DAB Gaining Traction in Europe, with U.K. in Lead
With digital terrestrial HD Radio still finding its feet in the U.S., digital audio broadcasting (DAB) based on the Eureka-147 system is gaining traction in Europe, with the U.K. leading the pack. After a slow start, DAB has built momentum on falling prices for a widening selection of receivers, a build-out of stations and programming choices, and increased promotion for the service by broadcasters, CE manufacturers and retailers.
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DAB is now available in about 40 countries, where more than 330 million people are within range of a signal, according to the London- based World DAB Forum (WDABF). Nearly 600 services are on the air worldwide, including public and commercial broadcasters. In addition to home, autosound and portable receivers, models recently made available include the ability to record and time-shift, with cache memory to pause and resume live play. Some models have MP3 support, and slated for introduction today (Feb. 15) at the 3GSM 2005 Conference in Cannes are EPGs for DAB.
Of those 600 on-air services, Britain alone counts for more than 140, including 19 national broadcasters whose signals cover 80- 85% of the population, the U.K.’s Digital Bcst. Development Board (DRDB) said. As of year- end 2004, household penetration of DAB radios hit 1.272 million in the U.K., with 346,400 receivers, 27% of the total, being purchased in Dec. alone, helping surpass the 1 million target DRDB set at the beginning of the year. In 2001, penetration of DAB radios in the U.K. was just 35,000.
The U.K. has been and remains ahead of the rest of the world in DAB roll out and adoption, DRDB said. Other international markets are now experiencing similar sales trends, as promotion steps up and receivers become available. Picking up the pace are Belgium, Denmark, Norway and Switzerland, said Kevin Dale, pres. of market- leading DAB radio maker Pure Digital. “We expect that in 2005 Germany, Sweden, Holland, Italy and other European countries will also begin to take DAB to heart,” Dale said. “We are also seeing DAB gaining in popularity in countries outside Europe, such as Singapore and Australia.” DAB is also operational in Canada, as in much of Europe, while other countries there have pre- operational service, such as S. Africa. Signals from Canada’s 73 DAB stations can reach 11 million people, or 35% of its population, according to the WDABF. Home and portable DAB radios are carried in 250 RadioShack stores there.
Denmark is a microcosmic example of how market growth can expand “when the right elements are in place,” the DRDB said. Nearly 20 services are broadcasting DAB with 80% population coverage. A vigorous marketing campaign from broadcaster Danmarks Radio, and point-of-sale in stores for the first time, led to 40,000 DAB radio sales in 2004, up from 6,400 at the beginning of the year. Interest in other countries also is growing, with Norway reporting sales of just over 4,000 radios in Dec. With 70% coverage growing to 80% within 2 years, and plans to switch some popular FM services over to DAB-only reception, the market in Norway is expected to boom in 2005, the DRDB said. There are positive signs in Belgium too, which has an estimated base of 30,000 radios sold, up from 6,000 at the end of 2003. Although the actual sales figures in these and other markets appear small, serious promotion of DAB wasn’t possible until sufficient coverage and unique content were in place, the DRDB said.
In France, the govt. will be throwing its weight behind DAB. At the Le Radio! conference in Paris last Thurs., Dominique Baudis, pres. of the French regulatory authority CSA, told delegates: “Digital radio is an inevitable and desirable evolution of radio. There is no reason to remain in analog and no reason not to benefit from digital technologies and their advantages to the listener.” Earlier, during a summit on Jan. 27, Minister of Industry Patrick Devedjian signaled govt. support when he said digital radio was his first priority, with decisions to be made this year. Baudis said that although Paris enjoys around 50 FM services, program content still could be extended there. In other parts of France, listeners have access to only 10 FM stations. Philippe Levrier, CSA counselor in charge of a planned reorganization of France’s FM band, said a “re-farming” of FM licenses is likely to free up, at best, 10% of spectrum for new programming. Broadcasters at the conference agreed that, given the lack of analog spectrum available for new programming, DAB was the way forward.