Experiencia de la Unión Europea

TDT: Desafíos regulatorios ANALOGUE TO DIGITAL SWITCHOVER IN PORTUGAL VII TALLER INTERNACIONAL TELEVISIÓN EN AMBIENTE DE CONVERGENCIA: RETOS DE LA INDUSTRIA PAULO SERRA CARTAGENA DE INDIAS, 3-4 SEPTEMBER 2012

Topics Before the Switchover • Regulation in Portugal • ”Network licensing” The Switchover • Network • Reception (user’s installation guide, receivers, DTH support mechanism, help scheme) • Communication • Call centre • Surveys • Analogue Switch-Off (ASO) After the ASO • Switchover in Portugal vs other EU Member States • Next steps

Before the switchover

Regulation in Portugal

Electronic Communications Regulation

Media Regulation ERC (Media Authority) / Ministry of Parliamentary Affairs

DTT

ANACOM / Ministry of Economy and Employment

Regulation in Portugal ERC (Media Authority) Issues: - Licenses for terrestrial FTA TV channels (public tender, launched by the Government for each new channel) - Licenses for agreggating terrestrial Pay TV channels (public tender, launched by the Government for a bouquet of channels) - Authorisations for Pay TV channels (mere administrative process for each channel) Monitors: - Content issues ANACOM Issues: - Rights of use of frequencies to transmit FTA channels (by public tender, launched by ANACOM) - Rights of use of frequencies to transmit Pay TV channels (by public tender, launched by the Government) Monitors: - Mainly network aspects

“Network licensing” Following: • Broad public consultation on the model of introduction of Digital Terrestrial Television (DTT) in Portugal – 2007 • Definition of the main conditions of use of the Free To Air (FTA) Multiplexer – Council of Ministers Resolution of 22 January 2008 ANACOM approved the: • Limitation of the number of rights of use of frequencies for DTT and the procedure for granting - Decision of 30 January 2008 • Conditions of the beauty contest for the operation of the DTT network to support FTA services - Regulation 95-A/2008 of 25 February 2008 Rights of use of frequencies (license) issued by ANACOM - 9 December 2008

“Network licensing” Main conditions of the right of use of frequencies (license) • One right of use of frequencies (one multiplexer), on a national basis, for the DTT FTA services • Must carry: o 4 national TV programs in SD (analogue) o 2 regional TV programs in SD, in the Autonomous Region – Azores and Madeira (analogue) o 1 new national TV program in SD (to be further licensed by the Media Authority) • Must ensure capacity, if required, for 16:9 emission, improved sound quality, interactive services and services for citizen with special needs • EPG (7 days) • Must simulcast in HD, until the analogue switch-off, the TV programs mentioned before (if required by the broadcasters), but in a time sharing basis agreed between the broadcasters (capacity only for one HD emission)

“Network licensing” Main conditions of the right of use of frequencies (license) • Network roll-out to be concluded by the end of 2010 • Coverage of 100% of the population • Possible use of alternative means (e.g. DTH) to cover part of the population, but ensuring the same conditions as with terrestrial reception and having to respect the following minimum terrestrial coverage: • 90,12% mainland • 87,36% Azores • 85,97% Madeira • Other obligations: o Help scheme for citizens with special needs o Communication – massive campaign o Call centre o Periodic surveys

The switchover

Network Main characteristics • Coverage of 100% of the population for fixed rooftop reception (until 12,8% on average using DTH) • 51 towns with coverage for portable indoor reception • SFN in the mainland and Madeira (838-846 MHz) – ch. 67 / MFN in Azores • DVB-T / 8K • 64 QAM, Code Rate 2/3 • Guard Interval 1/4 – 19,91 Mbps (in the mainland) • Guard Interval 1/8 – 22,12 Mbps (Azores and Madeira) • MPEG4/H.264 compression scheme • Network roll-out initiated in Dec. 2008 • Service launched, with a coverage of 40% of the population in Apr. 2009 • Network roll-out concluded at the of end 2010, according to the license, with 153 transmitters

