Life After IFA 99
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Number 14 ● November 1999 International News and Strategic Analysis on Digital Sound Broadcasting Contents Life after IFA 99 Editorial: Life after IFA 99 1-2 IFA 99 has been and gone and, like IFA 97 left us all Highlights from IFA 2-3 with lots of promise and a feeling that, at last, DAB will The UK Motorshow 4 roll-out on the consumer markets across Europe. However, it is difficult after the disappointment of IFA The launch of Digital One 4 97 not to feel sceptical and worry that another false UK Radio Authority advertises launch has happened. local licenses 5 During IFA 97 I felt terribly positive about 15th November 1999) in the meetings The launch of services in Switzerland 5 DAB and its impending success. My was a fantastic opportunity to show The 5th WorldDAB General Assembly 6 impressions were justified - many manufacturers such as Aiwa, Grundig, receivers were exhibited in 97 and the JVC, Kenwood, Pioneer, Sony etc. that Chinese Characters 6 manufacturers made promises of receivers the broadcasters are hard at work rolling Country up-dates 7 rolling out in Q1 98. Having accepted out services. The exciting news coming shortly after IFA 97 that the roll-out was out of these meetings was that virtually The Per Erik Selemark Award 8 not going to be as smooth as I had all the manufacturers confirmed they will expected I became hardened to the launch new products during the course of Tribute to Christer Grewin 8 disappointment and, like with so many the year 2000 and many of these will be New Members - VDL 8 people, set IFA 99 as “the real launch”. integrated car radios and home receivers. As in 1997, IFA 99 proved to be another Prices are expected to drop 30-40% to fantastic, though bigger and better, display bring them below the DM 1,000 mark. of DAB’s readiness for the consumer Second generation chipsets will be market. I could not help but be impressed available next year. and feel optimistic about the progress of DAB as I passed round the exhibition and Another piece of good news was that the counted not less than 15 manufacturers car manufacturers are becoming displaying DAB products, including some increasingly interested in DAB with some new developments! It was reinforced in car manufacturers already in negotiations my mind that DAB has a life of its own with receiver manufacturers. This kind of and I left IFA thinking that this time we news is vital to the success of DAB. really were going to succeed. Now, more than 2 months after IFA, the My optimism was fuelled by reports from bickering between the broadcasters and the the President and the RSP (Roll-Out manufacturers has started again. Who is Support Programme) who had attended responsible for getting the receivers onto meetings with receiver manufacturers. the shelves in retail outlets? In my mind, For further information please contact: Julie Unsworth The meetings had produced some very as long as the broadcasters have sufficient Julie Unsworth World DAB Forum positive discussions which also confirmed coverage and value-added programmes on Wyvil Court, Wyvil Road that progress in the roll-out of DAB had air as they do in Sweden and the UK for London SW8 2TG moved on significantly during the past 2 example, the receiver manufacturers should Tel: +44 171 896 9050, years. The presence of Digital One (the be responsible for this. e-mail: [email protected] national commercial multiplex operator in Or visit our web site on the UK who are launching services on Continued overleaf... www.worlddab.org WorldDAB Newsletter November 1999 1 the broadcasters were adamant that until Life after IFA 99 the prices of receivers came down they ...Continued from page 1 could not begin to inform the consumers about DAB as it would look like they Swap the DAB receiver for a microwave were pushing consumers to fork out a lot oven and the manufacturers would not of money to replace their perfectly good expect anyone else to approach their FM receivers. However, over the past usual retailers whom they have excellent couple of weeks, we have heard, here in contacts with to convince them to stock the UK, DAB trailers on all the BBC’s their goods. So why is it that the networks and those of Digital One whic broadcasters such as the BBC, Swedish h launched on 15th November. Again, Radio, Digital One and others are having the broadcasters are going out of their to organise roadshows and carry out way to show their total commitment to marketing events aimed at the retailers DAB. on behalf of the manufacturers? This seems to me to be illogical. The The tables have turned and we are all The IFA discovery was the Hong Kong broadcasters have never had direct looking at the receiver manufacturers again. based receiver manufacturer Oritron. contacts with the retail industry before The product is expected to go