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Digitisation 2008 Logue Transmission Being Switched Off, Has Still Not Been Achieved in 2008

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Digitisation 2008 Logue Transmission Being Switched Off, Has Still Not Been Achieved in 2008 The digitisation of TV transmission infrastructures is well under way. However, regarding cable and satellite, the major break-through which would allow for ana- Digitisation 2008 logue transmission being switched off, has still not been achieved in 2008. Terrestrial transmission, on the other hand, provides a different picture with ARD and ZDF planning to complete DTT roll-out and to switch off the last analogue transmitters Digitisation 2008 The question of the digital added value by the end of this year. new contents and how to fund them For all three traditional transmission platforms, a number of questions still await solutions. Cable still lags behind regarding the rate of digitisation. Broadband inter- net enjoys a wider focus of attention than digital TV. Plans for a satellite platform stagnate while concerning terrestrial transmission, the issue of the digital dividend has as yet not brought any satisfactory answers. Progress regarding the addressability of users is also rather unsatisfactory. While addressability is considered absolutely normal for IP-TV, classical transmission infrastructures still fail to make use of this feature in any major way. This is unsatisfactory especially for providers of new, inno- vative contents, making them dependent on the audience reach of addressable plat- forms. The question of funding new contents thus continues to be key for achieving the real breakthrough to the digital age. The digitisation report which has now been made available for the fourth successive ASSOCIATION OF year describes the progress achieved for the various transmission infrastructures and REGULATORY AUTHORITIES (ALM) in its facts and fi gures section illustrates the current status of digitisation. Alongside Commission on the traditional transmission infrastructures, consumption of TV via the internet is Digital Access also analysed. Gemeinsame Stelle Digitaler Zugang (GSDZ) der Direktorenkonferenz der Landesmedienanstalten (DLM) Commission on Digital Access c/o mabb Kleine Präsidentenstraße 1 10178 Berlin VISTAS VISTAS Digitisation 2008 Preface 3 Thomas Langheinrich Dr. Hans Hege Chairman of the Directors’ Conference Chairman of the Commission on Digital of the regulatory authorities (DLM) Access of the regulatory authorities (GSDZ) With its present report, the Commission on Digital Access in 2008 is continuing its progress, more and more viewers of the German regulators once more presents key data on connect their TV sets to set-top boxes, but more than half of digital switchover in Germany and outlines the opportunities the German households remain firmly set in the analogue and challenges to be faced by the digital world now and in world. Cable in particular appears to progress along the road the future. to digitisation with the handbrake fully pulled. Notwithstanding the progress of digitisation in Germany, its The report also outlines another phenomenon: Despite the effects and consequences are quite diverse. Daily soap op- fact that switchover into the digital world has been realised, eras such as “Marienhof” (PSB) or “Gute Zeiten, schlechte this does by no means mean that consumers will make thor- Zeiten” (RTL) still manage to maintain their popularity and ough use of the new opportunities that are now available continue to secure high viewing figures among their mostly to them as a consequence. A preliminary analysis of a study younger audiences who nevertheless, however, frequent the on the use of navigators commissioned by the Commission internet for other contents more and more and download on Digital Access of the regulators appears to indicate that contents in the form of video on demand services. Linear viewers use the electronic programme guide (EPG) mostly television via the world-wide web has still not really made an for zapping and less for planning their TV schedule of the inroad into media consumption – quite unlike online games evening or the next day. The printed programme magazine which increasingly adopt broadcast elements and may pose a thus still appears to be safe to stay for some to come. challenge to the traded perception of “broadcasting” from the Findings would rather indicate that some consumers simply legal viewpoint at some time in the future. transfer their viewing habits from the analogue to the digital Data loss or information gain as an area of tension in the dig- world without making real use of the new features and their ital world are also discussed in this report. While during the specific options. 