Network After 2010 • Terrestrial coverage increases namely in more remote areas, partly by initiative of the DTT operator and partly by agreement between municipalities and the DTT operator • 71 additional transmitters and gap-fillers licensed • Coverage increase of the population in the mainland • from 90,12% (specified in the license) to 92,25%

Network Spectrum refarming (EU) • October 2009 – European Commission (EC) non-binding Recommendation on the digital dividend asking Member States to: • Complete analogue switch-off by 1 January 2012 • Opening the 800 MHz band under harmonised conditions for electronic communication services other than, and in addition to, broadcasting services • May 2010 – EC decision on technical harmonisation of the 800 MHz band • September 2010 – EC proposal for a decision on RSPP, including opening the 800 MHz band for wireless broadband • December 2010 – RSPP decision approved => opening the 800 MHz band (which includes the channel used for DTT in Mainland Portugal)

Network Spectrum refarming (Portugal) ANACOM had to coordinate with neighbours and identify alternative channels for DTT => ch. 60 (782-790 MHz) in Mainland Portugal / others in Madeira and Azores • December 2010 – Public consultation on the refarming, including the replacement of channel 67 by channel 60 for DTT in Mainland Portugal • March 2011 – Final decision on the replacement of channels in Madeira and Azores / Further public consultation on the replacement of channel 67 by channel 56, for DTT in Mainland Portugal • April 2011 – Final decision to replace channel 67 by 56 • DTT operator had 16 weeks to conclude the transition, starting with the relays of the 3 pilot areas • Reduced impact on users due to the yet small DTT take-up by July 2011

Network Madeira

Coverage Mainland

Azores

Reception – User’s installation guide • DTT operator help desk 24h/7 • Online tool to check coverage

Reception – User’s installation guide The application gives promptly indication based on the location inserted

Reception – User’s installation guide Finally it shows, schematically, how to connect equipments, based in equipments and interfaces the user has inserted (drag&drop tool)

Reception – DTT/DTH receivers • MPEG4 Set Top Boxes, TV sets and DTT USB sticks • Prices available from around €20 (STB) and €130 (TV sets) • Average MPEG4 DTT STB price in February 2012 ~ €30 • Logo created by the network operator to stick on equipments able to receive DTT in Portugal (non mandatory):

• DTH STB to access in satellite areas to the same services of digital terrestrial areas are provided by the DTT network operator (to allow unscrambling)

Reception – DTT receivers • ANACOM established a protocol with the main consumers association to provide information on specifications and prices of DTT STB (by March 2012 - 87 equipments analysed):

• TV sets’ information also available

Reception – DTT receivers Available in the traditional retail shops and in most of the following: MASS MERCHANDISERS

CHAINS

INDEP. /BUYING GROUPS

Hypermarkets Supermarkets Cash Carry Dept. Stores DIY

Examples:

etc Source: GfK

…

C.S.S./OER/TEL

Computer Shops Software System Houses Office Eq. Retailers Telecom Specialists

Examples:

Examples:

Examples:

BOX etc…

etc…

etc…

Reception – DTH support mechanism Support for installation and purchase of equipments in areas with complementary coverage (DTH), to be implemented by the DTT operator • Conditions – the DTT operator provides: • A first DTH decoder – €55 (in line with the average DTT STB price in the previous 6 months; it may be revised) • If so required by the user, the satellite dish and cabling, as well as their installation – €61 • Additional DTH decoder(s) - €96 • Beneficiaries – users in areas with no digital terrestrial reception, but w/o pay TV • Delivery time – maximum 1 month (95% of the cases) • Procedure – at least one store available at each municipality to receive the application and deliver the equipment; exceptionally it can be treated by post • Duration – • DTH decoders available until the end of the term of the license • Satellite dish, cabling and installation available until 30 June 2012 ANACOM’s decision of 7 April 2011