on sale in and have therefore had to build up their Unfortunately, I am not a fortune teller the UK shortly. database and contact list from scratch. and I do not know what will happen over To make any progress in this area would the next 6 to 12 months. I do hope, have taken the broadcasters twice as long however, that for all of those who have as it would have taken the manufacturers invested huge resources to make DAB a with their already extensive knowledge technical and commercial success that of the retail industry. the manufacturers now take note - the broadcasters are committed, the networks Another major disagreement that ran are in place and coverage is good in during IFA and for the 2 months many countries. The only thing missing JVC displayed their receiver on the following IFA was the broadcasters’ lack is reasonably priced receivers in all WorldDAB stand. The receiver is of willingness to carry trailers or major retail outlets and a good marketing already available all over Europe but advertise DAB on their FM and AM campaign from the manufacturers to JVC also announced that they are networks. The manufacturers, pointing convince and tempt the consumer into currently planning their product line- their fingers at the broadcasters, said that acquiring a DAB receiver. Although up for next year. until the broadcasters made the most of WorldDAB can facilitate the roll-out and their very powerful advertising machine bring people together to speed up the Grundig announced their which is listened to by some 210 million process it is not able to replace the Digital Radio plans for European consumers every day1, they invaluable efforts which organisations 2000 during a meeting would not roll-out DAB receivers in can carry out on a national basis. As with the WorldDAB roll-out support sufficient quantities and at reasonable Michael McEwen, President of the World programme. The German prices. According to them, the DAB Forum, indicated at the 5th manufacturer plans to launch broadcasters’ refusal to do so showed a WorldDAB General Assembly that took several HiFi tuners as well as an lack of commitment. On the other hand, place in Rome at the end of October, we integrated DAB car radio Q1 next only have one real chance to launch a year. During the meeting, Mr Gerd product like DAB and that opportunity is ‘Another piece of good Günther, General Manager here now. All parties must join forces to news was that the car Marketing Sound, confirmed that create the right conditions for a during a recent meeting, Grundig’s manufacturers are successful launch. Board members expressed their becoming increasingly clear commitment to DAB. interested in DAB with some car manufacturers already Julie Unsworth in negotiations with 1 Figure taken from “Radio in Europe - An information paper by the World DAB Forum” which was published A symbolic image of the progress in receiver in September 1998 (document WorldDAB 123) manufacturers.’ radio technology over the past century! WorldDAB Newsletter November 1999 2 The first VDO D’Ayton (the new brand name for Mannesmann VDO) went on display during IFA. The receiver was presented as a combined navigation system with DAB as an added option. Kenwood - one of the first manufacturers to launch market ready DAB products in July 1998 is planning a new product range for 2000. Sony’s DAB car radio is already available on the consumer market and they also took advantage of IFA to show a prototype DAB Hi-Fi tuner. Pioneer, DAB market Robert Bosch Multimedia GmbH leaders in Canada and showed the first ever prototype of a many European palmtop organiser and a DAB- countries, told Michael McEwen, receiver The palmtop receiver carries President of the World DAB Forum, Robert Bosch’s new 2nd Generation that they were committed to playing a DAB chipset which was also on leading role in Digital Radio well into display on their stand. The low power the next century. consumption of the 2nd generation chipset along with the increased data Some dancers on the TechniSat, the German capabilities offered by a palmtop-type Deutsche Telekom Stand which was manufacturer, unveiled a receiver are ideal to target the also host to the LA Lakers Basketball prototype car receiver portable DAB market. team and their cheerleaders - a sign which will be launched in 2000 at a that consumers have many things to very competitive price. look at during IFA as well as DAB. WorldDAB Newsletter November 1999 3 Digital One RCS launches SmartRadio - Asia’s first Digital Radio Service On 19 November, radio listeners in RCS stations and listeners will also be able to launches national Singapore were able to enjoy for the first receive the latest news and information in a multiplex in the UK time ever crystal-clear, interference-free trial service relaying Bloomberg Radio reception as RCS launched SmartRadio, “live” from New York.