UK 700MHz Strategy and Digital Terrestrial Television update. Chris Woolford, Director of International Affairs, Ofcom 3 rd October 2013

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1 UK 700MHz Strategy and Digital Terrestrial Television update Chris Woolford, Director of International Affairs, Ofcom 3 rd October 2013

2 1 Ofcom decided on its UHF strategy last year Our dual objectives are to provide more low frequency spectrum for mobile broadband whilst securing the benefits provided by DTT We will do this by: Seeking to enable a harmonised release of the 700 MHz band for mobile broadband Ensuring that the DTT platform can access the 600MHz band, alongside other services sharing spectrum with DTT, including Local TV, PMSE, and white space services Decision set out in a Statement published on 16 November 2012, available at

3 2 Background to Ofcom s Decision The likely global harmonisation of the 700MHz band for mobile broadband was a key input to our UHF strategy Handset economies of scale increase potential value of this spectrum 700 MHz available now for mobile broadband in Regions 2 and 3 The 700MHz band is harmonised for mobile broadband use in Regions 2 and 3, where it is being used (or planned for use) to deliver LTE based services in various countries. 700 MHz likely to be usable in Region 1 for mobile broadband from 2015 Following a recent resolution at the World Radio Conference in Geneva.

4 PB/month 3 Background to Ofcom s Decision The expected growth in demand for mobile data traffic is likely to increase the demand for more spectrum for these services Cisco rw high PA High rw mid PA Mid rw low PA Low Cisco forecast: 12x traffic growth from 2011 to 2016 Real Wireless medium demand scenario: 80x traffic growth from 2012 to Source: Real Wireless

5 Available bandiwith (MHz) Available bandiwth (MHz) 4 Background to Ofcom s Decision There is likely to be a much more significant increase in the amount of harmonised mobile broadband spectrum above than below 1 GHz Expected availability of harmonised spectrum for mobile broadband above 1 GHz Expected availability of harmonised spectrum for mobile broadband below 1 GHz MHz MHz MHz MHz (UKB) 2600MHz (unpaired) MHz ( MHz) 2100 MHz TDD ( MHz) 2100 MHZ TDD ( MHz) MHz MHz 800 MHz MHz MHz 3400 MHz MHz (UKB) 2600 MHz MHz 1800 MHz 0

6 PMSE 5 Background to Ofcom s Decision...but a release of the 700MHz band would significantly reduce the amount of spectrum available for DTT and services using interleaved spectrum Cleared by switchover Cleared by switchover 470 MHz 862MHz In 2013 DTT Interleaved spectrum also used by: PMSE / local TV (from 2013) / white-space technology (from 2014) 600 MHz band DTT (Digital Terrestrial TV) Interleaved spectrum also used by: PMSE / local TV (from 2013) / white-space technology (from 2014) Mobile broadband (800 MHz award) Ch.21 Ch.31 Ch.38 Ch.61 Ch MHz 790 MHz After 2018? Mobile broadband? 700 MHz band Ch.49 Ch.60

7 Q Q Q3 2000* Q Q Q Q Q Q Q Q Q Q * 2012* 2013* 2014* 2015* 2016* 2017* 2018* 2019* 2020* 6 Background to Ofcom s Decision DTT plays a very important role that is likely to be still relevant when 700MHz could be released DTT provides low-cost universal access to PSB services It is unlikely that other platforms could fulfil this role by 2018 Multichannel take-up in UK households (primary TV sets) 30m 25m 20m Analogue terrestrial only Digital terrestrial only Analogue cable DTT sustains viewers choice in TV content and platforms and TV equipment DTT, thanks also to IP-complements (e.g. Youview), is likely to remain an attractive platform over the next decade Our consumer research highlights that the DTT s free-to-air attributes are highly valued by consumers 15m 10m 5m 0m Digital cable Free-to-view digital satellite Analogue satellite Pay digital satellite

8 Number of DTT platform channels Background to Ofcom s Decision Improved transmission and compression technologies can enable DTT to make more efficient use of spectrum but a move towards HD may offset this DVB-T2 penetration on DTT primary sets 100,0 80, ,0 40,0 Screen Digest 3 Reasons Ltd HD SD 20,0 10 0,0 0 Today 6 muxes Post muxes The natural market evolution to new technologies is relevant to our strategy but we are not proposing a forced transition to more efficient standards 7

9 PMSE 8 How might use of the UHF spectrum change? Cleared by switchover 470 MHz 862MHz DTT Interleaved spectrum also used by: PMSE / local TV (from 2013) / white-space technology (from 2014) DTT and other services? DTT (Digital Terrestrial TV) Interleaved spectrum also used by: PMSE / local TV (from 2013) / white-space technology (from 2014) Mobile broadband (800 MHz award) Ch.21 Ch.31 Ch.38 Ch.61 Ch MHz 790 MHz After 2018? Mobile broadband? 700 MHz band Ch.49 Ch.60

10 PMSE 9 UHF strategy implementation Contributing to international discussion on band plans and interference analysis Carrying out modelling to estimate DTT coverage under different band plans Assessing impact on consumers 600 MHz band ( MHz) is currently clear in the UK but is likely to be needed to accommodate current multiplexes if 700MHz band ( MHz) is cleared, perhaps from 2018 The empty spectrum has been made available for at least 5 years to launch two interim multiplexes operating with DVB-T2 to stimulate uptake of modern receivers Post switchover DTT relocated from 700MHz band 700MHz band DTT Cleared 600MHz band DTT Cleared 800MHz band

11 10 Consultation on future use of the 700MHz band From April July 2013, Ofcom consulted on the work that Ofcom is planning to undertake in relation to the 700MHz band, and sought stakeholder inputs on certain specific areas, including: The factors that are relevant when assessing the costs and benefits associated with a potential future change of use of the 700MHz band; Whether market mechanisms such as incentive auctions could have a role to play in determining the timing of a future 700MHz release; The measures we can take to reduce the disruption and costs of any change of use of the 700MHz band.

12 11 A longer term strategy for UHF spectrum (below 700 MHz) Work is underway in International groups to consider a longer term strategy for future use of UHF spectrum CEPT has established a Task Group (TG6) to consider MHz WRC-15 has an agenda item to look at future availability of spectrum for wireless broadband MHz likely to be one of the one of the bands being studied Separate question as to whether 694 MHz represents lower band edge of 700 MHz band European Commission also very interested in long-term future of this band

13 THANK YOU 12

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