Reception – DTH support mechanism

• 1st revision of the price of the first DTH decoder - €40 (average DTT STB price between April and September 2011) ANACOM’s decision of 6 January 2012 • 2nd revision of the price of the first DTH decoder - €30 (average DTT STB price between October and February 2012) • Extension of this price to a second DTH decoder per household ANACOM’s decision of 23 March 2012

Reception – Help scheme Grant of a subsidy for the purchase of receivers, to be implemented by the DTT operator • Conditions • One per household and not available for pay TV users • 50% of the purchase value of the set-top-box (incl. DTH), max. €22 • Equipments can be purchased anywhere • Beneficiaries • Citizens with a degree of disability ≥ 60% • Beneficiaries of “rendimento social de inserção” (social insertion income) • Pensioners with income of less than 500 euros per month • Public hospitals, health centres, libraries, R&D institutions, schools and charities • Procedure • Form available for download at DTT website, parish councils, retailers, …

• Documentation sent by post • Reimbursement by bank transfer (maximum 1 month, for 95% of the cases) • Duration – until 30 June 2012 (i.e. ~ 2 months after ASO) ANACOM’s decision of 24 March 2011

Reception – Help scheme Review • Conditions • Additional subsidy of € 61 to adapt the installation for DTT or DTH reception • Beneficiaries • Families, beneficiaries of the help scheme, in social isolation, for either structural or short-term reasons, the applicant of which is 65 years old or over • Procedure • Eligibility certified by Social Security, either directly or through entities working with it at an institutional level • Duration • 2 months extension of the help scheme, until 31 August 2012 (i.e. ~ 4 months after ASO).

ANACOM’s decision of 23 March 2012

Reception – Help scheme 2nd Review • Duration • additional 4 months extension of the help scheme, until 31 December 2012 (i.e. ~ 8 months after ASO).

ANACOM’s decision of 23 August 2012

Communication (DTT operator) • Press • Outdoors • Radio • TV (intensive efforts in one-month periods in two phases) • DTT Roadshow (specially in pilot areas where it was available during 4 days) • Website

Total investment of EUR 4 million for marketing and advertising purposes

Communication (DTT operator) • Media Plan, Communication Plan Timetable and Budget presented by the DTT operator are part of the license • Quantitative/qualitative data regularly made available to the NRA on the several measures (above and below the line), media audience studies and population impact studies • Authorisation to introduce the expression «Campaign within the scope of license ICP-ANACOM No. 6/2008» in campaign components • Only measures without any type of direct/indirect commercial promotion of Grupo PT's products or services are eligible • Disclose the help schemes for citizens with special needs and DTH users ANACOM’s decision of 31 March 2011 on the DTT operator information and promotion campaign

Communication (ANACOM) a) Mailings, namely to: •

all the 308 municipalities and 4260 parish councils

•

welfare institutions

•

portuguese consulates abroad

b) Meetings with nearly 150 municipalities c) Workshops* for the public in general, as well as focused at specific kinds of targets that might have a leverage effect, such as: •

parish councils

•

welfare institutions

•

installers of aerials

•

STB/TV sets retailers

•

postmen (training)

Communication (ANACOM) d) Distribution of guides, newspapers, leaflets • DTT Guide, including a step-by-step installation guide • Distribution in the 3 pilot areas (April-June 2011) • Distribution nationwide (every household) and also available at public places - 6 million copies, 12 pages, format A5 (June 2011) • DTT Newspaper: • Delivery by post – 3.5 million copies (July 2011) • Awareness campaign in 10 beaches, during Summer (August 2011) • Leaflet on the procedures and conditions for users of DTH areas (January 2012) • Leaflet on subsidies and reimbursement available for groups of citizens with special needs (February 2012)

Communication (ANACOM)

e) TV campaign to ensure : • Properly preparation for the change in good time, taking into account the switch-off schedule • Good information, making the switch an easy and positive experience, and in particular making sure that people know: • What they need to get ready for DTT • When they need to get ready • Where they can go if they need help or if they have questions The campaign was developed in 3 waves (a lot in prime-time): • First wave - from 28.11.2011 to 12.12.2011 (before Christmas) • Second wave - from 02.01.2012 to 17.01.2012 (before 1st ASO phase) • Third wave - from 12.04.2012 to 01.05.2012 (before the last ASO phase)

