5 0.1 0.5

Sweden 9,150,000 4,100,000     0.8

Taiwan 22,925,000 5,210,000 0.1   2.232

UK 60,587,300 25,400,000 9 3.4 23

DTT in presence of Cable & Satellite

Indian Broadcast Scenario

Today India is the third largest television market in the world

today. 112 mn television households, appx. 210 mn households 70 mn pay TV households 68 mn cable households 5 mn Direct-to-Home (DTH) households. 40 mn Terrestrial Only homes.

Tomorrow ( PwC study’06) DTH households expected to grow by 43%. Cable households growth around 4-5% per annum Hence,

the tremendous potential for growth augurs well for the future of the television industry.

Indian Broadcast Scenario

70 million Combined TV Households

E & M Industry Rs. 437 billion

Television & Radio to share about 54% in

overall E&M pie.

TelevisionRs. 191 billion

RadioRs. 5 billion

E & M Industry Rs. One Trillion

18% CAGR

TelevisionRs. 519 billion

22% CAGR

RadioRs. 17 billion28% CAGR

Digital TV has …just begun

113 million Combined TV Households

“PricewaterhouseCoopers (PwC)-FICCI study 2006” has defined 2006 as a year of start of convergence for the media industry.

Today Tomorrow

Present DD Terrestrial Network

Existing Proposed in 11th & 12th Plan

  ANA- LOG

DTT (SDT

V)

DTT (DVB-H)

DTT (SDT

V)

DTT (DVB-H)

DTT (HDT

V)

HPTs 191 3 1 230 230 20

LPTs 827 - - 400 - -

VLPTs 375 - - - - -

Proposed Future Plans Of Doordarshan

One SDTV multiplex carrying upto 8 channels at each existing HPT site.

One DVB-H multiplex carrying upto 16 channels at each existing HPT site.

One HDTV multiplex carrying upto 2 channels for metro.

100 New DTT HPTs in place of about 400 LPTs 400 DTT SDTV LPTs at existing LPT sites Digitalization to be completed by the end 12th Plan. ASO by 2017

Television Growth Profile in India

Mobile TV Revenue Estimates

( Source : Juniper Research, Jul 2006 )

Growth of Mobile Phones in India

Service 2006 2007

 March

06Dec. 06

Added During Apr’06-Dec’06

March 07

Dec. 07

Added During Apr’07-Dec’07

Wireless 98.78 149.62 50.84 165.11 233.63 68.52

Wireline 41.54 40.30 -1.24 40.75 39.25 -1.50

Total 140.32 189.92 49.60 205.86 272.88 67.02

Comparison Table of Subscriber Base for first 9 months of 2006 and 2007:

GROWTH IS EVIDENT “PricewaterhouseCoopers (PwC)-FICCI study”

E&M (Entertainment and Media) industry size in

India is currently estimated at Rs. 437 bn and is

expected to grow at a compounded annual rate of

18% over the next five years.

E&M industry is expected to outgrow the Indian

economy every year from now till 2011.

Of this, television occupy over 40% of the market

share at Rs 191.2 bn and is expected to grow at a

CAGR of 22% to cross Rs 519 bn by 2011 with a

51% share in over all entertainment and media pie.

Growth Drivers for DTT

One DTT Transmitter can carry 8 channels, hence low CAPEX requirements per channel.

Excellent picture and sound quality. Ghost free picture. Reduced power consumption per channel. Future technology, being adopted worldwide. Saving in spectrum compared to analog.

Released spectrum can be utilized for other services

DVB-H upgradeability for Mobile reception. Ease of transmission of HDTV and DVB-H Service

on DTT Platform. Interactivity with consumer is also possible.

Opportunities in DTT

Government More revenue by way of spectrum allotment/

auction for DTT and DVB-H.

Released Spectrum after ASO (Analog Switch

OFF) can be utilized for other services and hence

more revenue.

Speedy Implementation of Digitalization through

PPP model.

Opportunities in DTT

Public Broadcaster: On the same bandwidth/broadcaster shall be able

to deliver upto eight channels thereby providing variety of programme for entertainment, news, culture & sports etc. in one multiplex.

New Revenue Generation opportunities by sharing of platform with private operators.

Availability of space for carrying local and regional channels simultaneously.

More suitable for country like India with diversity of culture and languages to meet social obligations.

Private Broadcasters: Can introduce new services at low

CAPEX by sharing the infrastructure with public broadcaster.

Can also install full multiplex if Govt. allots the spectrum.

Can share the PB platform for their services

Opportunities in DTT

Opportunities in DTT

Consumers: Availability of more Channels compared

to Analog Terrestrial Service. Excellent Picture Quality. Local/Regional Content, languages and

area specific programme availability. Availability of private Channels not

available earlier on terrestrial platform.

Industrial Growth Increased Growth of Industry due to the

demand of new services like HDTV content and displays.

Demand of DVB-H (Mobile TV) receivers like mobile phones, PDAs, Handheld receivers and USB receivers etc.

Distribution of DTT Signals in moving trains, buses & Public Places.

Opportunities in DTT

CHALLENGES

STB Cost

The DTT STB cost on higher side: approximately 30-40 US $.

DTT STB cost expected to come down as the volumes grow.Future television sets will have to incorporate DTT tuners.The government support is required to make it mandatory by law to integrate DVB-T Receivers in all TV receivers.

CHALLENGES

DTH: Likely Competition with DTH Services in India. Besides DDI many private DTH platforms are

available. A few more DTH services are expected in near

future. Telecasting exclusive content on DTT

channels is required to counter the same. DTT does not suffer from rain fading and

hence advantageous.

Cable TV Services :Regular migration of analog terrestrial TV viewers to Cable TV domain observed in the past.The trend may reverse due to availability of more channels on DTT.Exclusive and area specific local contents of special interests to the viewers for DTT Platform can counter the above forces. DTT services are expected to be cheaper than cable services. DTT bouquet having a proper mix of infotainment channels may win back the viewers to terrestrial services

CHALLENGES

DTTB – Way OutDTTB – Way Out

Providing exclusive content, which can attract viewers towards digital terrestrial services

Providing reception in moving vehicles and hand held device

Adequate programming of local relevance

Interactive and value added services

To meet the cost of digital infrastructure, services with revenue earning potential need to be clearly identified

DTTB – Way OutDTTB – Way Out …contd.…contd.

Appropriate business model with PPP to be

worked out

Launching campaigns to generate public

awareness about new terrestrial services and it’s

advantages

Conducive Regulatory and Legal framework such

as reduction of taxes, duties on STBs /

Transmitters, mandating digital receivers with

inbuilt DTT tuners etc.

Mandating a firm ASO date

ConclusionsConclusions Multiple Delivery Media technologies successfully co-

exist in several countries. DTT is free from the inherent disadvantages

encountered in Cable and DTH. Challenges of meeting huge upfront costs for

Transition from analog to digital can be met from private partnership and sharing of infrastructure

A balanced bouquet with appealing contents can attract viewers even from Cable and DTH

DTT is better suited to cater information and entertainment needs of a culturally and linguistically diverse subscriber base

DTT roll out will be a win-win situation for all stake holders

Thank you.