1980s, people went to the roads to protest against public cen- A factor which must not be underestimated regarding the re- sus initiatives, privacy has now gone public. In the future, it luctance of viewers to go digital is certainly played by ease of will therefore be essential to enhance awareness of audiences use (or lack thereof) which users do not appear to sufficiently concerning the value of one‘s own data – this constitutes a take in. As long as using a receiver continues to present a vital part of media literacy which the German regulators have major challenge for the elderly or less technically interested been promoting and supporting for quite some time. consumers, the analogue world will continue to maintain its Irrespective of the increased promotion efforts of content attraction for this target audience. producers, service providers, the wholesale and retail trades and infrastructure providers, the message has obviously not yet reached consumers – this is also evidenced in the present report. Digitisation of the media and transmission platforms CONTENTS 5 Contents The question of the digital added value new contents and how to fund them The unsolved challenge: digital contents and how to fund them . .11 Dr. Hans Hege Moderate growth of digital households. 11 The hen-and-egg problem: still unsolved . 11 Digitisation per se is no means in itself. 12 Public value: added value for consumers and the growth of the media and communications industries. 12 Digitisation is more than digital TV only . 13 Television will remain the lead media if it can fund creativity. 13 For terrestrial transmission, switchover has worked . 14 The German route to the digital dividend has yet to be found. 14 Digitisation via satellite – chances for a new approach. 15 Cable remains the key infrastructure for the development of new contents – but investment is lacking. 16 Key points for digitisation benefiting consumers and the media. 17 Digitisation of the German television market: Facts and figures Current state of digitisation in German TV households, June 2008 . 20 Andreas Hamann Objective of the GSDZ survey . 20 Digitisation on the go. 20 Spread of modes of transmission remains stable. 22 Digitisation of cable: still an uphill struggle. 23 6 cONTENTS Digitisation in Europe – an overview . 30 Christoph Limmer Almost 100 million TV homes are already digital . 30 Methodology . 35 Definition of cable and satellite reception. 35 Establishing transmission platforms and transmission technologies . 35 Commission on Digital Access . 37 Remit . 37 Legal basis. 37 Members of the Commission. 38 The authors . 39 Glossary . .40 Imprint . 44 9 The question of the digital added value new contents and how to fund them 11 The unsolved challenge: digital contents and how to fund them Dr. Hans Hege and the rate is increasing rapidly. Actual use, how- ever, is still so low by comparison to the tradi- tional broadcast transmission routes that research Moderate growth of digital households into audience reach of IP-TV so far only provides In 2008, digitisation of transmission platforms figures for monthly use while no data are avail- continued with the share of households capable able regarding market shares or audience figures of receiving TV via digital transmission platforms for specific broadcasts as is the case for transmis- increasing from 39.9 per cent to 46.7 per cent. sion via the other infrastructures. The share of total The last terrestrial transmitters are scheduled to be viewing time can be assumed to be rather small, switched off shortly. The rate of digital reception but considerable rates of growth may be assumed via satellite has risen to 65.7 per cent, while the to be certain. most important mode of transmission, broadband cable, continues to lag far behind at 21 per cent, Analogue cable transmission continues to be the having increased its penetration by 4.8 per cent last most important way for TV to get to viewers, cur- year. rently still holding 39 per cent of households. As a consequence, it will still take some consider- able time before analogue-digital switchover can The hen-and-egg problem: still unsolved be finally completed. To date, no analogue route The comparative stalemate regarding switchover of transmission supplying more than 10 per cent can be attributed to very specific causes: The added of households has been totally switched off any- value which digital television has to offer still does where in the world, nor are there any plans to do not appear to sufficiently convince consumers. It so yet. While switchover of terrestrial transmission is therefore necessary to analyse the causes of this is nearing completion, and satellite targets the year situation, and one of them is the persisting hen- 2010 for it, provided current developments contin- and-egg scenario: The range of digital programmes ue unchanged, cable as the most important trans- and services is still insufficiently attractive and does mission infrastructure is still miles – or years – away not convince viewers that switching to digital is from realising switch-off. worthwhile, while conversely it is very difficult to analogue cable switch-off fund attractive contents on a very small audience not in sight IP-TV now reaches approx. 0.3 per cent of house- base. holds via specific DSL networks. Access to TV contents via open broadband internet is now pos- sible in around one third of German households, 12 THE QUESTION OF THE digital ADDED valUE little chance for new digital Development of digital contents is still insufficient.
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