Communication (ANACOM) g) Other initiatives • Interviews in the press, radio and TV, as well as interventions in specialized fora • Public sessions in the 3 pilot areas which leveraged the awareness on ASO • Dedicated area in ANACOM website (~ 50 FAQ, information about equipments, aerials, transmitters, …, as well as all the legislation and regulatory measures) • Facebook

Call Centre (ANACOM)

Some figures • From January 2011 to April 2012, ANACOM received 10411 users (nearly 30/day) requests on DTT, either information requests or complaints • Peak of requests on switch-off dates, in January 2012, before the 1st phase of ASO • Peak of requests on coverage, in April 2012, during the final phase of ASO

Surveys DTT network operator • Quarterly nationwide surveys on: - DTT and switch-off awareness - households television services and equipments - households DTT take-up - households DTT take-up intention or reasons for not adhering - terrestrial analogue usage

Surveys ANACOM • Quarterly market information (sell-out) on Set-Top-Boxes and TV sets (sales, prices, etc) • Local surveys in the 3 pilot areas to assess, mainly, the level of analogue TV usage prior to switch-off • Mainland surveys • Monthly monitoring focused on HH without pay TV (November 2011 – April 2012) • 2 stages survey on HH in the coastal area (1st phase of ASO) without pay TV; second stage focused only on HH without DTT in the first stage (December 2011 and January 2012) • 1 wider survey on HH without pay TV, before the ASO (March 2012)

ASO – Final date

• Analogue Switch-Off final date - 26th of April 2012 • Minimum simulcast period of 1 year in any region • Switch-off date of each transmitter/relay approved and duly disclosed not less than 3 months in advance

Council of Ministers Resolution 26/2009, of 17 March

ASO – Detailed plan 1st phase – 12 of January 2012 Transmitters and relays that cover approximately the coastal area of the mainland territory (green area) 2nd phase – 22 of March 2012 Transmitters and relays of Azores and Madeira (yellow area) 3rd phase – 26 of April 2012 Remaining transmitters and relays covering the mainland territory (blue area) The plan also established the switch-off in certain retransmitters in pilot zones, before this 3 phases, to be further determined ANACOM’s decision of 24 June 2010

ASO – Pilot areas 3 pilot relays to be switched-off in 2011 • Alenquer (small size town) – 12 May 2011 • Cacém (medium size town) – 16 June 2011 • Nazaré (small size town) – 13 October 2011 Relays chosen according to the following criteria: (i) switch-off easy to carry out in operational terms (ii) well-defined area with terrain which significantly impedes, following the switch-off, reception of TV transmissions from alternative analogue stations still in operation (iii) estimated population covered not exceeding 150 000 inhabitants (iv) on the switch-off date, the affected population has been served for at least one year by DTT (simulcast) ANACOM’s decision of 22 December 2010

After the ASO

Switchover in Portugal vs other EU Member States

Source: DigiTAG

Next steps But DTT is not the end of the story…

• HDTV • Full HDTV • 3DTV • Ultra-HDTV • DVB-T2 • T2 Lite • HEVC and so forth…

Next steps

Growing demand for additional spectrum for wireless broadband

Radio Spectrum Policy Programme EU Decision (Mar 2012) – seek to allocate sufficient and appropriate spectrum in a timely manner to best meet the increasing demand for wireless data traffic; every effort should be made to identify at least 1 200 MHz of suitable spectrum by 2015, including the one already in use WRC 2012 (Feb 2012) – identify 694-790 MHz for mobile service in 2015, subject, however, to compatibility studies and an estimative of spectrum required for mobile and broadcasting in the short term

Second digital dividend

Main sources of information on DTT DTT website http://tdt.telecom.pt/ ANACOM website http://www.anacom.pt/render.jsp?categoryId=7&themeMenu=1#horizontalM enuArea and also at Facebook http://www.facebook.com/tdtoficial

Thank you!